Binance announced it adjusted the tick size, or minimum price increment, for seven USDⓈ-M perpetual futures contracts on December 15 at 7 a.m. UTC.
According to Binance, tick size is the minimum unit-price increment a contract can quote and trade at. The company framed the update as a market-structure change aimed at liquidity and execution quality rather than a change to how USDⓈ-M Futures operate. Binance said that the tick-size update would not affect existing orders, and orders placed before the change would continue matching using the original tick size. Additionally, Binance noted that API-reported tick sizes would update and directed API users to the Exchange Information endpoint for the latest values.
Effective December 15 at 07:00 (UTC), Binance reduced the minimum price step for each of the seven listed USDⓈ-M perpetuals: KERNELUSDT from 0.0001 to 0.00001, LINEAUSDT from 0.00001 to 0.000001, BERAUSDT from 0.001 to 0.0001, and SONICUSDT, WCTUSDT, ZETAUSDT, and MANTAUSDT each from 0.0001 to 0.00001.
Academic work using the U.S. Securities and Exchange Commission’s (SEC) tick-size experiment underscores how minimum price increments can measurably influence market outcomes: a 2020 Journal of Monetary Economics study leveraging the SEC pilot that widened ticks for roughly 1,200 stocks reported statistically significant stock-price declines in a range of about 1.75% to 3.2% for affected firms. While that research is on U.S. equities (not crypto derivatives), it provides a quantified reference point for why venues treat tick size as a meaningful lever in market design—too coarse can impede price competition, and too fine can change displayed liquidity and queue dynamics.
Binance is a global cryptocurrency exchange and digital-asset services company founded in July 2017 by Changpeng Zhao and Yi He, with operations spanning spot and derivatives trading alongside related crypto products. Public reference profiles describe Binance as operating without an officially declared corporate headquarters, reflecting a historically distributed footprint even as it has pursued licensing and compliance engagement across jurisdictions.
