I. What Is HTX SmartEarn?

SmartEarn is a passive income product offered by HTX within the futures and derivatives trading account. Without affecting the use of your assets as margin for trading, assets in your account can be included in daily asset snapshots and earn you interest in USDT based on a dynamic APY. There is no staking and no lock-up requirement, enabling simultaneous asset management and trading.

 

II. Source of SmartEarn Profits

HTX employs a funding rate arbitrage strategy to earn funding fees by hedging futures positions with spot positions. In the perpetual futures market, when the funding rate is positive, longs pay shorts. The strategy buys a certain quantity of assets in the spot markets. The platform simultaneously opens the perpetual futures short positions of equal value to offset price fluctuations and earn the funding fees from the perpetual futures markets. For a detailed example of funding rate arbitrage, please refer to "Source of SmartEarn Profits Explained".

The funding rate is a mechanism that ensures that the price of the perpetual futures contract stays close to the spot price of the underlying asset. It is a periodic payment exchanged between buyers (longs) and sellers (shorts) of the contract.

The funding fee is determined by the funding rate, which fluctuates independently for each trading pair over time. You can view real-time funding rates for different pairs on the trading page. For more details about the funding fee, please refer to "Funding Calculation".

 

III. SmartEarn Asset Snapshot and Interest Distribution

1. Asset Snapshot

1) The daily asset snapshot period runs from 00:00 to 24:00 (UTC+8).

2) During the snapshot period, the platform will take random snapshots of all eligible accounts. The daily eligible asset amount is calculated by taking the lowest asset balance recorded within the 24-hour period, which is then used for asset calculation.

3) Eligible assets in USDT-M Futures accounts, Copy Trading accounts, and Futures Grid accounts are included in the SmartEarn asset snapshot. Assets are aggregated across your main and sub-accounts.

4) The asset snapshot includes available margin, position margin, and in-order margin.

5) For futures and derivatives trading, unrealized floating profits on open positions are not included in the asset snapshot.

6) Futures Trial Bonus, Futures Copy Trading Trial Bonus, and Futures Grid Trial Bonus are not included in the asset snapshot.

 

2. Interest Distribution

1) Interest Calculation Rules:

After enabling SmartEarn, if there are no assets in your eligible accounts, the first transfer made on Day T will accrue no interest, because the asset snapshot for Day T+1 uses the previous day's lowest balance, which is zero. Therefore, no interest will be distributed on Day T and Day T+1. If there are assets in the accounts on Day T+1, the system takes the lowest eligible balance snapshotted between 00:00-24:00 on Day T+1 and automatically distributes the interest after 9:00 (UTC) on Day T+2.

[Example]

Scenario 1: On January 1, 2026, User A enables SmartEarn but initially has no assets in the eligible accounts. At 07:00 (UTC) on the same day, User A deposits 100 USDT into their USDT-M Futures account. Since the lowest asset balance on January 1 is 0, no interest is accrued for that day. If User A does not withdraw any assets on January 2 and the balance remains 100 USDT, the system records 100 USDT as the eligible balance for January 2, and the interest for January 2 will be calculated based on 100 USDT and distributed after 09:00 (UTC) on January 3.

Scenario 2: User A already has a 50 USDT balance in their USDT-M Futures account before enabling SmartEarn on January 1, and deposits an additional 50 USDT to the account at 07:00 (UTC) on the same day. Since the lowest asset balance on January 1 is 50 USDT, the interest for January 1 will be calculated based on this 50 USDT and distributed after 9:00 (UTC) on January 2.

2) Interest Distribution Time & Receiving Account: Interest from the previous day is automatically credited to your Spot account after 9:00 (UTC) the following day. You can view the reward in the financial records of your Spot account.

3) Interest Crypto: All SmartEarn interest is paid in USDT.

4) Method of Claiming Interest: Automatic calculation and distribution of interest earned from the new SmartEarn replaces manual reward claims on the old SmartEarn.

