Some people have been asking what is considered high leverage?

The leverage mentioned here does not refer to the leverage multiple you set, but the total warehouse leverage.

If the U-standard contract is set to 10 times leverage, and 10% of the total funds are used as margin to open an order, it is actually 0 leverage, spot.

Similarly, if it is set to 20 times leverage, 5% of the total funds are used as margin to open an order, it is also 0 leverage.

If it is set to 100 times leverage, and 1% of the total funds are used as margin to open an order, it is also 0 leverage...

The leverage set in the contract is not the same as the final total warehouse leverage.

If the total warehouse leverage exceeds 3~5, it is very, very high. For example, a 400,000 position is opened with a principal of 100,000. This is a 3 times leverage of the total warehouse. Unless you are very sure, don't use it easily.

The reality is that many people use 10, 20 times or even 50, 100 times. All the principal is used as margin to open an order, and the total warehouse leverage is also 10, 20 times... If this can really make a profit, you will soon be the richest man in the world.

It is basically a pipe dream to want to make a profit under this kind of leverage.

#美国5月核心PCE物价指数年率增幅创2021年3月以来新低 #币安合约锦标赛