Liquidation

Last updated 17 days ago

Since WCX uses an isolated margin system, each position's liquidation price is known ahead of time. You can see an order or position's liquidation price in its Details panel.

A position is liquidated when it loses 80%.

Example

You have the following buy position on EUR/USD:

  • Size: 100 BTC

  • Leverage: 100x

  • Entry price: 1.12

  • Margin: 1 BTC

Your liquidation price is the price at which your position loses 80% of its 1 BTC margin = 0.8 BTC. Since it's a 100 BTC position, it will lose 0.8 BTC when price drops 0.8% from your entry price. So the position's liquidation price is 1.11104.

1.12 * (1 - 0.8%) = 1.11104

When your position is liquidated, it loses 100% of its margin. In the above example, you would lose 1 BTC if your liquidation price is hit. The 20% difference from the 80% loss trigger price is used as safety risk measure for fast-moving markets.