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

# Margin Tiers

Margin Tiers define how maximum leverage and maintenance margin requirements scale with position size. Larger positions require lower leverage and higher margin.

### How it works

* **Smaller positions** → higher max leverage, lower maintenance margin rate
* **Larger positions** → lower max leverage, higher maintenance margin rate

This protects both traders and the platform from excessive concentration risk on large positions. As your position size grows, you may move into a higher tier with stricter requirements.

### Maintenance margin calculation

```
Maintenance Margin = Position Notional × MMR
```

Where:

* **Position Notional** = `Position Size × Mark Price`
* **MMR** = Maintenance Margin Rate (varies by tier — published per market)

### Related Pages

<table><thead><tr><th width="235.76171875">Pages</th><th width="437.109375">Description</th></tr></thead><tbody><tr><td><a href="/pages/Whq0nZ2jGGayqyHTTFvA">Position and Order Limit</a></td><td>Limitation of position and placing orders</td></tr><tr><td><a href="/pages/ULmoXhthX9AEP6aH6ZSe">Order Types and Matching</a></td><td>Market, Limit, and advanced orders and matching mechanics</td></tr><tr><td><a href="/pages/z986rTaJ8Z98daTE3x0N">Liquidation</a></td><td>Detailed liquidation mechanics</td></tr><tr><td><a href="/pages/qHStLNd4Ek6xhOePLqG1">Trading Fees</a></td><td>Trading and funding fees</td></tr></tbody></table>