Risk Control. The Platform shall have the right to set the position limit for a single token type, which is used to calculate the risk rate, the purchase limit and the amount that can be transferred out your Cross-Leverage Account. Only Digital Assets in your Cross-Leverage Account can be used as Margin for the Loan. We shall monitor the Margin Ratio of your Cross-Leverage Account. For the purposes of this Annex 1, your Margin Ratio shall be determined as follows: Margin Ratio = Total value of Digital Assets within your position limit/(total value of liabilities + unpaid service fee) The value of your assets shall be denominated in USDT, whereby the total market value of Digital Assets = the current total market value of the Digital Assets within the position limit of the Cross-Leverage Account. The value of Digital Assets exceeding your position limit is not accounted for in the calculation of the Margin Ratio. Total value of liabilities = current total market value of Loans outstanding in the Cross- Leverage Account Unpaid service fee = amount of each Loan * duration of the Loan at the time of calculation * hourly service rate - offset/paid service fee When the Margin Ratio of the Cross-Leverage Account reaches 120% (“Warning Line”), the system will send a message to you through the contact information you provided (“Warning Message”). When the risk rate of the Cross-Leverage Account reaches 110% (the “Forced Liquidation Line”), the system will automatically trigger a Forced Liquidation, liquidating the positions in the Cross-Leverage Account held by you and automatically repaying all your Loans. If you have more than one Loan, the repayment will be made in chronological order and the Loan that occurs first will be repaid first. If all the assets in your Cross- Leverage Account are insufficient to repay all Loans, the Platform shall have the right to recover any owed amounts from you. The Platform shall have the right to limit the purchase amount of tokens of a single type, to avoid reduced risk rates or even Forced Liquidation triggered by the purchase of tokens exceeding the position limit. You shall be aware of the risks of leveraged trading. All losses caused by Forced Liquidation shall be borne by you, including any losses where you did not take appropriate measures to reduce your position after receiving in time after receiving a Warning Message. We reserve the right to manage the total value of Loans, the maximum amount of Loans, the Margin Adjustment Coefficient, the Warning Line and Forced Liquidation Line. In the event the balance in your Cross-Leverage Account is negative after a Forced Liquidation, we reserve the right to restrict any transfers and/or from your accounts with us. Any transfers to your Cross-Leverage Account will also be used to pay off any outstanding amounts owed.
Appears in 1 contract
Sources: User Agreement
Risk Control. The Platform shall have the right to set the position limit for a single token type, which is used to calculate the risk rate, the purchase limit and the amount that can be transferred out your Cross-Leverage Account. Only Digital Assets in your Crosseach Isolated-Leverage Account can shall not be used included as Margin for the Loanin other Isolated-Leverage Accounts. We shall monitor the Margin Ratio of your Cross-Isolated- Leverage Account. For Accounts in real time and reserve the purposes of this Annex 1, right to take measures according to the change in your Margin Ratio shall be determined as follows: Ratio. Margin Ratio = Total value of Digital Assets within your position limit/(total Assets/(total value of liabilities + unpaid service fee) The value of your assets shall be denominated in USDT, whereby the total market BTC Total value of Digital Assets assets = the current total market value of the all Digital Assets within the position limit of the Cross-Leverage Account. The value of Digital Assets exceeding your position limit is not accounted for in the calculation of the Margin Ratio. Isolated- Leverage Account Total value of liabilities = current total market value of all Loans outstanding in the Cross- Isolated-Leverage Account Unpaid that have been borrowed but not returned. Unreturned service fee = amount of each Loan * Loan duration of the Loan as at the time of the calculation * hourly service rate - offsetrate-deducted/paid returned service fee fee. When the Margin Ratio of the CrossIsolated-Leverage Account reaches 120% (“the Warning Line”), the system will send a message Warning Message to you through the contact information you provided (“Warning Message”)provided. When the risk rate of the Crossyour Isolated-Leverage Account reaches 110% (the “Forced Liquidation Line”), the system will automatically trigger a Forced Liquidation, liquidating the positions in the CrossIsolated-Leverage Account held by you and automatically repaying all your Loans. If you have more than one Loan, the repayment will be made in chronological order and the Loan that occurs first will be repaid first. If all the assets in your Cross- Isolated-Leverage Account are insufficient to repay all Loans, the Platform shall have the right to recover any owed amounts from you. The Platform shall have the right to limit the purchase amount of tokens of a single type, to avoid reduced risk rates or even Forced Liquidation triggered by the purchase of tokens exceeding the position limit. You shall be aware of the risks of leveraged trading. All losses caused by Forced Liquidation shall be borne by you, including any losses where you did not take appropriate measures to reduce your position after receiving in time after receiving a Warning Message. We reserve the right to manage the total value of the Loans, the maximum amount of Loans, the Margin Adjustment Coefficient, the Warning Line and Forced Liquidation Line. In the event the balance in your CrossIsolated-Leverage Account is negative after a Forced Liquidation, we reserve the right to restrict any transfers and/or from your accounts with us. Any transfers to your Cross-Leverage Account will also be used to pay off any outstanding amounts owed.
Appears in 1 contract
Sources: User Agreement