> For the complete documentation index, see [llms.txt](https://docs.imperial.trade/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.imperial.trade/trading/margin.md).

# Margin

Margin is the USDC collateral that backs your positions. Imperial has two margin modes, chosen per profile.

### Isolated margin

Each position has its own collateral.

* Only that collateral is at risk. If the position is liquidated, your other positions and the rest of your balance are untouched.
* You get the market's full leverage tier, up to **250x** (see [Leverage](https://docs.imperial.space/trading/leverage)).
* You can hold a long and a short on the same market at the same time; each gets its own isolated account.
* Add or remove collateral on an open position to move its liquidation price. Removing collateral increases liquidation risk.
* When you close, the collateral returns to your profile automatically.

### Cross margin

One balance backs all your cross positions.

* Profit on one position supports the others, so you need less total collateral.
* Leverage is capped at **25x** per account.
* Hedged accounts get extra credit from [Portfolio Margin](https://docs.imperial.space/trading/portfolio-margin).
* If the account is liquidated, **every cross position is closed** together.

### Initial margin

To open or increase a position, your settled collateral must cover your total position size at your leverage:

> total entry notional ≤ collateral × max leverage

Unrealized profit does **not** count toward opening new positions. The trading fee also comes out of collateral, which is why the maximum leverage shown is slightly below the headline figure (for example 24.93x on a 25x cap).

### Maintenance margin

Maintenance margin is the minimum equity you must keep to avoid liquidation.

* **Equity** = collateral + unrealized PnL at the mark price − funding owed.
* Each market has its own maintenance rate. It is **fixed when you open** the position and does not change while the position stays open.
* Isolated positions use the market's tier rate, for example **0.20%** of notional for BTC and SOL.
* Cross accounts use each market's rate on its current mark notional, reduced by [Portfolio Margin](https://docs.imperial.space/trading/portfolio-margin) for hedged accounts.

If equity falls below maintenance margin, the account is [liquidated](https://docs.imperial.space/trading/liquidation).

> **Note:** **Rule of thumb:** your liquidation price is roughly where the move against you equals your initial margin minus your maintenance margin. The trade screen shows the exact liquidation price before you submit.