Futures

Bitget Futures: Automatic Margin Call

2020-11-19 07:53073

1. How does automatic margin call work?

  • When the reasonable mark price is about to reach the estimated liquidation price, the available funds in your account will be transferred to the margin of that position first.

  • This feature is supported in isolated margin mode only.

2. Introduction to the automatic margin call feature

After enabling the automatic margin call feature, when the reasonable mark price is about to reach the estimated liquidation price of a position, the available funds in your account will be transferred as the margin of the position first, so that the actual margin rate of the position matches the margin rate set by the user's selected leverage. When the available funds in the futures account are lower than the required amount required to meet the margin call, these available funds will be automatically added as position margin. If the liquidation conditions are met again, the position will be forcibly reduced or liquidated.

This feature will reset when a position with automatic margin call enabled is fully liquidated. You will need to enable it again the next time you open a position.

Actual margin rate = (position margin + unrealized PnL) ÷ position value

3. Note:

Automatic margin call is helpful when it comes to reducing the probability of liquidation, but in extreme cases, it may result in the loss of all available funds in your futures account.