Leverage for Linear Contracts
CoinEx offers flexible leverage for linear contracts, ranging from 1 - 100X, allowing traders to adjust leverage based on their needs.
1. Timing: You can adjust the leverage after opening a position in either cross margin or isolated margin mode.
2. Restrictions:
(1) The leverage must not exceed the maximum leverage allowed for the current position size.
(2) If there are unfilled orders, adjustments to the margin mode or leverage are not permitted.
3. Impact: After the leverage adjustment, the system will recalculate the position margin required, which may lead to changes in the liquidation price. Traders should monitor price movements and assess risks accordingly.
Margin for Linear Contracts
In the CoinEx linear contract market, traders can engage in futures trading by depositing a certain percentage of funds as margin.
CoinEx supports the following two margin modes:
| Mode | Coss margin | Isolated margin |
| Source of margin | All available balances are utilized as margin for the current position. | The margin for a position is kept separate from the overall account balance. |
| Margin call | If the margin of the position falls below the maintenance margin level, the system automatically adds margin from the available account balance to restore it to the initial margin level. | Traders must manually add margin; the system does not do this automatically. |
| Liquidation risk | All available balances serve as a shared margin across all open positions; a loss in one position may lead to the liquidation of all positions. | The current position is isolated from others; liquidation affects only the specific position without impacting other positions and overall balances. |
Margin Calculation for Linear Contracts
1. Position Margin = Initial Margin + Added Margin - Reduced Margin + Unrealized PNL (calculated using the mark price) + Realized PNL
2. Frozen Margin: When there are unfilled orders, the system temporarily holds the initial margin and trading fees.
3. Initial Margin
(1) Definition: The minimum margin required when opening or settling a position.
(2) Margin = Settlement Value × Initial Margin Rate
(3) Initial Margin Rate = 1 / Leverage Ratio × 100%
(4) Settlement Value = Position Size × Settlement Price
Note: For positions with Pyramiding Auto-Settlement enabled, the calculation of the settlement price can be found in What is Settlement Price >>
4. Maintenance Margin
(1) Definition: The minimum margin required to maintain the current position.
(2) Maintenance Margin = Position Value × Maintenance Margin Rate
(3) Position Value = Mark Price × Position Size
5. Available Margin
(1) Definition: The balance available for opening new positions or adding to existing margins.
(2) Available Margin = Transfer-in Assets - Transfer-out Assets + Realized PnL + Unrealized PnL - Position Margin - Frozen Margin