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

# Margin Tiers

### **Maintenance Margin Calculation**

SoDEX employs a tiered leverage system. The maintenance margin for a position is calculated as follows:

$$
Maintenance Margin=Notional Position Value×Maintenance Margin Rate−Maintenance DeductionMaintenance Margin=Notional Position Value×Maintenance Margin Rate−Maintenance Deduction
$$

On SoDEX, both the **Maintenance Margin Rate** and **Maintenance Deduction** are determined solely by the **margin tier** of the position and are independent of the specific asset.

The Maintenance Margin Rate for a given tier is defined as:

$$
\text{Maintenance Margin Rate}(Tier=n) = \frac{\text{Initial Margin Rate at Max Leverage}(Tier = n)}{2}
$$

For example, a maximum leverage of 20x corresponds to an initial margin rate of 5%, resulting in a maintenance margin rate of 2.5%.

The Maintenance Deduction is calculated recursively to ensure a continuous maintenance margin requirement across tier boundaries:

$$
\text{Maintenance Deduction}(Tier = 0) = 0
$$

$$
\text{Maintenance Deduction}(tier = n) = \text{Maintenance Deduction}(Tier = n-1) + \text{Notional Position Lower Bound}(n) \times \left( \text{Maintenance Margin Rate}(Tier = n) - \text{Maintenance Margin Rate}(Tier = n-1) \right), \quad \text{for } n > 0
$$

In essence, this design ensures that the maintenance margin increases at the rate specific to each tier, while the total maintenance margin function remains continuous with respect to the position size, providing a smooth and predictable margin experience.

### **Margin Tiers by Asset**

The following schedule outlines the margin tiers for SoDEX futures assets:

#### BTC

| Notional Position Value (USDC) | Maximum Allowable Leverage |
| ------------------------------ | -------------------------- |
| 0 - 4,000,000                  | 40x                        |
| > 4,000,000 - 1,000,000,000    | 10x                        |
| > 1,000,000,000                | 1x                         |

#### ETH, XAUT

| Notional Position Value (USDC) | Maximum Allowable Leverage |
| ------------------------------ | -------------------------- |
| 0 - 4,000,000                  | 25x                        |
| > 4,000,000 - 1,000,000,000    | 10x                        |
| > 1,000,000,000                | 1x                         |

#### USTECH100

| Notional Position Value (USDC) | Maximum Allowable Leverage |
| ------------------------------ | -------------------------- |
| 0 - 250,000                    | 25x                        |
| > 250,000 - 100,000,000        | 10x                        |
| > 100,000,000                  | 1x                         |

#### SOL

| Notional Position Value (USDC) | Maximum Allowable Leverage |
| ------------------------------ | -------------------------- |
| 0 - 4,000,000                  | 20x                        |
| > 4,000,000 - 1,000,000,000    | 10x                        |
| > 1,000,000,000                | 1x                         |

#### SILVER

| Notional Position Value (USDC) | Maximum Allowable Leverage |
| ------------------------------ | -------------------------- |
| 0 - 500,000                    | 20x                        |
| > 500,000 - 1,000,000,000      | 10x                        |
| > 1,000,000,000                | 1x                         |

#### US500

| Notional Position Value (USDC) | Maximum Allowable Leverage |
| ------------------------------ | -------------------------- |
| 0 - 250,000                    | 20x                        |
| > 250,000 - 100,000,000        | 10x                        |
| > 100,000,000                  | 1x                         |

#### CL, COPPER

| Notional Position Value (USDC) | Maximum Allowable Leverage |
| ------------------------------ | -------------------------- |
| 0 - 125,000                    | 20x                        |
| > 125,000 - 100,000,000        | 10x                        |
| > 100,000,000                  | 1x                         |

#### BCH, DOGE, NEAR, XRP, ZEC

| Notional Position Value (USDC) | Maximum Allowable Leverage |
| ------------------------------ | -------------------------- |
| 0 - 2,000,000                  | 10x                        |
| > 2,000,000 - 1,000,000,000    | 5x                         |
| > 1,000,000,000                | 1x                         |

#### 1000BONK, 1000PEPE, 1000SHIB, AAVE, ADA, AVAX, BNB, ENA, FARTCOIN, HYPE, LINK, LTC, ONDO, PUMP, SUI, UNI, WLD, XPL

| Notional Position Value (USDC) | Maximum Allowable Leverage |
| ------------------------------ | -------------------------- |
| 0 - 1,000,000                  | 10x                        |
| > 1,000,000 - 1,000,000,000    | 5x                         |
| > 1,000,000,000                | 1x                         |

#### AAPL, AMD, AMZN, BASED, COIN, CRCL, EWY, GOOGL, HOOD, INTC, META, MSFT, MSTR, MU, NVDA, ORCL, PLTR, SAMSUNG, SKHX, SNDK, TON, TSLA, TSM

| Notional Position Value (USDC) | Maximum Allowable Leverage |
| ------------------------------ | -------------------------- |
| 0 - 125,000                    | 10x                        |
| > 125,000 - 100,000,000        | 5x                         |
| > 100,000,000                  | 1x                         |

#### ASTER, AXS, BERA, DASH, ETC, FIL, MON, PENGU, VIRTUAL, WIF, WLFI, XMR

| Notional Position Value (USDC) | Maximum Allowable Leverage |
| ------------------------------ | -------------------------- |
| 0 - 1,000,000                  | 5x                         |
| > 1,000,000 - 1,000,000,000    | 2x                         |
| > 1,000,000,000                | 1x                         |

#### APT, ARB, CHZ, HBAR, LIT, OP, TRUMP, TRX, XLM

| Notional Position Value (USDC) | Maximum Allowable Leverage |
| ------------------------------ | -------------------------- |
| 0 - 250,000                    | 5x                         |
| > 250,000 - 1,000,000,000      | 2x                         |
| > 1,000,000,000                | 1x                         |