Announcement on Handling Irregular Futures Insurance Nodes

Dear Webseans,

 

We sincerely appreciate your continued support and trust in our platform. We remain committed to providing a fair and transparent trading environment. Following a recent review, we identified a small number of accounts that obtained Futures Insurance nodes through abnormal trading practices. Such behavior undermines the proper functioning of the insurance mechanism and may adversely affect the rights and interests of other users. Websea will implement unified handling measures for the relevant nodes, as outlined below.

 

1. Scope of Application

This adjustment primarily applies to Futures Insurance nodes generated through the following trading patterns:

• Bidirectional Positions Within the Same Account
  • Intra-Contract Hedging: Executing simultaneous long and short positions on the same futures contract within a single account (or vice versa) within a short timeframe, effectively neutralizing the contract’s P&L fluctuations.
  • Inter-Contract Hedging: Establishing opposing positions across different but highly correlated contracts within the same account within a short timeframe (e.g., taking a long position on Asset A and a short position on Asset B during the same period, where the price movements of A and B are strongly correlated).
• Cross-account coordinated hedging: Associated accounts conduct coordinated bi-directional trading for the purpose of systematically farming nodes and transferring benefits.

We acknowledge the diversity of trading strategies. However, the above patterns deviate from the original purpose of the Futures Insurance mechanism, which is designed to hedge genuine one-way market risk. To protect the long-term interests of all users, rule enforcement adjustments are necessary.

 

2. Handling Measures

Accounts involved in the above scenarios will have their related Futures Insurance nodes marked as “Abnormal” and frozen. This process will be completed by 2025-12-13 16:00 (UTC). During the freeze period, frozen nodes will temporarily stop receiving airdrop rewards; the nodes themselves will not expire or become invalid due to the freeze.

 

3. Unfreeze Mechanism

We provide a clear and actionable recovery path for abnormal frozen nodes. From the date of freezing, affected accounts may gradually unfreeze abnormal nodes by continuing to generate normal Futures Insurance nodes.

• Unfreeze Principle: Abnormal frozen nodes will not expire. Unfreezing follows a 1:1, cycle-based mechanism: each newly generated normal node unlocks one abnormal frozen node within the corresponding node cycle.
• Execution Rules:
  • Cycle-based grouping: Abnormal frozen nodes are grouped by their associated node cycle. Nodes within the same cycle are treated as one group.
  • Node recovery: To unfreeze a group, users must cumulatively generate a number of normal nodes equal to the number of abnormal frozen nodes in that group. Until the requirement is met, the group remains frozen.
  • Unfreeze order: Groups are processed sequentially based on the airdrop order of the abnormal nodes, starting from later cycles and proceeding to earlier cycles.
• Benefit Continuity: Once a node is successfully unfrozen, it will resume participation in airdrops starting from the current airdrop cycle at the time of unfreezing.

*Note: The exact cycle numbers and quantities of abnormal frozen nodes are subject to the information displayed in App → My Nodes → Abnormal Frozen.

 

Example:

Assume User A has 5 abnormal frozen nodes in cycle 80, 3 abnormal frozen nodes in cycle 60, then

• Step 1: After User A cumulatively generates 5 normal nodes, the 5 abnormal nodes in cycle 80 will be unfrozen.
• Step 2: After User A cumulatively generates an additional 3 normal nodes, the 3 abnormal nodes in cycle 60 will be unfrozen.
• This process continues until all abnormal frozen nodes across all cycles are fully unfrozen.
   

4. Ongoing Monitoring

Following this adjustment, the platform will continue to enhance its risk control models and conduct periodic reviews of node data to ensure that the Futures Insurance mechanism consistently serves genuine trading needs and delivers long-term value to users.

 

We appreciate your understanding and cooperation as we make these necessary adjustments. Websea will continue striving to build a more trustworthy platform. If you have any questions regarding this announcement, please contact our online customer support team for assistance.

Thank you again for your understanding and support.

 

Websea Team

December 13, 2025