Huobi HTX has recently introduced a groundbreaking innovation with the official launch of its USDT-margined contract cross margin mode, now available to all users. This revolutionary model breaks traditional trading limitations, offering global crypto users unprecedented flexibility in trading and streamlined asset management.
Cross Margin Mode: Unlocking New Trading Possibilities
The cross margin mode is an innovative trading mechanism that allows users to utilize non-USDT cryptocurrencies like BTC and ETH as margin collateral for USDT-margined contract trading.
Unlike traditional models that restrict margin to USDT only, this approach provides enhanced fund allocation flexibility. Currently supported margin currencies include USDT, BTC, and ETH, with plans to expand based on market demand and technical advancements. Users can stay updated via Huobi HTX's official announcements.
Key Benefits:
- Direct asset utilization: Trade without converting BTC/ETH to USDT
- Reduced costs: Eliminates unnecessary conversion fees
- Opportunity capture: Enables quick market entry during volatility
Maximizing Capital Efficiency for Diverse Strategies
The cross margin mode significantly boosts capital efficiency, particularly benefiting long-term holders ("HODLers") of premium assets.
Previously, users had to convert BTC/ETH into USDT to participate in USDT-margined contracts—adding steps and potential opportunity costs. Now, assets like BTC can be transferred directly into the USDT contract account as collateral, allowing simultaneous long-term holding and short-term trading.
Practical Application Example:
A BTC investor bullish on its long-term value can:
- Retain BTC ownership
- Use it as margin for USDT contracts
- Capitalize on short-term market movements
This dual approach preserves asset appreciation while generating auxiliary income from trades.
Huobi HTX’s Commitment to Innovation
The cross margin launch reflects Huobi HTX’s user-centric philosophy and dedication to advancing trading solutions.
Future Roadmap:
- Enhanced stability: System optimizations for smoother transactions
- Expanded support: More margin currencies and trading pairs
- Advanced tools: Improved strategies for professional traders
👉 Explore Huobi HTX’s latest trading innovations
FAQ
Q: Which cryptocurrencies can be used as margin in this mode?
A: Currently USDT, BTC, and ETH; additional assets may be added later.
Q: Does cross margin mode support automatic liquidation?
A: Yes, risk management protocols remain active to protect positions.
Q: How does this benefit long-term holders?
A: It enables asset retention while accessing leveraged trading opportunities.