By default, collateral is posted in USD and pnl is paid out in USD.
Balances of the following coins also count towards collateral. USDT, BTC, and FTT count towards collateral at 0.95 times their index prices. ETH counts towards collateral at 0.9 times its index price.
- FTT (optional)
You can choose whether to use FTT as collateral on the settings page. By default your account will use FTT as collateral.
In the event that your USD balance falls too far below zero (see below for details), some of your balances in the above coins may be automatically traded into to USD by sending market orders into the corresponding FTX spot markets.
Any positive PnL will be paid out in USD regardless of which type of collateral you use.
FTX will trade your non-USD collateral into USD if your USD balance is negative and any of the following hold:
- You are close to liquidation: your account's margin fraction is less than (20bps + maintenance margin fraction requirement)
- Your negative USD balance is large: over $30,000 in magnitude
- Your negative USD balance is large when compared to overall collateral: its magnitude is over 3 times larger than your net account collateral
- All FTX users collectively have over $3,000,000 in negative USD
FTX will first turn (BTC and USDT), then ETH, and then FTT (if you have it enabled) into USD. If both BTC and USDT are eligible choices, FTX will choose the smaller balance: if you have $100 of BTC and $1000 of USDT, your BTC will be traded into USD first. FTT collateral is always used last.
FTX Telegram Communities
English - https://t.me/FTX_Official
Chinese - https://t.me/FTX_Chinese_Official
WeChat - FTX_Official
Facebook - https://www.facebook.com/ftx.official/
SBF Twitter - https://twitter.com/SBF_Alameda
YouTube - https://www.youtube.com/channel/UC3r0upC_xJ9SvtaCKNUtosA