What is margin trading? How to transfer/borrow/repay on the app
This article covers:
What is margin trading
Margin trading is a method of trading assets using third-party funds. Traders borrow funds to buy and sell cryptocurrencies, enabling them to utilize more capital and amplify their positions through leverage. Margin trading can magnify both profits and losses, resulting in greater gains for profitable trades or larger losses when the market moves against them.
How to transfer
Log in to your XT account, go to the homepage, and click on the [Assets] option on the bottom navigation bar.
Select the [Margin] option and click the [Transfer] button on the trading page.
Select the option to transfer funds from the Spot Account or Futures Account to the Margin Account on the transfer page. Then choose the trading pair and currency, enter the transfer amount, and click [Transfer] to confirm.
Once the transfer is complete, you can view the updated balance in your [Margin Account].
How to borrow
After confirming that funds have been transferred to your Margin Account, go to the Margin Account page and click the [Borrow] button.
Select the market (e.g., XT/USDT) on the borrowing page and enter the borrowing amount. Make sure that the daily interest rate and other relevant information are correct before clicking [Confirm].
Note: The system will automatically calculate the maximum amount you can borrow based on the corresponding assets in your Margin Account and the leverage multiplier.Once borrowing is successful, you can check the borrowed amounts for each currency and the total borrowing amount in your [Margin Account].
How to repay
Click the [Repay] button on the Margin Account page
Select the market (e.g., XT/USDT) on the repayment page and enter the repayment amount. Make sure that the interest and other relevant information are correct before clicking [Confirm].
Notes:
- You must repay using the borrowed currency. For example, if you borrowed XT, your account must have XT when repaying; other currencies cannot be used as substitutes.
- You can choose to repay in full or in part, but regardless of the repayment method, the loan interest will always be repaid first, followed by the loan principal.