Unified Account Introduction
The Unified Trading Account is a trading system I’ve introduced for a wide range of users. It supports trading multiple currency assets, including spot and various derivatives, within a single account. This provides great convenience for users, eliminating the need to transfer funds between multiple accounts. Additionally, profits and losses from different business lines can offset each other, effectively improving the efficiency of fund utilization.
Under the Unified Account, when the available balance or equity of a specific currency is insufficient but the overall USDT value is adequate, you can still sell the currency’s spot (with or without leverage) or trade contracts settled in that currency. If the currency’s equity falls below 0 due to excessive selling or losses from contracts settled in that currency, a liability for that currency will automatically be generated, and interest will be charged.
At the same time, risk metrics for your account are measured in USDT value. If your total effective margin in USDT exceeds the maintenance margin required for all your positions (also converted to USDT), you can maintain your positions. If the effective margin is insufficient, it will trigger a forced liquidation.
Unified Account Margin Modes
The Unified Trading Account offers two account modes: Multi-currency Margin Mode and Portfolio Margin Mode, catering to different trading habits and needs of users. Below is a detailed introduction to both account modes:
Margin Modes | Trading rights | Rules |
Multi-currency Margin | Trading instruments available in this account:
| In cross-currency full-margin trading mode, margin is calculated for each position; margin is shared across all trading products, and trading gains and losses can offset each other. |
Portfolio Margin | Trading instruments available in this account:
| Under the portfolio margin cross-position model, all trading products share margin and derivative margins under the same index can offset each other, and trading gains and losses can offset each other. |
Unified Account Core Concepts
The following are the basic account concepts applicable to both margin models:
Currency Dimension
Unified Account Introduction
The Unified Trading Account is a trading system I’ve introduced for a wide range of users. It supports trading multiple currency assets, including spot and various derivatives, within a single account. This provides great convenience for users, eliminating the need to transfer funds between multiple accounts. Additionally, profits and losses from different business lines can offset each other, effectively improving the efficiency of fund utilization.
Under the Unified Account, when the available balance or equity of a specific currency is insufficient but the overall USDT value is adequate, you can still sell the currency’s spot (with or without leverage) or trade contracts settled in that currency. If the currency’s equity falls below 0 due to excessive selling or losses from contracts settled in that currency, a liability for that currency will automatically be generated, and interest will be charged.
At the same time, risk metrics for your account are measured in USDT value. If your total effective margin in USDT exceeds the maintenance margin required for all your positions (also converted to USDT), you can maintain your positions. If the effective margin is insufficient, it will trigger a forced liquidation.
Unified Account Margin Modes
The Unified Trading Account offers two account modes: Multi-currency Margin Mode and Portfolio Margin Mode, catering to different trading habits and needs of users. Below is a detailed introduction to both account modes:
Margin Modes | Trading rights | Rules |
Multi-currency Margin | Trading instruments available in this account: - Crypto-to-crypto - Leveraged - Perpetual - Futures | In cross-currency full-margin trading mode, margin is calculated for each position; margin is shared across all trading products, and trading gains and losses can offset each other. |
Portfolio Margin | Trading instruments available in this account: - Crypto-to-crypto - Leveraged - Perpetual - Futures | Under the portfolio margin cross-position model, all trading products share margin and derivative margins under the same index can offset each other, and trading gains and losses can offset each other. |
Unified Account Core Concepts
The following are the basic account concepts applicable to both margin models:
Currency Dimension
Field | Meaning | Calculation Method | Example |
Net Balance | The net balance of a specific currency in the trading account | Summarized from transfer and transaction records | User deposits 100 USDT, net balance increases by 100 USDT |
Order Freeze | The amount of the currency frozen due to pending sell orders in the spot leverage market and the premium for pending option buy orders | Summarized from current pending orders in the spot leverage market | User's current order in the BTC/USDT spot leverage market is to buy 500 USDT worth of BTC, freezing 500 USDT, while BTC remains unaffected |
Borrowed Amount | The actual amount borrowed from the lending pool when the order freeze exceeds the net balance | Borrowed Amount = max(Order Freeze - Net Balance, 0) | User deposits 100 USDT, current order is to buy 500 USDT worth of BTC, Borrowed Amount = 500 - 100 = 400 USDT |
Unrealized Profit/Loss | The floating profit/loss of the user's current contract position, currently only applicable to USDT | Unrealized Profit/Loss = Position Size * (Current Mark Price - Average Position Price) * Direction | User shorts 1 ETH at 2500, holding a -1 ETH position; when the price is 2400, Unrealized Profit/Loss = -1 * (2400 - 2500) = 100 USDT |
