Leveraged Trading: How to Calculate Borrowing Interest and Liabilities

Understanding Liabilities in Leveraged Trading

Total liability = Borrowed amount + Accrued interest. Bitget's spot leverage calculates interest hourly, with rates varying by cryptocurrency.

Bitget's Interest Rate Structure

• Variable Rates: Interest rates fluctuate based on market conditions and risk factors
• Hourly Calculation: Interest compounds each hour, even for partial hours

Viewing Current Interest Rates

Check the leverage info page for real-time rates:

👉 View current leverage rates

Example Rates:

• BTC daily rate: 0.007%
• USDT daily rate: 0.0126279%

Hourly rate = Daily rate ÷ 24

Interest Calculation Formula

Interest = Borrowed amount × (Daily rate ÷ 24) × Borrowing hours

Key Notes:

1. Partial hours round up to full hours
2. Rate changes apply to subsequent hours

Calculation Example

Scenario:

• Borrow 10,000 USDT at 00:10
• Repay at 02:30
• USDT daily rate: 0.0126279%

Calculation:
00:10-02:30 = 3 hours
10,000 × (0.0126279% ÷ 24) × 3 = 0.15784875 USDT
Total repayment: 10,000.15784875 USDT

Monitoring Liabilities

Two Methods:

1. Trading interface → Assets tab → View borrowed amounts
2. Leverage account → Per-pair breakdown

Interest Payment Process

Repayments automatically deduct:

1. Accrued interest first
2. Then principal

FAQ Section

1. Do rate changes affect existing loans?

Yes. New rates apply to subsequent hours.
Example:

• 1:30-3:59: 0.1% rate
• 4:00 onward: 0.05% rate

2. Does accrued interest impact risk ratio?

Yes. Interest increases liabilities, affecting:
👉 Risk ratio calculations

3. How to get lower interest rates?

• Watch for promotional interest coupons
• Participate in platform events

4. Can assets be transferred out during leverage?

Depends on:

• Platform restrictions
• Net asset position (Net assets - Liabilities = Transferable amount)

Risk Warning: Leverage trading carries significant risk. Maintain adequate risk ratios and consider stop-loss orders to prevent liquidation.

Professional Tip: For optimal leverage strategy, regularly monitor both market conditions and your account's risk parameters. The key to successful leveraged trading lies in disciplined risk management.