The Mark Price is used to determine the current value of an asset or position. For a derivatives position, the Profit & Loss (P&L) is determined by the difference between the current Mark Price and the average price for the position.

The Mark Price is used in the calculation of a Gemini Derivatives account’s Margin Assets Value, as well as Initial Margin requirements. Therefore the Mark Price is a key determinant in the value of the assets and positions in an account and ultimately whether that account may be subject to a liquidation.