# Leverage

### **What is Leverage?**

Leverage enables you to control a larger position size than your actual wallet balance. For instance, with 5× leverage, a $1,000 margin allows you to open a $5,000 position. While this can magnify profits, it also increases potential losses.

### **Adjusting Your Leverage**

<figure><img src="https://4068247257-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FWhSHuKmgnGREbVb12PK2%2Fuploads%2FwOddeDaavsGMgf4iTye1%2Fimage.png?alt=media&#x26;token=eac6c664-5ed9-451d-92f4-c26a395be65a" alt="" width="563"><figcaption><p>BTC/USD's max leverage is 1,001x</p></figcaption></figure>

BTC/USD's maximum leverage is 1001x.

You can manually set your leverage before opening a position, ranging from 1x up to 1001x, depending on the specific market.

**Increasing leverage:** Boosts your position size without additional margin but brings the liquidation price closer to your entry point.

**Decreasing leverage:** Reduces your position size and moves the liquidation price further from your entry, lowering risk.

### **Leverage and Position Management**

**Leverage below 500×:**

* You can add margin to open positions
* An open/close position fee of 0.08% applies

**Leverage of 500× and above:**

* Adding margin to open positions is not supported
* Maximum net profit ROI is capped:
  * Approximately 500% for 500× and 750× leverage
  * Approximately 300% for 1001× leverage

### **Market-Specific Leverage and fFees**

#### **BTCUSD**

* Up to 1001× leverage
* For 500×, 750×, and 1001× leverage:
  * 0% open position fee
  * Lower price slippage
  * A dynamic PnL fee is applied when closing positions. This fee is designed to charge fees based on profit and loss, aiming to protect traders from excessive losses.
  * Adding margin to open positions is not supported
  * Maximum net profit ROI:
    * Approximately 500% for 500× and 750× leverage
    * Approximately 300% for 1001× leverage
* For leverage below 500×:
  * 0.08% open/close position fees
  * Margin can be added to open positions

#### **ETH/USD**

* Up to 250× leverage
* 0.08% open/close position fees
* Margin can be added to open positions

#### **Other Crypto Perpetual Contracts**

* Up to 75× leverage
* 0.08% open/close position fees
* Margin can be added to open positions

#### **Forex Perpetual Contracts**

* Up to 200× leverage
* 0.02% open/close position fees
* Margin can be added to open positions

### **Leverage Example**

Suppose you have $100 in your wallet and open a long BTC position at $20,000 using 10x leverage. Your position size becomes $1,000. If BTC's price increases by 5% to $21,000, your profit is $50, yielding a 50% return on your $100 margin. By contrast, a 5% price drop would result in a 50% loss.