GlossaryAdvanced
Cross Margin
A margin mode where a trader's entire account balance backs all open leveraged positions together.
Cross margin is a margin trading mode where a trader's entire available account balance is shared as collateral across all open leveraged positions, rather than assigning collateral to each position individually.
This can reduce the risk of any single position being liquidated prematurely, but also means a loss on one position can draw down collateral supporting other open positions.
Examples
- A trader using cross margin has their full account balance available to support each open position.
- Cross margin can reduce individual liquidation risk but exposes the whole account balance to losses.