# Isolated vs Cross Margin

### Isolated Margin <a href="#fc262496-ed1a-41c2-857b-6750caf9c719" id="fc262496-ed1a-41c2-857b-6750caf9c719"></a>

Each position has its own dedicated margin. If liquidated, only that position's margin is lost — your other positions and wallet balance are unaffected.

**Best for:**

* High-risk or experimental trades
* Testing new assets
* Limiting downside on individual positions

### Cross Margin <a href="#d6f8c00e-82e4-4f77-a016-0c9b84a83176" id="d6f8c00e-82e4-4f77-a016-0c9b84a83176"></a>

Your entire account balance acts as shared collateral across all cross-margin positions. Unrealized profits from one position can help prevent liquidation on another.

**Best for:**

* Experienced traders running multiple positions
* Hedging strategies (e.g. long BTC, short ETH)

**Risk:** A single bad trade can deplete your entire account balance.

### How to Set Margin Mode <a href="#id-58c116ee-8c2e-4b6c-baed-89a8eadd5772" id="id-58c116ee-8c2e-4b6c-baed-89a8eadd5772"></a>

Margin mode is selected when opening a new position. Choose Isolated or Cross on the trade confirmation screen before executing.

> ⚠️ **You cannot change the margin mode on an existing open position.** To switch modes, you must close the position and reopen it with the desired margin mode.

### Default Setting <a href="#id-3d62f812-ac15-4608-bd43-997725b0d780" id="id-3d62f812-ac15-4608-bd43-997725b0d780"></a>

You can set your default margin mode in `/settings` so every new position starts with your preferred mode. You can still override it on a per-trade basis.

> 💡 **TIP:** If you are new to perpetual trading, start with Isolated margin. It limits your risk to the margin allocated to each individual position.

### Comparison Table <a href="#cbcd6364-86e5-4afd-a0bd-00d1e1cba543" id="cbcd6364-86e5-4afd-a0bd-00d1e1cba543"></a>

<table data-header-hidden><thead><tr><th width="249"></th><th></th><th></th></tr></thead><tbody><tr><td></td><td><strong>Isolated</strong></td><td><strong>Cross</strong></td></tr><tr><td>Risk per trade</td><td>Limited to position margin</td><td>Entire account balance</td></tr><tr><td>Liquidation scope</td><td>Single position only</td><td>Can affect all cross positions</td></tr><tr><td>Best for</td><td>High-risk trades, beginners</td><td>Multi-position strategies, hedging</td></tr><tr><td>Capital efficiency</td><td>Lower</td><td>Higher</td></tr><tr><td>Change on open position</td><td>Not possible</td><td>Not possible</td></tr></tbody></table>

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