Trading
Margin and Leverage
Margin, leverage, and collateral requirements for FluxPerp trading.
Margin is the USDC collateral backing a position. Leverage increases notional exposure relative to collateral.
Example
| Input | Value |
|---|---|
| Position notional | 5,000 USDC |
| Leverage | 10x |
| Initial margin | 500 USDC |
Risk
Leverage magnifies PnL and liquidation risk. A 10x position can be liquidated after a much smaller adverse price move than a 2x position.
Warning
Do not size positions based only on available leverage. Use liquidation price and funding rate before opening a trade.