BiyaPay provides two margin systems: Cross Margin and Isolated Margin. Each mode has different margin calculation methods.
- Cross Margin Mode
Cross Margin Calculation Method:
All available funds are considered as available margin, and multiple positions share the funds in the account.
USDT-margined Contract Calculation Method: Initial Margin = Quantity × Mark Price ÷ Leverage Multiple
Since the mark price fluctuates in real time, the initial margin will also change accordingly.
Profit and Loss Sharing: The profit and loss of one position will affect the margin situation of the entire account.
Cross Margin Rate Calculation Method:
Margin Rate = Margin Balance / Maintenance Margin
Margin Balance = Wallet Balance + Unrealized P&L - Isolated Margin Occupied.
Maintenance Margin = Quantity × Latest Price × Maintenance Margin Rate
Applicable Situation: Suitable for traders who want to maximize the use of account funds and reduce liquidation risk, but need to pay attention to overall account risk management.
- Isolated Margin Mode
Isolated Margin Calculation Method:
Each position calculates margin independently and will not affect the funds of other positions.
USDT-margined Contract Calculation Method: Opening Margin = Quantity × Opening Average Price ÷ Leverage Multiple
The initial margin remains fixed and will not change with market price fluctuations.
Independent Profit and Loss: The loss of one position will not affect other positions.
Applicable Situation: Suitable for traders who strictly control individual position risk and prevent overall account funds from being affected by fluctuations.
Isolated Margin Rate Calculation Method:
Margin Rate = Margin Balance / Maintenance Margin
Margin Balance = Opening Margin + Unrealized P&L.
Opening Margin = Quantity × Opening Average Price / Leverage Multiple
Maintenance Margin = Quantity × Latest Price × Maintenance Margin Rate