Markets
Derivatives
Finance
English
USD
Support Center
FAQ
Crypto Derivatives
Futures Contracts
USDⓈ-M Futures Contracts
How to Calculate Liquidation Price of USDT-Margined Futures
Binance
2020-08-14 02:14
Below is the liquidation price formula for USDT-Ⓜ futures contract (LP1) under cross margin mode:
where
Notes:
*In hedge mode, both long and short positions of the same contract are sharing the same liquidation price in cross margin mode. If both long and short positions of the same contract are in isolated mode, the positions will have two different liquidation prices depending on the margin allocated to the positions.
Further details:
1. Maintenance Margin Rate
You can find the “Maintenance Margin Rate” from the table below with the position value in USDT. For example, if the position of USDT-margined BTC/USDT Contract is 264,000 USDT, then the maintenance margin rate would be 1% (or 0.01).
Note:
If your position (calculated at the liquidation price) and the current position (calculated at the opening price) are of different levels, then you must substitute (i.e. to calculate at the liquidation price) the maintenance margin rate and the maintenance margin amount of the position level, to recalculate the liquidation price.
2. About Maintenance Amount
You can find the “Maintenance Amount” from the table below with the position value in USDT. For example, if the position of USDT-margined BTC/USDT Contract is 500,000 USDT, then the maintenance amount would be 1,300 USDT.
Maintenance Amount formula
= [ Floor of Position Bracket on Level n * difference between Maintenance Margin Rate on Level n and Maintenance Margin Rate on Level n-1) ] + Maintenance Amount on Level n-1
For example, the Maintenance Amount on Level 5
= 250,000 * (1% - 0.5%) + 50 USDT
= 1,300 USDT
Note:
• Under cross margin, same ticker/symbol, both long and short position share the same liquidation price except isolated mode
• If the liquidation price is less than 0, the UI display would be “--”
75x USDT-Margined Perpetual Contract:
* ADAUSDT, BNBUSDT, DOTUSDT, EOSUSDT, ETCUSDT, LINKUSDT, LTCUSDT, TRXUSDT, XLMUSDT, XMRUSDT, XRPUSDT, XTZUSDT, BCHUSDT
50x USDT-Margined Perpetual Contract:
* AAVEUSDT, ALGOUSDT, ALPHAUSDT, ATOMUSDT, AVAXUSDT, AXSUSDT, BALUSDT, BANDUSDT, BATUSDT, BELUSDT, BLZUSDT, BZRXUSDT, COMPUSDT, CRVUSDT, CTKUSDT, CVCUSDT, DASHUSDT, DEFIUSDT, DOGEUSDT, EGLDUSDT, ENJUSDT, FILUSDT, FLMUSDT, FTMUSDT, HNTUSDT, ICXUSDT, IOSTUSDT, IOTAUSDT, KAVAUSDT, KNCUSDT, KSMUSDT, LRCUSDT, MATICUSDT, MKRUSDT, NEARUSDT, NEOUSDT, OCEANUSDT, OMGUSDT, ONTUSDT, QTUMUSDT, RENUSDT, RLCUSDT, RSRUSDT, RUNEUSDT, SNXUSDT, SOLUSDT, SRMUSDT, STORJUSDT, SUSHIUSDT, SXPUSDT, THETAUSDT, TOMOUSDT, TRBUSDT, UNIUSDT, VETUSDT, WAVESUSDT, YFIIUSDT, YFIUSDT, ZECUSDT, ZILUSDT, ZRXUSDT, ZENUSDT
Calculate liquidation price in One-way & Cross margin mode
Example 1: Liquidation price of BTC/USDT perpetual contract
When the parameters are as follows:
Liquidation price of BTC/USDT perpetual contract
=[10.72 - 1.29 + 0.43 + 0 -(-1*0.005*9,451.53)]/[(0.005*0.004) - (-1*0.005)]
= 11,378.02 USDT (rounding)
Example 2: Liquidation price of ETH/USDT perpetual contract
When the parameters are as follows:
Liquidation price of ETH/USDT perpetual contract
=[10.72 - 0.19 - 0.04 + 0 -(1*1*199.53)]/[(1*0.0065) - (1*1)]
= 190.27 USDT

Have more questions?submit a request
Related Articles
Contract Specifications of USDⓈ-M Futures