Perpetual futures full position mode description

Overview of Cross Margin Mode

Cross Margin Mode refers to using all available funds in the account to maintain positions. Below are the features, operating methods, and risk warnings associated with Cross Margin Mode:

Features of Cross Margin Mode

•Margin Usage

In Cross Margin Mode, the entire futures account balance is used to maintain positions. If the account balance is insufficient to sustain the current position, the system will automatically close positions to prevent negative balance.

•Leverage Effect

Cross Margin Mode allows for higher leverage, enabling the control of larger positions with less capital. However, this also means higher risk, as market fluctuations can impact the entire account.

•Risk Management

Risk management is crucial in Cross Margin Mode. Adverse market movements can affect the entire account balance, so it’s important to monitor market dynamics closely and set stop-loss points appropriately.

•Margin Allocation

All positions share one margin account, and the risk of open futures collectively impacts the account balance. The margin for multiple positions is managed collectively.

How to Operate Cross Margin Mode

1. Access the Platform App Contract Page

Ensure the platform supports Cross Margin Mode and has the necessary tools and features to manage positions.

2. Set Leverage

Choose an appropriate leverage ratio based on your risk tolerance. Higher leverage can amplify profits but also increases risk.

3. Monitor the Market

Continuously monitor market changes during the holding period and adjust strategies accordingly, such as setting stop-loss and take-profit orders.

4. Manage Account Balance

Maintain sufficient account balance and regularly check margin levels to avoid forced liquidation due to market fluctuations.

Risk Warnings

•High Risk

Cross Margin Mode uses the entire account balance for margin calculations, which means higher risk. Adverse market conditions can lead to the total loss of account funds.

•Stop-Loss Setting

Set reasonable stop-loss points to limit potential losses.

Be sure to thoroughly understand the related risks and management strategies before engaging in Cross Margin Mode operations.