In the booming digital currency trading market today, OKEx trading platform has attracted much attention as a well-known exchange. Among them, contract trading is one of the common trading methods in the digital currency market. On the OKEx platform, contract trading is divided into two modes: position-by-position and full-position margin. Today, we will explore in depth the difference between position-by-position and full-position margin of the OKEx trading platform, and give you a comprehensive understanding of the characteristics and advantages and disadvantages of these two trading modes.

Definition of position-by-position and full-position margin

On the OKEx trading platform, position-by-position and full-position margin are two common contract trading modes. Position-by-position means that traders need to set margin when opening a position, and the role of margin is to resist the risk of trading. Full-position margin means that during the position holding process, the margin comes from the total assets and can be used to bear the risk of the entire position.

Difference between position-by-position and full-position margin

There are significant differences in trading methods and risk control between position-by-position and full-position margin. First of all, in the position-by-position mode, traders need to set margin for each position, so that the risk of each position can be controlled more accurately. The full position margin, on the other hand, distributes the risk of the entire position to the total assets, which can better protect the overall assets from the impact of risks.

Advantages of position-by-position

The advantage of the position-by-position mode is that it can accurately control the risk of each position. By setting different margin ratios, traders can flexibly adjust their positions according to market conditions and personal risk tolerance, thereby minimizing risks. In addition, the position-by-position mode can also avoid the situation where the liquidation of one position affects other positions, thereby protecting the safety of the overall assets.

Advantages of full position margin

In contrast, the advantage of full position margin is that it can make full use of total assets to bear risks, thereby maximizing returns. In the case of a good market, full position margin can allow traders to obtain greater returns and improve investment efficiency. In addition, full position margin can also reduce the transaction costs caused by frequent position adjustments, simplify the transaction process, and improve transaction efficiency.

Application scenarios of position-by-position and full position margin

The position-by-position and full position margin are suitable for different trading scenarios. The position-by-position mode is suitable for traders who pursue refined risk control. They can set the margin ratio of each position according to market conditions and personal risk preferences, and flexibly respond to market fluctuations. The full-position margin is suitable for traders with higher risk appetite and high returns. They are willing to invest their entire assets in one position to obtain greater returns.

Conclusion

Through the above analysis, we can see that the contract position-by-position and full-position margin of the OKEx trading platform have their own advantages and are suitable for different traders and trading scenarios. When choosing a trading model that suits them, traders should make comprehensive considerations based on their risk preferences, market conditions and investment goals, and carefully choose the appropriate trading model to achieve better returns on investment. I hope this article will help you understand the contract position-by-position and full-position margin of the OKEx trading platform. I wish you success in digital currency trading!

The four most famous international exchanges:

Binance INTL	OKX INTL	Gate.io INTL	Huobi INTL
China Line　APP DL	China Line　APP DL	China Line　APP DL	China Line　APP DL

Note: The above exchange logo is the official website registration link, and the text is the APP download link.

Account equity refers to all the assets actually owned by the user in the contract account. Account equity = deposit amount + realized profit and loss + unrealized profit and loss

Realized profit and loss

It is the profit and loss generated by the user's closed position before the contract settlement/delivery liquidation.

Realized profit and loss are included in the account equity and can be used as margin but cannot be withdrawn. After a contract is delivered, the realized profit and loss generated by the contract can be withdrawn to the trading account.

Unrealized profit and loss

It is the profit and loss generated by the user's current position, also called floating profit and loss.

Margin system

Provide two margin systems, full position margin and position-by-position margin.

Full position margin

All balances transferred to the contract account by investors, and the profit and loss generated by all contracts will be used as the position margin of the contract.

When the full position margin mode is adopted, the risks and returns of all positions in the account will be calculated together.

Position-by-position margin

The margin required by investors when opening a position will be used as the fixed position margin of the contract.

When using the position-by-position margin mode, the margin and income of each contract's two-way position will be calculated independently.

Margin rate

Margin rate = total user margin/margin required for user's position-adjustment factor

The adjustment factor varies according to the contract type and margin multiple

Contract type margin multiple 10 times margin 20 times margin

BTC contract 10% 20%

LTC contract 20% 40%