Cryptocurrency trading has evolved far beyond simple buy-and-hold strategies. With the rise of advanced trading tools, cross-margin trading has become a powerful method for maximizing returns — whether markets are rising or falling. This guide walks you through everything you need to know about cross-margin leveraged trading on mobile apps, from core concepts to practical execution steps, all while maintaining risk awareness and strategic clarity.
👉 Discover how to start leveraged trading with confidence today.
Understanding the Core Difference: Spot vs. Leveraged Trading
The primary distinction between spot trading and leveraged trading lies in one key capability: the ability to borrow assets.
In traditional spot trading, users can only profit when prices rise — buying low and selling high. However, leveraged trading unlocks two additional strategic dimensions:
- Short Selling: You can borrow an asset, sell it at a high price, and repurchase it later at a lower price to return the loan — profiting from downward price movements.
- Amplified Gains: By borrowing funds, you increase your purchasing power beyond your available capital, potentially multiplying profits (and risks) on successful trades.
This flexibility makes leveraged trading ideal for active traders who want to capitalize on both bullish and bearish market trends.
Key Trading Modes in Cross-Margin Accounts
Cross-margin trading offers three distinct operational modes, each designed for different risk tolerances and trading styles:
1. Standard Mode
Use only your own funds for trading. No new loans are generated during transactions. Any profits earned remain in your account as usable assets but do not automatically repay existing debts or interest.
Ideal for traders who prefer full control over repayment timing.
2. Auto-Borrow Mode
When your trade size exceeds available balance, the platform automatically borrows the shortfall based on your credit limit. Profits are added directly to your wallet and will not be used to repay outstanding balances unless manually triggered.
Best for aggressive traders aiming to maximize exposure without manual borrowing steps.
3. Auto-Repay Mode
Trade using your own funds, with no automatic new borrowing. However, any proceeds from trades are automatically applied first toward repaying accrued interest and principal, with leftover amounts credited to your account.
Recommended for disciplined traders focused on debt management and reducing liabilities over time.
Each mode serves a unique purpose. Choosing the right one depends on your financial goals, risk appetite, and market outlook.
How to Execute Manual Borrowing for Leverage Trading
To take full control of your leverage strategy, follow these step-by-step instructions for manual borrowing:
- Tap the Trade button at the bottom of the app, then select the Leverage tab at the top.
- If your leverage account lacks funds, click the Transfer button next to "Available" to move assets into your margin wallet.
- Return to the main leverage screen, tap Borrow/Repay, and open the risk panel.
- Select Borrow, choose your desired cryptocurrency and amount, then confirm by tapping Request Loan.
Once borrowed, this capital increases your buying power. In either Standard or Auto-Repay mode, you can now place orders using both your own funds and borrowed assets — all within the system’s maximum allowable limit.
👉 Learn how top traders manage borrowing limits and optimize leverage ratios.
Automating Leverage with Auto-Borrow Functionality
For faster execution and seamless scaling, auto-borrow mode streamlines the process:
- Navigate to the Leverage section via the Trade menu.
- Transfer required collateral (e.g., USDT or BTC) into your margin account if needed.
- Switch to Auto-Borrow Mode, select your preferred trading pair (like BTC/USDT), and proceed to place an order.
The system calculates your maximum available funds, combining:
- Your current balance
- Your margin ratio
- Your approved credit line
If your order exceeds your personal funds, the platform automatically borrows the difference in real time — enabling larger positions without manual intervention.
⚠️ While convenient, auto-borrowing increases liquidation risk if price moves against you. Always monitor your margin level closely.
Repaying Loans: Manual vs. Smart Auto-Repayment
Managing debt is crucial in leveraged trading. Here's how to handle repayment effectively.
Manual Repayment Process
- Go to the leverage interface and tap Borrow/Repay.
- Open the Repay section and select the currency you owe.
Enter the repayment amount — the interface will show:
- Principal borrowed
- Accrued interest
- Total due
- Confirm repayment once sufficient funds are available in your margin wallet.
This gives you full control over when and how much you repay.
Auto-Repayment Through Trading (Smart Repay)
You don’t always need to deposit extra funds to repay debt. You can use existing holdings to settle liabilities automatically.
For example:
Suppose you’ve borrowed USDT but hold LINK tokens. Here’s how to repay using trade proceeds:
- Set your account to Cross-Margin Mode.
- Choose the LINK/USDT trading pair and enable Auto-Repay Mode.
- Sell your LINK by entering price and quantity.
- Upon execution, the system automatically uses part of the received USDT to clear your debt and interest — only transferring surplus funds to your wallet after repayment.
This smart feature simplifies debt management and improves capital efficiency.
Monitor Your Position: Track Assets & Liabilities
Transparency is critical in leveraged trading. Always stay informed by checking your real-time status:
- Tap Assets & Current Debt in the bottom panel.
- Review all held cryptocurrencies, open loans, interest rates, and total repayment obligations.
Regular monitoring helps prevent margin calls and supports proactive risk management.
Frequently Asked Questions (FAQ)
Q: What is cross-margin trading?
A: Cross-margin uses your entire account balance as collateral for borrowing, increasing capital efficiency compared to isolated margin, which limits collateral to specific positions.
Q: Can I lose more than I invest in leveraged trading?
A: Yes — due to liquidation mechanics, losses can exceed initial deposits if positions aren’t managed carefully with stop-losses or timely repayments.
Q: How is interest calculated on borrowed funds?
A: Interest accrues hourly or daily based on loan amount and prevailing rates. It compounds until repayment, so minimizing borrowing duration helps reduce costs.
Q: Is auto-repay safer than manual repayment?
A: Auto-repay reduces oversight risk by clearing debts immediately from trade profits — making it safer for busy or novice traders managing multiple positions.
Q: What happens if my position gets liquidated?
A: If equity drops below maintenance margin, the system forcibly closes positions to cover debts. Remaining funds (if any) are returned; otherwise, losses may apply.
Q: Can I switch between trading modes anytime?
A: Yes — you can toggle between Standard, Auto-Borrow, and Auto-Repay modes anytime, though active loans may affect eligibility for certain switches.
Whether you're exploring short-selling opportunities or aiming to amplify gains during volatile swings, mastering cross-margin leveraged trading empowers smarter decision-making. With proper risk controls and a clear understanding of borrowing mechanics, you can navigate dynamic markets more effectively.
👉 Start practicing leveraged strategies on a secure global platform now.