Accounts and Margin

Collateral

TxFlow uses USDC as the sole collateral asset for all positions.

Margin modes

When opening a position, choose one of two margin modes:

Mode	How It Works	Best For
Cross Margin	All cross-margin positions share a single collateral pool, maximizing capital efficiency. Unrealized PnL from one position can offset losses in another.	Experienced traders managing multiple positions
Isolated Margin	Collateral is dedicated to a single position. Liquidation in one isolated position does not affect other positions.	Limiting risk on high-leverage or speculative trades

Initial margin and leverage

Leverage lets you control a larger position with less capital. You can select leverage up to the maximum allowed for each asset (see Margin Tiers).

Initial Margin is the collateral required to open a position:

Mode	Formula
Cross Margin	Initial Margin = Position Size × Mark Price ÷ Leverage
Isolated Margin	Initial Margin = Position Size × Mark Price ÷ Leverage

Once open:

• Initial margin is locked and cannot be withdrawn until the position is closed.

• Isolated positions: You can manually add margin to reduce liquidation risk.

• Cross positions: Unrealized PnL automatically contributes to your total margin balance.

Maintenance margin and liquidations

Maintenance Margin is the minimum collateral required to keep a position open. If your equity drops below this level, your position may be liquidated.

Maintenance Margin = Position Notional × MMR 

Margin Mode	Liquidation Trigger
Cross Margin	Account value (including unrealized PnL across all cross positions) falls below total maintenance margin requirement
Isolated Margin	That position's margin falls below its individual maintenance margin requirement

Cross vs. isolated — key differences

Feature	Cross Margin	Isolated Margin
Collateral	Shared across all cross positions	Dedicated to single position
Unrealized PnL	Offsets other positions	Only affects that position
Liquidation impact	Can affect all cross positions	Limited to that position only
Add margin manually	No (automatic via shared pool)	Yes
Capital efficiency	Higher	Lower
Risk management	Shared risk	Contained risk

High leverage amplifies both gains and losses. A small price movement can result in significant losses or complete liquidation of your position. Only trade with funds you can afford to lose.

Related Pages

Pages	Description
Trading Rules	Trading rules of TxFlow
Order Types and Matching	Market, Limit, and advanced orders and matching mechanics