paint-brush
The Role of Auto-Liquidation Algorithms in Crypto Margin Tradingby@antongolub
322 reads
322 reads

The Role of Auto-Liquidation Algorithms in Crypto Margin Trading

by Anton Golub2mApril 24th, 2023
Read on Terminal Reader
Read this story w/o Javascript
tldt arrow

Too Long; Didn't Read

Traders often use leverage to increase the potential profit of trade, hence those transactions are done on margin. If the trader's account value falls below the required minimum maintenance level, a broker has the legal right to liquidate those positions in order to cover the margin call. Brokers use real-time liquidation procedures, the so-called auto-liquidation algorithms, and automated trading strategies.
featured image - The Role of Auto-Liquidation Algorithms in Crypto Margin Trading
Anton Golub HackerNoon profile picture
Anton Golub

Anton Golub

@antongolub

Market maker & exchange operator. 9 years in industry. I write about crypto shadow banking, market making & liquidity.

0-item

STORY’S CREDIBILITY

Original Reporting

Original Reporting

This story contains new, firsthand information uncovered by the writer.

L O A D I N G
. . . comments & more!

About Author

Anton Golub HackerNoon profile picture
Anton Golub@antongolub
Market maker & exchange operator. 9 years in industry. I write about crypto shadow banking, market making & liquidity.

TOPICS

THIS ARTICLE WAS FEATURED IN...

Permanent on Arweave
Read on Terminal Reader
Read this story in a terminal
 Terminal
Read this story w/o Javascript
Read this story w/o Javascript
 Lite
Droomdroom
Cryptocompass
Cryptocompass
Com
Aidailydigest