As margin borrowing and Crypto Loan share the Simple Earn funding pool, the following rules apply to both.
1、Borrowing Rate: Updated every hour on the hour based on market conditions.
2、Interest: Calculated based on the hourly interest rate on the hour after successful borrowing. For margin borrowing, interest is deducted immediately; for Crypto Loan, interest is added to the liabilities.
3、Loan Cap: The actual borrowable amount, or Borrowable, is the lowest among Margin Borrowable (the borrowable amount calculated by the available margin or collateral in Crypto Loan), Pool Available (funds in the Simple Earn pool), and Loan Cap (loan quota offered by the platform for each user, which varies by VIP tier). You can increase your loan cap by raising your VIP tier, increasing your account balance, or completing more advanced verification.
Note: Loan caps for Trading Account loans, isolated margin loans, and Crypto Loan are independent of each other.
Example:
User A has 200,000 USDT available as margin in the Trading Account. With the fixed 3x leverage (corresponding to an initial margin ratio of 33% for borrowing), User A's Margin Borrowable is 606,060.60 USDT. The Pool Available now is 800,000,000 USDT. However, User A's individual Loan Cap is 300,000 USDT. Therefore, the actual borrowable amount of User A = min(Margin Borrowable, Pool Available, Loan Cap) = 300,000 USDT. Thus, User A can borrow up to 300,000 USDT.
The above scenario is based on the premise that the Borrowed in Trading Account is 0. If not, the Borrowed should be deducted. In this case, the actual borrowable amount = min(Available Margin / Initial Margin Ratio / USDT Value of Last Price, Pool Available, (Loan Cap – Borrowed)).
Note: Loan caps may be affected by risk controls. The actual amount shown on the borrowing page shall prevail.