A margin position is a position you open on Bitfinex that uses the funds you have in your Margin wallet as collateral for opening a leveraged position. For more information on Margin Trading, please view our guide What is Margin Trading.
Important: Starting from 1st January 2022, Margin Trading is available to Bitfinex users with a Basic Plus or higher verification level. This is only for users that created an account after 31st December 2021, accounts created before this date will be able to continue without verifying to Basic Plus or higher.
How to open a margin position
1. When trading on margin, firstly, make sure that your funds are in your Margin wallet. Learn more about how to transfer funds between your wallets here.
2. Next, go to the Trading page.
3. Click on your desired pair from the Tickers box.
4. In the Order Form, find Margin on the top right corner.
5. Choose the Order Type and fill in the Amount and Price, as you normally would when making an exchange trade.
6. Once your margin order executes in the order book, your position will be created, and you will find it under the Positions widget. No funds will be credited or debited from the wallet.
Note: When your margin order executes and opens or increases your position, Bitfinex will automatically acquire funding for you at the best rate currently available (if it is required). Alternatively, you can manually reserve funding at any time and use it when you decide to open/increase a margin position.
How to close a margin position
When you decide to close an opened position, you can either:
- use the Close button (a market margin sell or buy order will close a long or short position respectively); or
- place an order in the opposite of your open position with the same amount as your open position.
When the order is completely filled, the position is closed, borrowed funds are repaid, and profit will be credited to / loss will be debited from your margin wallet balance.
Using the Close button as an example to close a position
1. In your Positions widget, find the position you would like to close.
2. Scroll to the right side to find the x button that will read as Close this position with a MARKET order.
3. When a confirmation message appears, click on the Okay button to complete.
Alternatively, if you would like to claim your position, feel free to learn more about it in our guide How to claim a margin position on Bitfinex.
If you have any questions, please feel free to reach out to Bitfinex Support. We are happy to help!