Binance raises the maximum margin and leverage on Bitcoin futures to 125x

in #cryptocurrency5 years ago

The Binance Futures Platform is increasing leverage and margin on Bitcoin (BTC) / Tether (USDT) contracts to 125 times, according to a press release shared with Quintelegraph on October 18.

Contract support began at 9:00 AM UTC, allowing traders to limit leverage from 1x125 times, while allowing large positions to reduce leverage. As the press release notes:

"At a 125- leverage, a $ 100 collateral deposit on Penny Futures will allow users to own $ 125,500 in Bitcoin."

Balance risks with efficiency :

According to Binance , high leveraged trading is being offered using an "advanced risk engine and liquidation model," a fast matching engine that "can continuously margin without any leaps, and" set prices "to prevent unnecessary liquidations and combat market manipulation."

Zhang Bingchao (CZ), CEO of Bainance, said the platform has seen an increase in institutional participation in trading, with professional traders leading the need to offer cost-efficient methods to support extremely fast trades.

Alongside the risk management system, Payance offers traders an “insurance fund” that can help reduce the chances of automatic leverage withdrawals.

Aaron Jung, director of Payins Futures, said the switching platform is witnessing a high number of traders turning "in and out of the spot market into futures during volatile periods."

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