What is Margin Trading?

Margin Trading on Bybit is a product based on Spot trading. It allows you to use assets in your Spot Account as collateral to borrow additional funds from Bybit, in order to enter positions larger than your wallet balance, for trading on the Spot market.

Please note that Margin Trading allows you higher returns with lower capital, but also bears higher risks.

 

 

Which coins can be used as collateral and borrowable assets for Margin Trading?

Please refer to the full list from Margin Data.

 

Are there any fees associated with Margin Trading?

Margin Trading incurs Spot trading fee, interest and liquidation fee. For more information, please refer to Bybit Margin Trading: Fees Explained.

 
 

 

Which account do I use for Margin Trading ?

Margin Trading will be channeled directly through your Bybit Spot Account. 

 

Can I trade without completing KYC?

No, Individual KYC Lv. 1 or Business KYC is required. For more information on how to verify your account, please refer to How to Complete Individual KYC Verification.

To learn more about KYC verification, please refer to the following articles:

• Individual KYC FAQ
• Business KYC FAQ

 

 

Can I conduct Margin Trading if I've already enabled institutional lending?

No, if you've already enabled institutional lending, you are no longer eligible for Margin Trading. To remove your UID from the institutional lending user list, please contact institutional_services@bybit.com

 

 

Can I use a Subaccount for Margin Trading?

Yes, subaccount is supported. Currently, it is only open for API and PC users but it will be available to app users soon.

 

 

How much is the interest rate?

The interest rate will be adjusted from time to time to reflect market conditions. Each VIP level will enjoy different daily and yearly interest rates. You can check the interest rate for each coin here . 

 

 

What are the maximum borrowing limits?

To view the maximum borrowing limits of different coins under different VIP level, you can refer to the Margin Data.

 

 

How often will interest be incurred?

Interest will be generated once every hour. Please note that less than one hour will be counted as one hour. 

 

 

Will I be charged interest if I cancel my order?

Yes, interest will be incurred regardless of whether the order has failed or been filled. Interest will be generated immediately after you've successfully borrowed funds. For conditional order, the interest will only be incurred after the order is triggered. 

 

 

Where can I check the average Buy and Sell prices for my spot trading orders? 

When trading on Spot, you can display the average price of your Sell and Buy orders directly on the trading chart. To activate it, click on Display and tick the average price you would like to see. You can also select the period on which the average will be calculated (last 7, 30, 60 or 90 days). Please note that the average will be calculated from the current day to the last day of the selected period.

 

On the website

 

 

On the app

 

 

 

Under what circumstances will I receive a risk notification for Margin Trading?

You may receive two (2) risk alerts via SMS and email as follows:

1. When the risk level of your Spot Account is ≥ 92%, a risk alert will be triggered, and you’ll receive an SMS and email notification to inform you to add more collateral (transfer in more collateral assets) to avoid liquidation.
2. When the risk level of your Spot Account ≥ 95%, you’ll receive a liquidation alert by SMS and email informing you that your position is liquidated.

 

To learn more about the liquidation process, please refer to Risk Level and Liquidation (Margin Trading).

 

Note: It is strongly recommended for users to continue monitoring their account in case of risk alert delay or glitch. Bybit will not be held responsible for liquidations resulting directly or indirectly from this alert feature’s malfunction.

 

 

Which of the trading features on Bybit will be affected when liquidation is triggered?

The following features are affected:

• Withdrawals and trades on the Spot platform
• Funds transfer from/to the Spot Account
• Repayment, leverage settings, NFT trades, and OTC lending

 

What should I do if my Spot Account has been frozen?

You can repay what you’ve borrowed by depositing, transferring or selling other non-margined assets.

 

What is a Margin Insurance Fund?

In the event where your account goes bankrupt, i.e., when you are liquidated, you have insufficient margin assets in the spot account to repay the debt, the platform will use the margin insurance fund to cover your debts. In simple terms,  the margin insurance fund is designed to cover the outstanding balance when the user's position is liquidated. 

As a result, the liquidation fee will be charged to the margin insurance fund as part of the income. 

 

What if I have negative equity in my Spot Account in case of liquidation?

After the loan has been repaid in all margin currencies, any outstanding balance will be covered by the margin insurance fund.

 

Where can I view the history of the liquidation fee charged?

Please click on Orders → Spot Order → Borrowing & Repayment History → Liquidations to view your liquidation records. 

 

Where can I view my borrowing and repayment history?

Please click on Orders → Spot Order → Repayment History to view your borrowing and repayment records. 

 

Where can I view my borrowing and repayment assets?

You can check Orders → Borrowing & Repayment under your Spot Account in the Assets page.