Equity | The total net value of all assets in the account, without considering the collateral value ratio | Equity = Net Balance + Unrealized Profit/Loss | User's net balance is 500 USDT, unrealized profit/loss is -200 USDT, Equity = 300 USDT |
Liability | Potential liability generated when the order freeze exceeds the equity | Liability = max(Order Freeze - Equity, 0) | User's order freeze is 500 USDT, equity is 300 USDT, Liability = 200 USDT |
Margin Occupied by Liability | The margin occupied by the liability | Liability Position Value / Leverage Multiplier; Unit: USDT; [Note] Liability Position Value = Potential Liability × Index Price | Liability is 1000 USDT, leverage multiplier is 10, Margin Occupied = 100 USDT |
Maintenance Margin for Liability | The minimum margin required to maintain the liability for this currency | Liability Position Value * Maintenance Margin Rate of the Corresponding Tier - Quick Deduction Amount; Unit: USDT; [Note] Liability Position Value = Liability × Index Price | User's USDT liability is 20,000 USDT, corresponding to the second tier, maintenance margin rate is 2.5%, quick deduction amount is 50, Maintenance Margin for Liability = 500 - 50 = 450 USDT |
Margin Occupied by Contract | The margin occupied by the current contract position | For Cross Margin: ∑(Position Value / Leverage Multiplier); Unit: USDT; For Portfolio Margin: Initial Margin = max(Worst-Case Scenario + Cross-Period Risk Margin + Concentration Risk Margin + Decoupling Margin, Liquidation Cost) | User's BTC/USDT position value is 2000 USDT with 10x leverage, ETH/USDT position value is 3000 USDT with 5x leverage, Margin Occupied = 2000/10 + 3000/5 = 800 USDT |
Maintenance Margin for Contract | The minimum margin required to maintain the current contract position and pending orders | For Cross Margin: Position Value * Maintenance Margin Rate of the Corresponding Tier - Quick Deduction Amount; Unit: USDT; [Note] Position Value for Delivery/Perpetual Contracts = Number of Contracts × Contract Face Value × Contract Multiplier × Mark Price; For Portfolio Margin: Maintenance Margin = 0.8 * Initial Margin | User's USDT position is 300,000 USDT, corresponding to the third tier, maintenance margin rate is 2%, quick deduction amount is 2400, Maintenance Margin for Contract = 6000 - 2400 = 3600 USDT |
Account Dimension
Field | Meaning | Calculation Method | Example |
Account Effective Margin | The net value of all currencies in the account converted to USDT, which can be used as margin for orders and positions | Discounted Equity - Spot Leverage Discount Rate Loss - Spot Leverage Order Loss - Contract Order Loss; [Note 1] Discounted Equity = Equity of each currency × Spot USD Price × Currency Discount Rate (only currencies with positive equity are multiplied by the discount rate; negative equity currencies are not discounted); [Note 2] Spot Leverage Discount Rate Loss: The estimated reduction in effective margin due to the difference in discount rates between the bought and sold currencies; [Note 3] Order Loss: The estimated reduction in effective margin due to the difference between order price and mark price | User transfers 1 BTC and 10,000 USDT; BTC price is 90,000 USDT, discount rate (haircut) is 0.98, Discounted Equity = 1 * 90,000 * 0.98 + 10,000 = 98,200 USDT; Places a buy order for 0.1 BTC at 100,000, Spot Leverage Discount Rate Loss = 10,000 * (1 - 0.98) = 200 USDT; Order Loss = (100,000 - 90,000) * 0.1 = 1,000 USDT; Account Effective Margin = 98,200 - 200 - 1,000 = 97,000 USDT |
Position Value | The total value in USDT of positions and potential liabilities in the account | Sum of the position values of delivery contracts, perpetual contracts, and option contracts' potential liabilities for each currency | User holds a 1,000 USDT BTC/USDT perpetual contract and a liability of 2 ETH, ETH price is 2,000 USDT, Position Value = 1,000 + 2 * 2,000 = 5,000 USDT |
Account Maintenance Margin | The sum of maintenance margins for liabilities and derivative position orders in the account | Sum of maintenance margins for liabilities and contracts across all currencies, converted to USDT | User's BTC liability maintenance margin is 1,000 USDT, ETH liability maintenance margin is 2,000 USDT, contract maintenance margin is 2,000 USDT, Account Maintenance Margin = 5,000 USDT |
Account Occupied Margin | The sum of margins occupied by liabilities and derivative position orders in the account | Sum of margins occupied by liabilities and contracts across all currencies, converted to USDT | User's BTC liability occupied margin is 1,000 USDT, ETH liability occupied margin is 2,000 USDT, contract occupied margin is 2,000 USDT, Account Occupied Margin = 5,000 USDT |
Account Maintenance Margin Rate | An indicator of account risk | Account Maintenance Margin / Account Effective Margin | User's Account Maintenance Margin is 5,000 USDT, Account Effective Margin is 10,000 USDT, Account Maintenance Margin Rate = 50% |
Account Initial Margin Rate | The proportion of the account's effective margin that is already occupied | Account Occupied Margin / Account Effective Margin | User's Account Occupied Margin is 5,000 USDT, Account Effective Margin is 10,000 USDT, Account Initial Margin Rate = 50% |
Account Leverage | The overall leverage level of the account | Position Value / Account Effective Margin; *This field is only applicable in cross margin mode | User's Position Value is 5,000 USDT, Account Effective Margin is 1,000 USDT, Account Leverage = 5 |
Account Available Margin | The value in USDT of all margin available for trading spot leverage and derivatives | Account Effective Margin - Account Occupied Margin | User's Account Occupied Margin is 3,000 USDT, Account Effective Margin is 10,000 USDT, Account Available Margin = 7,000 USDT |