SBF on Twitter: "5) That being said, because of (2) (getting around the fact that BitMEX 100% liquidates your account), it can still be pretty helpful." / Twitter

1) Some thoughts on medium.com/@BambouClub/ho:

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Dec 14, 2019

2) The main advantage it gets is setting a stop instead of getting liquidated. This helps because BitMEX closes your entire account down rather than just the position. Note that FTX first tries to close down your position and let you keep the rest!

help.ftx.com

Liquidations

Notes:1) While FTX aims to reduce the likelihood of clawbacks, they are still possible.2) Estimated liquidation price is just an estimate. When an account actually gets liquidated will depend on m...

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SBF

@SBF_FTX

Dec 14, 2019

3) The claim of 700x leverage doesn't actually let you put on 700x your capital, just your 'risk'. Still just 100x your capital.

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SBF

@SBF_FTX

Dec 14, 2019

4) It only gives you 700x your risk if your stop is guaranteed to get filled at the trigger price. Especially during a large move, it's not!

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SBF

@SBF_FTX

5) That being said, because of (2) (getting around the fact that BitMEX 100% liquidates your account), it can still be pretty helpful.

4:09 AM · Dec 14, 2019Twitter Web App

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