4 ms·
> You’ve missed something, but I’m not sure what. This is what I'm trying to figure out too. Basically, how do you buy $1m worth of BTC/USDT perps without de
by NhanH 5y ago
> You’ve missed something, but I’m not sure what.
This is what I'm trying to figure out too.
Basically, how do you buy $1m worth of BTC/USDT perps without depositing $1m of USD into Binance? Let's say if we put in $100k USD with a 1:10 leverage, it means the position on Binance is wiped out if BTC drops by more than 10%. So the only way for this to work is to deposit $1mil of USD into Binance and opening the position. But this means we lost a whole $1m when Binance implodes, cancelling our gain in the short position.
Otherwise, we need to borrow $1mil of USDT to open the Binance BTC/USDT position.
What did I miss?
- clemlais 5y agoYou will need to monitor your positions (both long and short) and transfer the margin accordingly between each account.
- graeme 5y agoOn May 19th, Binance froze up and prevented people from adding margin. Lawsuit about it now. The claims are that Binance was insolvent and redid the trades to stabilize themselves. See Frances Kim for info or an FT article about the lawsuit. Whatever the reason, no guarantee you can deposit collateral.