What is leverage and how does it work?

Leverage allows users to open larger trading positions using a smaller amount of capital. For example, with leverage, you can control a position larger than your actual balance, which can amplify both potential profits and the risk of loss.

On BitDelta, Users can select the leverage level — up to the maximum allowed for a specific trading pair — while placing a trade on the derivatives platform. The maximum available leverage may vary depending on the trading instrument and contract specifications.

Users are advised to use leverage carefully, as higher leverage increases both potential gains and the risk of liquidation.