The most frequently asked question lately: Opening a 10x leverage position with 1,000U vs. opening a 5x leverage position with 2,000U—both have a notional position of 10,000U, so what's the real difference?

To be honest, this isn’t just a simple math equation; it’s a matter of life and death that determines whether you can survive in this game. I grew my account from 4,940U to 200,000U, and it took three liquidations for me to truly understand—while the position size on paper may be the same, the risk tolerance and probability of forced liquidation are worlds apart, more than you can imagine.

Here’s a real lesson: my first liquidation happened because of this exact issue. Back then, I went all-in with 1,000U at 10x leverage on a major coin, thinking “I’ll bet 10,000U—if I win, I double up, if I lose, I accept it.” The market dipped 1.2%, my margin was instantly wiped out, and I was forced out of the game. The worst part? The price rebounded right after, and all I could do was watch from the sidelines—I couldn’t eat for three days.

Later, I changed my strategy and used 2,000U at 5x leverage on the same asset. When another 1.2% dip came, this time I only lost a portion of my account. After weathering the volatility, the price rebounded and not only did I break even, I made over 300U in net profit. This wasn’t just luck—it was the fundamental logic behind the ratio of capital to leverage at work.

Let me break down the core difference for everyone ( using a long position as an example ):

**In the case of 1,000U × 10x**: The actual margin used is 100U ( 1000 ÷ 10 )