What Is the Maximum Leverage Typically Offered in Crypto Perpetual Swaps?
Maximum leverage offered in crypto perpetual swaps can be extremely high, with some exchanges offering up to 100x or even 125x. However, this level of leverage is highly risky, as a tiny adverse price movement can lead to immediate liquidation.
Many regulated exchanges offer much lower, more conservative leverage limits, such as 20x or 50x.
Glossar
Leverage Offered
Amplification ⎊ Leverage offered in cryptocurrency, options, and derivatives trading represents the use of borrowed capital to increase the potential return of an investment.
Crypto Perpetual Swaps
Market ⎊ Crypto Perpetual Swaps constitute the largest segment of the cryptocurrency derivatives market, providing traders with highly liquid, continuous exposure to digital assets.
Maximum Leverage
Amplification ⎊ Maximum leverage, within cryptocurrency and derivatives markets, represents the utilization of borrowed capital to increase the potential return of an investment, fundamentally altering risk-exposure profiles.
Adverse Price Movement
Exposure ⎊ Adverse price movement within cryptocurrency derivatives represents a deviation from anticipated directional forecasts, impacting portfolio valuations and risk parameters.