How is maintenance margin calculated? Why do larger positions require more?
Initial margin is the margin required to open a position, roughly equal to the position’s notional value divided by the leverage.
For Binance USDⓈ-M contracts, the margin ratio is equal to maintenance margin ÷ margin balance. Liquidation is triggered when the margin ratio reaches 100%.
The most important thing to keep in mind when managing funds: if the margin ratio rises too quickly, consider reducing your position first. Don’t just keep adding funds to your account and stubbornly hold on.
$BTC 81599.68（-1.02%）
Stay rational and manage your position size.
Initial margin is the margin required to open a position, roughly equal to the position’s notional value divided by the leverage.
For Binance USDⓈ-M contracts, the margin ratio is equal to maintenance margin ÷ margin balance. Liquidation is triggered when the margin ratio reaches 100%.
The most important thing to keep in mind when managing funds: if the margin ratio rises too quickly, consider reducing your position first. Don’t just keep adding funds to your account and stubbornly hold on.
$BTC 81599.68（-1.02%）
Stay rational and manage your position size.