# Limits & Caps

• Updated

## Price Change Limit

A price change limit is enforced in order to prevent certain types of price manipulation. Please split orders into smaller chunks if you are building a large position.

• Increasing a position: no limit
• Reducing or closing a position:
• 250 ticks (roughly 2.5%) per timestamp Current timestamp is L1 timestamp. Optimism is working on L2 timestamps, which should be updated in Q1 2022.
• Note: since the cap is per timestamp, the totality of trades during that timestamp count toward the limit. Therefore, the limit may appear to be less than 2.5%.

## Deposit Caps

The exchange has global deposit caps for each collateral type.

• USDC: 50 million
• ETH: 400
• FRAX: 1 million

Above values are accurate as of July 28, 2022. (Caps do not include leverage).

The caps serve two purposes. One is to limit the amount of funds that can be added in a short interval, which may be done during an attack. Second, non-USDC collateral types are limited by the liquidity of this asset on Optimism (e.g. Uniswap), which would be needed to perform liquidations.

All caps are updated as needed.

## Position & Order Caps

Position and order caps limit the amount of positions and maker orders you can have open at a given time. This ensures that the complexity of updating or closing your positions does not exceed the blockchain’s transaction size limit. (Each block has a limited on the amount of processing that can be done, and it is important to not exceed this limit or transactions will fail.)

Consider using multiple accounts if you need to open more positions or orders.

• maxOrdersPerMarket 3

Max orders per market is the upper limit on how many different maker orders you can have in each market. For example, you can have liquidity in up to 3 different ranges on the ETH market.

• maxMarketsPerAccount 5

Max markets per account is the upper limit on how many markets with open positions you can have simultaneously. For example, if you have positions open on ETH, CRV, BTC, AVAX and SOL, you could not open a new position in LUNA without first closing a position.

This applies to taker and maker positions.

## Mark / Index Spread Limit for LPs

You will not be able to add liquidity when the spread between mark and index prices exceeds ±20%. Limit does not affect removing liquidity.