⚙️How does leverage work?
🚨 x5 x10 x100
When you open a trade in the Futures tab, the platform shows a panel for selecting the leverage level (from 1x up to 20x, 50x and even 100x or more).
If you decide to use 20x, for every 10 USD you actually put in from your pockets (margin), the exchange digitally gives you the remaining 190 USD as a credit so that you can open a position with a total value of 200 USD.
The platform monitors your trade in real time. If the price moves against you and the losses in the position reach the real value of the 10 USD you deposited, the exchange closes your trade immediately for safety (a process called liquidation) so it can get back the money it lent you as-is.
🏦 Where does the exchange find funds to lend so many millions?
In the Futures section, the hundreds of millions of dollars that circulate mainly come from the platform’s two internal sources:
1' Users’ liquidity funds: The majority of the capital is formed from users’ deposits, deposits to profit plans (Earn / Staking), and the balances of other users who passively hold their money within the exchange.
🚨 x5 x10 x100
When you open a trade in the Futures tab, the platform shows a panel for selecting the leverage level (from 1x up to 20x, 50x and even 100x or more).
If you decide to use 20x, for every 10 USD you actually put in from your pockets (margin), the exchange digitally gives you the remaining 190 USD as a credit so that you can open a position with a total value of 200 USD.
The platform monitors your trade in real time. If the price moves against you and the losses in the position reach the real value of the 10 USD you deposited, the exchange closes your trade immediately for safety (a process called liquidation) so it can get back the money it lent you as-is.
🏦 Where does the exchange find funds to lend so many millions?
In the Futures section, the hundreds of millions of dollars that circulate mainly come from the platform’s two internal sources:
1' Users’ liquidity funds: The majority of the capital is formed from users’ deposits, deposits to profit plans (Earn / Staking), and the balances of other users who passively hold their money within the exchange.
