Overview
To enhance risk management and ensure trading stability during periods of high market volatility, Gate TradFi may implement temporary leverage restrictions on certain trading instruments during specific market periods. This mechanism is designed to reduce risk exposure under extreme market conditions and maintain a stable trading environment.
1. Applicable Scenarios
1.1 Around and During Major Macroeconomic Events
Temporary leverage restrictions will be applied around the release of key economic data:
- Effective period: From 15 minutes before the data release to 5 minutes after
- Applicable announcements (including but not limited to):
- USD-related Federal Open Market Committee (FOMC), CPI (Consumer Price Index), PMI (Purchasing Managers' Index), PPI (Producer Price Index), GDP (Gross Domestic Product), PCE (Personal Consumption Expenditures), Retail Sales, NFP (Non-Farm Payrolls), ADP (Private Sector Employment Data)
- Crude oil-related Crude Oil Inventories
- Key data announcements from non-U.S. economies Key macroeconomic indicators released by non-U.S. economies, such as CPI, PMI, GDP, etc.
1.2 Around Market Open and Close
Leverage restrictions will be applied to all trading instruments during periods of lower liquidity or higher volatility risk:
- The last 1 hours before market close on Friday
- The last 30 minutes before market close from Monday to Thursday
- The 10 minutes after market open on Monday
2. Impact Scope
2.1 Impact Scope of Macroeconomic Events
Different economic events affect specific instruments:
- USD-related events: Forex, precious metals (gold/silver), indices
- Crude oil-related events: Crude oil
- Announcements from non-U.S. economies: Forex
2.2 Impact Scope of Specific Time Periods (Market Open/Close)
- All trading instruments
3. Restriction Rules
During the restriction period, the maximum available leverage for new positions will be capped as follows (applicable only to instruments that support multiple leverage levels):
| Underlying | Max Leverage |
|---|---|
| Gold | 20x |
| Silver | 50x |
| Crude Oil | 20x |
| Indices | 100x |
| Forex | 200x |
The maximum leverage may be temporarily adjusted based on market volatility.
4. Implementation Details
- During the restriction period, leverage for new positions will be subject to the above caps.
- If the selected leverage is below the cap, it will not be affected.
- Leverage for new positions will revert to normal after the restriction period ends.
- Existing positions are not affected by these temporary adjustments.
5. Risk Warning
During macroeconomic data releases and periods of low liquidity, market volatility may increase significantly, along with wider spreads and higher slippage risks. Users are advised to:
- Set suitable leverage
- Manage positions and risk exposure in advance
- Closely monitor changes in the margin level
Gate will continue to enhance the risk control systems to offer a safer and more stable trading environment.
Disclaimer
The content provided herein is for reference and educational purposes only and does not constitute any financial, investment, trading, or legal advice, nor does it constitute an offer or solicitation to buy or sell any digital assets. Gate makes no express or implied representations or warranties regarding the accuracy, completeness, or timeliness of the information contained herein. Product features, interfaces, rules, and fee structures may be updated or adjusted at any time. Please refer to the latest announcements and the actual information displayed on the Gate platform for the most accurate details.Digital asset investments involve significant risk, and prices may fluctuate substantially. You may lose the entire amount of your investment. Please make decisions cautiously based on your own financial situation and risk tolerance after fully understanding the associated risks. If necessary, you are advised to consult an independent professional financial or legal advisor.
For more information about potential risks, please refer to Gate's Risk Disclosure and User Agreement.
