> ## Documentation Index
> Fetch the complete documentation index at: https://help.dexari.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Margin & Leverage

> How margin and leverage work on Dexari

<Info>
  Leverage lets you control a larger position with less capital, while margin is the collateral you provide to open and maintain trades. Dexari gives you full control over both, with clear risk management tools.
</Info>

## What is leverage?

Leverage multiplies your exposure to price movements. For example, 10x leverage means a 1% price move results in a 10% change in your position’s value (profit or loss). Dexari supports up to 40x leverage on perps markets.

<Tip>
  Higher leverage increases both potential gains and risks. Use leverage carefully and always monitor your margin.
</Tip>

## Margin types

You can choose between two margin modes for perps trading:

* **Cross margin:** All available funds in your Perps account are used as collateral for all open positions. Losses in one position can affect your entire account balance.
* **Isolated margin:** Only the margin you assign to a specific position is at risk. Losses are limited to that position’s margin.

<Tip>
  Cross margin is best for advanced users managing multiple positions. Isolated margin helps limit risk to a single trade.
</Tip>

## Liquidation risk

If your margin balance falls too low, your position may be liquidated (force-closed) to prevent further losses. For full details on how liquidations work, see the <a href="/trade/liquidations">Liquidations</a> page.

<Warning>
  Leverage increases liquidation risk. Always monitor your margin and use stop loss orders to help manage risk.
</Warning>

<Tip>
  Enable notifications for margin utilization and liquidation warnings in <b>Me > Settings > Notifications</b> to stay ahead of risk.
</Tip>