What is BTC's leverage to break through
Borrow money to buy bitcoin, when the price falls to the principal and the borrowed bitcoin is only enough to repay the borrowed money, the bitcoin burst
position explosion refers to the situation in which the customer's rights and interests in the investor's margin account are negative under some special conditions. Burst is back to the loss is greater than the margin in your account. After the company's strong level, the remaining capital is the total capital minus your loss, generally the remaining part
the concept of bitcoin was first proposed by Nakamoto on November 1, 2008, and was officially born on January 3, 2009. According to the idea of Nakamoto, the open source software is designed and released, and the P2P network on it is constructed. Bitcoin is a virtual encrypted digital currency in the form of P2P. Point to point transmission means a decentralized payment system
Unlike all currencies,
bitcoin does not rely on a specific monetary institution. It is generated by a large number of calculations based on a specific algorithm. Bitcoin economy uses a distributed database composed of many nodes in the whole P2P network to confirm and record all transactions, and uses the design of cryptography to ensure the security of all aspects of currency circulation
1. Different concepts
position crossing is one of the futures terms, which refers to the risk situation that the customer's rights and interests in the customer's account are negative, that is, the customer not only loses all the margin on the account before opening the position, but also owes the futures company money
position explosion refers to the situation that the customer's equity in the margin account of investors is negative under some special conditions. A burst is a loss greater than the margin in your account. After the company is forced to level, the remaining capital is the total capital minus your loss, and generally there is still a part left
2. Different ways of expression
through position refers to that the amount of your loss exceeds the total amount of all your margin, even if you even out all your contracts, it is still not enough to make a loss. Burst position refers to your position is forced flat, there is not much margin left, or the guarantee is zero. Proportion refers to the percentage of the volume of that column in the total volume of a day. The bidding rate refers to the percentage of the red section of that column in the total length of the column
a position explosion means that the loss is greater than the available funds in your account after the margin is removed. After the company is forced to level, the remaining capital is the total capital minus your loss, and generally there is still a part left. What's more serious is position crossing. Position crossing means that the loss is greater than all the funds in your account, and the funds in your account are negative. After Qiang Ping, you still owe money to the company, and the company will ask for it
3. Different legal consequences
in the case that futures companies strictly implement the day no liability settlement system, the event of position crossing is not common, but it is also heard from time to time. The reason is that in the case of drastic fluctuations in the market, customers' positions may be quickly sealed on the stop board. If the next day in the inertia under the action of a large jump open and customers last day is full, it may appear through the event
in case of position explosion, investors need to make up the deficit, otherwise they will face legal recourse. In order to avoid this situation, we need to control the position, avoid the full position operation like the stock trading, and track the market in time. We can't buy it like the stock trading
1. Referring to different
closing positions is a kind of operation method, which refers to the transaction behavior of one party of futures trading in order to cancel the futures contracts bought or sold before. And position explosion and position closing refers to a phenomenon. Position explosion means that all positions in the account are forced to be closed. Position penetration refers to the phenomenon that there is no money to pay back after position closing in the account
2. Different amount of surplus
burst refers to that there is no amount of surplus in the account after closing the position, but after the phenomenon of crossing the position occurs, not only there is no money in the account, but also some money is owed
When the net value of your account cannot reach the maintenance margin, you will be required to add margin. When you cannot add funds on time, you will be forced to close the position. Some futures companies use "risk" to measure, which is basically the same thing. When there is a gap in the market, you will not only lose money and fail to meet the maintenance margin, but also reverse it Closing positions can be divided into hedging closing and compulsory closinghedging and position closing refers to that futures investment enterprises buy and sell futures contracts in the same delivery month in the same futures exchange to close the futures contracts previously sold or bought. The so-called compulsory position closing refers to that a third person (futures exchange or futures brokerage company, such as Fuhui global Jinhui trading platform) other than the position holder forcibly settles the position of the position holder, also known as being cut off or cut off
there are many reasons for forced position closing in futures trading, such as customers' failure to add trading margin in time, violation of trading position restrictions, temporary changes in policies or trading rules, etc. In the standard futures market, the most common one is forced closing e to insufficient margin
specifically, when the trading margin required by the customer's position contract is insufficient, and the customer fails to increase the corresponding margin or rece the position in time according to the notice of the futures company, and the market is still developing in the direction of unfavorable position, the futures company will forcibly close part or all of the customer's position in order to avoid the loss expansion, The act of filling the margin gap with the funds obtained
In the course of trading, the futures exchange shall take compulsory position closing measures according to regulations, and the closing loss shall be borne by members or customers. Realize the profit of closing positionif the futures exchange compulsorily closes the position e to the violation of rules and regulations by its members or customers, the futures exchange shall count it into the non operating income and no longer assign it to the members or customers who violate the rules; If the position is forced to close e to the change of national policy and the continuous rise and fall of the limit board, it shall be assigned to members or customers
source of reference: Network closing position
source of reference: network bursting position
source of reference: network crossing position
2; Chuancang & quot; It refers to the risk situation in which the customer's equity in the customer's account is negative, that is, the customer not only loses all the margin in the account before opening, but also owes the futures company money, which is called position piercing.
foreign exchange through position refers to the situation when the proportion of foreign exchange through position is lower than 100%, that is, the account capital is lower than the used margin level, or even the account capital is negative.
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if you fail to make up the margin in time, the futures company will not be forced to level immediately. Generally, it will observe the trend of the market and close the position (or open the position) at the appropriate time they think.
open position refers to the floating profit and loss of the account after the futures trader closes the position= Total account capital, that is, customer equity & lt= 0. Because the market changes too fast, futures traders fail to add margin in time when losses occur, and the margin on the account can no longer maintain the original contract; Return to zero & quot; It is commonly known as: burst position
through position refers to the risk situation in which the customer's rights and interests in the customer's account are negative, that is, the customer not only loses all the margin in the account before opening the position, but also owes the futures company money
