đď¸ Contract Trading | Coin-Margined and U-Margined
¡ What it is: Coin-margined contracts use the underlying coin itself as collateral and settle profits and losses in that coin. For example, a BTC coin-margined contract settles profits and losses in BTC.
¡ How it works: When users holding spot BTC hedge with a coin-margined short position, the collateral for the short and the asset being hedged are the same coin. This is one of the common uses of coin-margined contracts.
¡ Reminder: When opening a long position with a coin-margined contract, keep in mind that if the price falls, the position loses value and the coin used as collateral also shrinks in valueâso you face losses on both fronts.
$BTC 77166.01ďź-0.84%ďź
¡ What it is: Coin-margined contracts use the underlying coin itself as collateral and settle profits and losses in that coin. For example, a BTC coin-margined contract settles profits and losses in BTC.
¡ How it works: When users holding spot BTC hedge with a coin-margined short position, the collateral for the short and the asset being hedged are the same coin. This is one of the common uses of coin-margined contracts.
¡ Reminder: When opening a long position with a coin-margined contract, keep in mind that if the price falls, the position loses value and the coin used as collateral also shrinks in valueâso you face losses on both fronts.
$BTC 77166.01ďź-0.84%ďź
