Perpetual trading offers different ways to manage the funds supporting your positions.

The two most common margin modes are Isolated Margin and Cross Margin.

With Isolated Margin, each position has its own dedicated margin.

If that position is liquidated, only the funds assigned to that position are at risk.

The rest of your account balance remains unaffected.

Many traders prefer isolated margin because it limits the risk to a single position.

With Cross Margin, your available account balance is shared across your open positions.

This allows profitable or unused funds in your account to help support positions during market fluctuations.

While this may reduce the chance of early liquidation, it also means more of your account balance may be at risk if losses continue.

The most suitable margin mode depends on your trading strategy and risk tolerance.

Before choosing a margin mode, make sure you understand how each one affects your overall account risk.

This depends on the functionality available for the market or position you’re trading.

Each mode has its own advantages and risks.

Isolated margin limits the funds at risk for an individual position, while cross margin uses available account equity to support open positions.