The difference between isolated and cross-position contracts [Details! Pay attention! ] 

Isolated contracts: independent margin mode Isolated contracts mean that each transaction has its margin calculated independently. Simply put, when you open an isolated contract, only the margin occupied by the transaction is at risk. Even if market fluctuations cause the transaction to blow up, it will only affect the margin of this transaction, and will not affect other funds in your account. For example, if you have 10,000u in your account and use 2,000u to open an isolated contract, when market changes cause the contract to blow up, you will only lose the 2,000u, and the remaining 8,000u in your account will be safe.  

Full-position contracts: shared margin mode In contrast, full-position contracts use a different margin mechanism. In the full-position mode, your entire account balance is considered as margin. This means that if you open multiple full-position contracts at the same time, they will share the same margin pool. The advantage of this model is that you can get higher returns when the market fluctuates in your favor. However, the risk also increases. If the market changes are not favorable for your trading, the margin of the entire account may be consumed quickly, and may even trigger the liquidation of the entire account. For example, if you open three full-position contracts in a 10000u account at the same time, each contract occupies a part of the margin. When market changes cause any contract to approach liquidation, it will affect the margin level of the entire account. If the margin is not enough to support all contracts, it may lead to the liquidation of the entire account.

Risk control: operate cautiously and allocate funds reasonably After understanding the difference between position-by-position and full-position contracts, novice investors should pay more attention to risk control. First of all, it is not recommended for novices to try contract trading easily unless you already have a deep understanding of the spot market. Secondly, if you decide to try contract trading, be sure to operate cautiously, allocate funds reasonably, and avoid excessive leverage and over-trading.