Leverage & Margin
Leverage allows you to multiply your buying power when you trade. For example, to open a 50 BTC position at 100x leverage, you just need 0.5 BTC.
That 0.5 BTC is your margin. It's the real balance that's tied to your position.
Trade8 uses an isolated margin system, meaning each position has its own leverage, margin, and liquidation price, and does not affect other positions on your account. This means that the maximum amount you can lose on a position is the margin tied to that position.
Leverage is a double-edged sword since it multiplies both your profits and your losses. You always have the choice to trade without leverage by selecting leverage = 1x when opening a new position.
The easy formula to remember is: Margin = Amount / Leverage.
You can adjust the leverage you used for each trade you make from the Advanced menu in the New Trade panel.
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