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Top Cryptocurrency Exchange Bybit Reduces Margin Requirements With Portfolio Margin Mode

VICTORIA, SEYCHELLES – Media OutReach – 15 June 2022 – Bybit, a cryptocurrency exchange with one of the largest BTC futures open interest, has enabled portfolio margin mode for eligible users on June 15, 2022.

Bybit users will now be able to fully leverage their portfolio with greater capital efficiency thanks to the new portfolio margin feature. The portfolio margin mode evaluates positions across Bybit’s extensive trading products, and calculates the margin accordingly.

Portfolio margin increases users’ capital efficiency by calculating the overall risk across a user’s hedged portfolio. Doing this reduces margin requirements, and potentially amplifies return on capital.

For example, under the bull market call spread strategy in regular margin mode based on individual positions, the trader needs to pay the premium required for the option bought. At the same time, the trader will also need to pay the margin required for the option sold, while the combination target return is limited. Under this strategy, users may not achieve the optimal return on capital.

With the portfolio margin mode activated, Bybit calculates the combined risk of options bought and sold. Since most of the risk has been hedged, the margin will be significantly reduced. The more comprehensive approach to risk assessment yields safer and more stable trading strategies and, in turn, higher returns in profit scenarios.

“We are excited about the opportunities Bybit’s portfolio margin will open up for Bybit users. As traders ourselves, we understand the importance of having access to the most powerful trading tools and features. To that end, portfolio margin offers one of the best capital efficiency options in the market on one of the most reliable trading platforms out there. This product is another step forward in our growth as a digital asset service provider in our continued effort to meet the needs of the community of 6 million registered users on the Bybit platform,” said Ben Zhou, co-founder and CEO of Bybit.

Portfolio margin takes derivatives trading on Bybit to the next level. Users can start with newly launched USDC perpetual contracts plus USDC options with greater capital efficiency. Portfolio margin will be expanded into USDT products in later stages.

Furthermore, traders can be confident that Bybit’s tested and trusted TP/SL (Take Profit/Stop Loss) feature will help them to trade derivatives easily with advanced exit position methods. As with all our leveraged products, users can manage risks and safeguard themselves against excessive losses with multi-layered liquidation protocols to ensure safety and fairness across all Bybit trades, every step of the way.163275-Bybit.jpg

About Bybit

Bybit is a cryptocurrency exchange established in March 2018 that offers a professional platform where crypto traders can find an ultra-fast matching engine, excellent customer service and multilingual community support. The company provides innovative online spot and derivatives trading services, mining and staking products, an NFT marketplace as well as API support, to retail and institutional clients around the world, and strives to be the most reliable exchange for the emerging digital asset class. Bybit is a proud partner of Formula One racing team, Oracle Red Bull Racing, esports teams NAVI, Astralis, Alliance, Virtus.pro and Oracle Red Bull Racing Esports, and association football (soccer) teams Borussia Dortmund and Avispa Fukuoka.

For more information please visit: https://www.bybit.com/

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For media inquiries, please contact: press@bybit.com