How Does the Exchange Notify a Trader of ADL?
Exchanges typically notify traders of an ADL event via an on-screen notification within the trading interface and often through an email or mobile app alert. The notification details the position that was deleveraged, the size of the reduction, and the new position size.
Transparency is key, but the notification occurs after the automatic deleveraging has taken place.
Glossar
Mobile App
Access ⎊ Mobile apps provide traders with immediate access to cryptocurrency exchanges and decentralized finance protocols from portable devices.
On-Screen Notification
Trigger ⎊ On-Screen Notification functionality within cryptocurrency, options, and derivatives trading platforms serves as a real-time alert mechanism, responding to pre-defined parametric conditions impacting portfolio risk or opportunity.
Notification System
Trigger ⎊ A notification system within cryptocurrency, options trading, and financial derivatives functions as a real-time alert mechanism responding to pre-defined market events, enabling swift execution based on quantitative thresholds.
Trading Interface
Interface ⎊ The trading interface is the primary platform where traders interact with the market.
Transparency
Disclosure ⎊ In cryptocurrency, options trading, and financial derivatives, disclosure transcends mere reporting; it represents a proactive commitment to revealing material information that could influence market participants' decisions.