Leverage and MMR & IMR

Nexus Prime provide leverage adjust in crypto margin trading and future trading. To better manage the risk of leverage, Nexus Prime has designed different gears based on business characteristics to manage MMR(Maintenance Margin Rate) and IMR (Initial Margin Rate) during the use of leverage.

Tiers in Margin

In margin trading, different tiers will be calculated according to the leverage used and under this leverage, and the borrowing amount of each coin.

There are two basic logics：

1）The leverage rises, the borrowing amount will be less.

2）As the borrowing amount rises, the MMR and IMR will also rises.

This is a sample of different tiers in margin trading, based on USDT.

For example, if you have borrowed 30000USDT, which means you are in tier 2, MMR and IMR now is 2.50% and 10.53%, and the max leverage you can use in margin trading in the pairs needing to borrow USDT is 9.50x.

If you do not swift down your leverage, the max borrowing amount of USDT is 40000, it means you can not borrow more USDT.

If you swift down your leverage to 8.50x, now you can borrow max 200000USDT, but your MMR and IMR will not be change until you borrow more than 40000USDT, and step into tier 3.

Tiers in Futures

From the perspective of future, it will be a little different.

In future trading , different tiers will be calculated according to the total CONT(contract numbers) of each pairs. The total CONT includes the those in position and open orders.

There are two basic logics：

1）The leverage rises, the max CONT will be less.

2）As the CONT rises, MMR and IMR will also rises.

This is a sample of different tiers in future trading, based on BTC/USDT.

For example, if you have a position of 500 contracts of BTC/USDT, which means you are in tier 2, MMR and IMR now is 0.50% and 1.50%, and the max leverage you can use in this pairs is 66.66x.

If you do not swift down your leverage, the max CONT of this pair you can have is 1000, it means you can not have more contracts in position in BTC/USDT.

If you swift down your leverage to 55.00x, now you can hold max 4000contracts, but your MMR and IMR will not be change until you have exceed 1001contracts and step into tier 3.

The details of tier info can be seen in the following link

💎Tier info in Margin and Futures