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Margin Asset

A margin asset is an asset accepted by a trading platform as collateral for leveraged positions. Depending on the contract and platform, this could be a stablecoin, cryptocurrency or another eligible asset.

Why it matters to you

The asset used as margin introduces its own risks. If a trader uses BTC as margin, for example, the value of the collateral can change at the same time as the leveraged position. This can create very different risk characteristics from using a relatively stable margin asset.

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