5) Disabling SmartEarn: If SmartEarn is disabled on a given day, that day’s interest will not be settled.

[Example]

January 1, 2026 is a normal interest-bearing day for User A. If User A disables SmartEarn at 8:00 (UTC) on January 2, January 1’s interest is still paid after 9:00 (UTC) on January 2, but no interest is calculated and paid for January 2.

 

IV. APY and Interest Calculation

1. What Is APY?

APY stands for annual percentage yield. Users can check yesterday’s APY as well as 7-day / 30-day / 180-day average APY data on the SmartEarn product homepage.

 

2. How to Calculate Interest?

Yesterday's interest = Yesterday's effective asset equivalent * Yesterday's APY * (1 - SmartEarn reserve ratio) / 365

Yesterday’s effective asset equivalent = ∑ (Yesterday’s minimum eligible crypto quantity * Yesterday’s closing price)

Yesterday’s minimum eligible crypto quantity = Min (Minimum crypto quantity in yesterday's snapshots, Individual quota cap)

 

V. Supported Assets & Individual Interest-Bearing Quota Limits on SmartEarn

The currently supported assets and individual interest-bearing quota limits on SmartEarn are listed below:

* The platform will issue separate announcements regarding the addition or removal of supported assets. The platform reserves the right to dynamically adjust the upper and lower interest-bearing limits for each asset based on actual market conditions. No separate announcements will be made for adjustments to these limits. The table above dynamically displays the parameters currently configured by the platform.

 

VI. What Is the SmartEarn Reserve?

1. Overview of SmartEarn Reserve:

To provide a stable yield environment for SmartEarn users, the HTX platform sets aside a reserve fund to cover potential funding fee costs.

 

2. Reserve Income and Expenditure:

1) When the funding rate is positive and funding fee income is generated, a portion of the income is allocated to the SmartEarn reserve. The allocation proportion, i.e., the SmartEarn reserve ratio, is dynamically adjusted based on market conditions and the HTX platform's investment and hedging strategies.

2) When the funding rate is negative and funding fee income cannot be generated through short positions, the SmartEarn reserve will be used to cover funding fee costs. If a negative funding rate persists, the HTX platform may adjust hedging and investment positions to ensure SmartEarn participants do not suffer any loss due to market headwinds.

 

3. Reserve Management:

1) The SmartEarn reserve is independent of the futures insurance fund and unrelated to the auto deleveraging mechanism.

2) The HTX platform may review and adjust the minimum reserve threshold as needed. If the reserve is deemed insufficient, the platform may (but is not obligated to) inject additional assets into the reserve. HTX may also adjust the composition of the SmartEarn reserve as appropriate. If the size of the SmartEarn reserve exceeds the minimum threshold determined through periodic review, HTX may allocate the excess portion for other uses it deems appropriate.

 

VII. Other FAQs

1. Do Main and Sub-Accounts Both Support SmartEarn?

Sub-accounts cannot independently enable SmartEarn. Eligible assets are aggregated across your main account and sub-accounts, and interest is distributed only to the main account.

 

2. Can APY Be Negative? Is SmartEarn a Principal-Protected Product?

APY will never be lower than zero. While APY can be zero, it cannot be negative, meaning SmartEarn can be considered a principal-protected passive income product without the risk of losing principal due to participation.

 

3. Can Assets from Coin-M Accounts Participate in SmartEarn?

No. Assets in Coin-M accounts are not included in SmartEarn asset snapshots or interest calculations.

 

4. Can SmartEarn Be Enabled/Disabled via API?

Not supported yet. SmartEarn must be manually enabled or disabled via the web or app interface.

 

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HTX reserves the right in its sole discretion to amend or change or cancel this announcement at any time and for any reasons without prior notice. The above is for information purposes only and HTX makes no recommendations or guarantees in respect of any virtual asset, product, or promotion on HTX. Prices of virtual assets are highly volatile and trading virtual assets involves risk. Please read our Risk Reminder text here.