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Leverage and Margin


Aegis futures positions use configurable leverage. The leverage multiplier determines the ratio of notional exposure to the margin collateral posted.

FieldValue
Configurable range1x – 20x
Default10x
UnitInteger multiplier

Example: A $1,000 hedge at 10x leverage requires $100 margin collateral on the exchange.

Higher leverage reduces the margin required per position but increases liquidation risk. Lower leverage is more conservative — it requires more capital but provides a larger buffer before liquidation.

Factors to consider:

  • Range width: A wider LP range means price moves more before an out-of-range event. A tighter range may require faster response with higher leverage.
  • Volatility: Higher-volatility assets are more prone to sharp moves that can trigger liquidation.
  • Capital efficiency: Running multiple bot instances across many LP positions requires sufficient exchange balance at the chosen leverage level.
  • Stop-loss distance: The stopLossPct parameter defines the maximum loss per position. At higher leverage, a fixed stopLossPct represents a larger move relative to margin.

Aegis always uses Isolated margin for futures positions. Crossed margin is never used.

ModeAegis behavior
IsolatedAlways used
CrossedNever used

Why Isolated margin?

Isolated margin limits the maximum loss on any single position to the margin allocated to that specific contract. This prevents a single losing position from consuming the entire exchange balance.

With Crossed margin, all open positions share the same margin pool, meaning losses on one position can affect the margin available for others. Aegis does not support this mode.