Who covers losses when a position goes bankrupt? Don't panic—the class rep has the answer:
When ADL occurs, the system ranks profitable positions in the opposite direction and closes part of them at the bankruptcy price of the liquidated position.
ADL aims to prevent losses from going uncovered. The trade-off is that some profitable positions may be partially closed early.
Learning this won't make me stronger overnight, but it can help me avoid a few basic mistakes.
$BTC 82120(+1.49%)
When ADL occurs, the system ranks profitable positions in the opposite direction and closes part of them at the bankruptcy price of the liquidated position.
ADL aims to prevent losses from going uncovered. The trade-off is that some profitable positions may be partially closed early.
Learning this won't make me stronger overnight, but it can help me avoid a few basic mistakes.
$BTC 82120(+1.49%)