Margin trading allows you to amplify your trading power by borrowing funds to open larger positions. With OKX's leverage options, you can trade with up to 10x your initial capital, potentially multiplying profits—though risks are equally magnified. Always manage risk carefully when using leverage.
Step-by-Step Margin Trading Process
1. Fund Transfer
Before starting, move assets into your Margin Account:
- Navigate to the trading page.
- Select "Fund Transfer" from the menu.
- Transfer funds from your main account to your Margin Account.
2. Borrowing Crypto
- Click "Borrow/Repay" in the top-right corner.
- Choose your trading pair (e.g., BTC/USDT).
- Enter the amount to borrow and confirm.
👉 Learn more about borrowing rates
3. Executing Trades
- Long (Buy): Profit if the asset price rises.
- Short (Sell): Profit if the asset price falls.
4. Repaying Loans
- Return borrowed assets via the "Borrow/Repay" section.
Rules:
- Interest accrues hourly; rates update dynamically.
- Interest is repaid weekly; principal can be repaid anytime.
- Early-generated loans are prioritized for repayment.
Key Risks and Rules
Liquidation (Forced Closing)
- Warning at 20% Margin Ratio: Risk of liquidation.
- Liquidation at ≤10% Margin Ratio: Positions are closed automatically.
Withdrawal Limits:
- 5x leverage: Funds above 25% margin can be withdrawn.
- 3x leverage: Funds above 50% margin can be withdrawn.
Additional Notes
- Dividends or forks may require returning extra tokens (check announcements).
FAQ
Q: How is margin interest calculated?
A: Interest is hourly, locked for 24 hours after borrowing, then updated daily.
Q: Can I repay a loan early?
A: Yes, and interest stops accruing once fully repaid.
Q: What happens if I get liquidated?
A: Positions close to prevent losses exceeding your本金.