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  1. Home
  2. /Glossary
  3. /Isolated Margin
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trading

Isolated Margin

A margin mode where you assign a specific amount of collateral to each position separately.

Definition

A margin mode where you assign a specific amount of collateral to each position separately. If that position gets liquidated, only the allocated margin is lost, not your whole account. It's safer than cross margin for risky trades but gives you less room before liquidation.

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Related Terms

Cross Margin

A margin mode where your entire account balance acts as collateral for all open positions.

Margin

Borrowed money used to increase trading position size.

Liquidation

When a borrower's collateral is forcibly sold because their position became too risky.

Accumulation Phase

A period when smart money quietly buys up an asset before a major price move.

Annualized Return

The average yearly return on an investment, calculated to account for compounding.

Arbitrage

Profiting from price differences of the same asset across different markets.

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