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4) (bybt.com/LiquidationData for data) This is partially because we try to encourage responsible trading. Our product and margin system also tend to attract sophisticated users.

Bitcoin Liquidations-Bitcoin Liquidations Chart-Bitcoin liquidations live-bitmex rekt-Coinglass

The Liquidations counts the real-time Liquidations of all exchanges and currencies. The liquidation history of all exchanges can be viewed through the historical Liquidations. The liquidation list...

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5) We also try to avoid being punitive; liquidations on FTX start with normal orders without any extra loss. And, again, it's a tiny fraction of our volume.

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6) All of that being said, there's been a bunch of discussion recently around high leverage (> 20x). Nearly every crypto derivatives exchange allows it, and nearly every one will say the same thing: It's a tiny fraction of volume and positions.

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7) For us, like liquidations, it's way less than 1% of our volume and positions. It's not a significant part of the exchange. It's also not what chiefly contributes to volatility. Liquidations do, one some exchanges (although generally not so much FTX!). But > 20x is small.

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8) The average leverage used on FTX is ~2x. And while we think that many of the arguments are high leverage miss the mark, we also don't think it's an important part of the crypto ecosystem, and in some cases it's not a healthy part of it.

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9) And so, after lots of back and forth, we're going to be the ones to take the first step here: a step in the direction the industry is headed, and has been headed for a while. Today, we're removing high leverage from FTX. The greatest allowable will be 20x.

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Hello, for people who do like leveraged basis trades, the maximum leverage on the "100x leverage" setting was like 8x or something, and on the "20x leverage" setting it is lower. Do you think that you'll eventually offer 8x leverage to such users in the future? Thanks.

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At ftx you only set your maximum leverage, then the actual leverage of your positions/account is solely dependent on collateral balance and position size. So you can use 8x leverage as is under the current system.

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This is incorrect. Because of the formula used for negative balances, the hard limit (if there was a setting for e.g. 100000x leverage and if BTC's cross-margin rate was 100%) is 11x short the basis.

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In reality you have your negative USD balance, and your short futs and, your reduced collateral due to <1x cross-margin rate coming together and you can only be like ~6x short the basis at "20x leverage" or ~8x short the basis at "100x leverage"

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and

this is different between spot and futures

6:05 PM · Jul 26, 2021Twitter Web App

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