Glossary
What is cross margin?
Also called: cross mode, shared margin
Updated Ninja Terminal team
Definition
Cross margin is a margin mode in which your whole account balance supports all open positions in the same margin pool. Unrealized profit on one position can offset loss on another, so liquidation is further away. The risk is that a loss on one position can use all the collateral in the account.
In cross mode there is a single pool of collateral. A position is not liquidated until the pool, including unrealized PnL, falls below the total maintenance margin.
How does it work?
Example: you hold 5,000 USD and open a 10,000 USD long at 10x. Only 1,000 USD is required as initial margin, but the other 4,000 USD also backs the position. The liquidation price is much farther from entry than in isolated margin. If the market falls far enough, you can lose the full 5,000 USD.
What do the venues document?
- Hyperliquid: cross margin is the default and shares collateral across all cross positions. A cross position is liquidated when account value, including unrealized PnL, falls below the maintenance margin for the total open notional.
- Bybit:
REGULAR_MARGINis the documented cross mode and the default in the Set Margin Mode endpoint. - HIP-3 markets: cross margin is an option that deployers can enable per asset. See HIP-3.
When is it useful?
Cross margin suits traders who run several positions that partly offset each other, and who want fewer forced closes from short moves. It needs more attention, because one large losing position can affect all others.
In Ninja Terminal, the order form shows the margin mode and leverage of the selected market. Alerts on liquidation distance help you watch the risk.
Frequently asked questions
What is the difference between cross and isolated margin?
Cross uses the whole account as shared collateral. Isolated assigns a fixed amount to one position and limits its loss to that amount.
Can I lose my whole balance with cross margin?
Yes, if the market moves far enough against your positions. The shared collateral is what supports them.