How does gradual margin closeout work?

The gradual closure of Leverage operations is carried out in the following order, once your equity drops below 50% of the prepayment (Reserved):

  1. All orders sent under "Leverage" mode are canceled. If the ratio of "Equity" to the number of tokens of the same type reserved under the use of the "Leverage" section is still below 50%, all unprofitable open Leverage operations in open markets are terminated.
  2. If the ratio of "Equity" to the number of tokens of the same type reserved under the use of the "Leverage" section is still below 50%, all profitable active Leverage operations on open markets are closed.
  3. If the ratio of "Equity" to the number of tokens of the same type reserved under the use of the "Leverage" section is still below 50%, all remaining Leverage operations will be closed as soon as the respective markets open.

Note that not all markets are open at the same time. Consequently, a profitable Leverage trade may be closed earlier than a loss-making one.  

For a more detailed example of how gradual margin closeout works, please refer to this page (the example can be found by scrolling down or pressing "Example" on the left side of the screen).

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