Unified Margin Accounts: Shared Collateral, Risk Modes, and Liquidation
Summary
The document explains how a unified trading account pools eligible collateral across spot, margin, and several futures products. It describes account equity as the USD value of balances, frozen margin, and unrealized profit or loss, then defines a margin rate using maintenance margin and estimated liquidation fees. It contrasts isolated, stablecoin-pool, multi-asset, and delta-neutral modes, emphasizing that each mode changes which balances and positions share risk.
Two examples illustrate how unrealized gains can increase available margin and how other assets can support a losing futures position when adjusted by collateral ratios. The article also notes the costs and risks of shared collateral: correlated losses can compound, borrowing accrues interest, and account-wide liquidation thresholds can shift with prices and orders. Its calculations and available assets are platform-specific examples, not universal margin rules; collateral eligibility, discounts, and liquidation mechanics may differ across products and venues.
Key ideas
- A unified account values eligible balances, frozen margin, and unrealized PnL together as account equity.
- The account margin rate compares maintenance requirements and estimated fees with total equity.
- Shared collateral can let open profits or other eligible assets support additional positions.
- Collateral ratios reduce the usable value of some assets, and borrowing can incur interest.
- Cross-margin risk depends on the entire account, so correlated positions can increase losses and liquidation exposure.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.