BitMEX Launches Program for “Advanced Crypto Traders”
Crypto derivatives exchange BitMEX has launched Margin+, a program that gives “advanced crypto traders” extra collateral, allowing them to optimize trading positions without using additional funds.
Margin+ provides more tether or bitcoin as collateral to let BitMEX traders execute greater positions and orders. Margin+ is best suited for non-directional traders that use larger positions or more frequent trades to increase their Pn, the exchange noted.
Traders who choose Margin+ must meet specified requirements, such as maintaining a minimum balance and complying to Maintenance Margin Ratio (MMR) criteria. The minimum balance requirement is 30% of the Margin + collateral value. A margin call is triggered when the collateral value falls below 125%, whereas a decline below 110% results in liquidation.
The MMR ensures that traders keep a “healthy” balance of accessible cash and the maintenance margin requirement. Traders must have an MMR of 12 or higher to proceed with the drawdown. A decrease below 10 for more than 12 hours or below five triggers a margin call or prompt liquidation.
BitMEX offers more than 100 derivatives contracts, 11 pairs for spot trading, and a convert function between 30 different cryptocurrencies.