The maintenance margin is a key mechanism used in trading to prevent forced liquidation. This article aims to explain in detail the maintenance margin calculation process for USDT perpetual contracts.
What is Maintenance Margin?
The maintenance margin is the minimum margin amount that traders must continuously maintain in their accounts to keep their current positions from being forcibly liquidated. When unrealized losses cause the actual margin of a position or account to fall below this minimum requirement, the system will automatically trigger liquidation.
As the value of contracts held by traders (i.e., position value + order value) increases and reaches higher risk limit tiers, the required maintenance margin rate will also increase accordingly, resulting in a higher required margin amount.
Example:
Suppose a trader opens a BTCUSDT position. If the position value is between 3,000,000 and 12,000,000 USDT, the required maintenance margin rate is 1.0% of the position value. If the position value rises to between 12,000,000 and 70,000,000 USDT, the required MMR will increase to 2.0% of the position value.
| Tier | Position Value | Maximum Available Leverage | Maintenance Margin Rate |
1 | 0-300,000 | 125 | 0.4% |
2 | 300,000-800,000 | 100 | 0.5% |
3 | 800,000-3,000,000 | 75 | 0.7% |
4 | 3,000,000-12,000,000 | 50 | 1.0% |
5 | 12,000,000-70,000,000 | 25 | 2.0% |
6 | 70,000,000-100,000,000 | 20 | 2.5% |
7 | 100,000,000-230,000,000 | 10 | 5.0% |
8 | 230,000,000-480,000,000 | 5 | 10.0% |
9 | 480,000,000-600,000,000 | 4 | 12.5% |
10 | 600,000,000-800,000,000 | 3 | 15.0% |
11 | 800,000,000-1,200,000,000 | 2 | 25.0% |
12 | 1,200,000,000-1,600,000,000 | 1 | 50.0% |
Each trading pair has its own base maintenance margin rate (MMR), which is adjusted according to different risk limit tiers.
How to Check Maintenance Margin Rates for Each Trading Pair:
Web Version
- Go to the contract trading page (e.g., BTCUSDT perpetual);
- Click the "Funding Rate/Time to Settlement" field in the top price information bar;
- In the pop-up "Contract Information" window, switch to the "Position Tier Information" tab;
- Select the trading pair you want to check (e.g., BTCUSDT perpetual) to see the full tier table.
APP Version
- Go to the contract trading page;
- Tap the "···" more button in the top right corner;
- In the pop-up menu, tap "Contract Information";
- Switch to "Position Tier Information" to view the details.
How to Calculate Position Value, Initial Margin, and Maintenance Margin:
Example:
The mark price remains at 120,000 USDT. The trader buys 10 BTC at 120,000 USDT with 50x leverage;
Position Value = Contract Quantity × Mark Price
= 10 × 120,000 = 1,200,000 USDT
Initial Margin = Position Value / Leverage
= 10 × 120,000 / 50 = 24,000 USDT
Maintenance Margin = Position Value × Maintenance Margin Rate
= (1,200,000 × 0.4%)
= 4,800 USDT
This means that the position will only trigger forced liquidation after unrealized losses reach a maximum of 19,200 USDT (Initial Margin - Maintenance Margin). Traders need to constantly monitor the margin status of their positions.
Disclaimer and Risk Warning
All trading tutorials provided by PerpVia are for educational purposes only and should not be considered financial advice. The strategies and examples shared are for reference only and may not reflect actual market conditions. Cryptocurrency trading involves significant risks, including the possibility of loss of funds. Past performance does not guarantee future results. Please conduct thorough research and understand the risks involved. PerpVia is not responsible for any trading decisions made by users.