Introduction to Bybit Unified Trading Account

 

 

The Bybit Unified Trading Account (UTA) is a versatile all-in-one account mode that offers access to multi-currency trading and core trading products, including Spot Trading, Spot Margin Trading, USDT Perpetual, USDC Perpetual, and Futures, and USDC Options. It provides traders with a powerful option to combine trading and cross-collateral margin without switching between accounts.

 

With the Cross Margin and Portfolio Margin modes under Unified Trading Account, traders can use other supported margin assets such as BTC, ETH, and more, as collateral without selling off the assets, to trade other asset margin contracts.

 

Moreover, unrealized profits can also be used as a margin to open new positions. The unrealized profits and losses from different Derivatives product lines can be offset against each other, because all assets are consolidated, significantly increasing capital efficiency. The calculation of the margin in the Unified Trading Account is at the account level rather than the position level. 

 

Read More

Bybit Unified Trading Account: Who Is It Best Suited For?

7 Key Benefits of Upgrading to Bybit Unified Trading Account

How to Use the Bybit Unified Trading Account for Effective Risk Management

What Is Bybit Unified Trading Account and How Does It Work?

 

 

 

 

 

Apart from the above-mentioned, which can be done through the Cross Margin or Portfolio Margin mode under Unified Trading Account, it also supports Isolated Margin mode which is more suitable for users who want to separate their margin placed and limit their trading losses on each position. The following is an overview of each margin mode supported on the Unified Trading Account, allowing traders to choose the corresponding mode based on their personal investment preferences.  

 

 

Notes: 

— You won’t be able to switch back to your current Spot and Derivatives Account after the upgrade. 

— To learn more about the difference between the Isolated Margin, Cross Margin, and Portfolio Margin modes under the Unified Trading Account, please visit here.

 

 

 

 

 

 

Auto Borrowing 

If the equity of an asset under the Unified Trading Account is lower than zero, due to trades and/or market fluctuations, the system will process auto borrowing of the asset, and once the interest-free amount is exceeded, interest will be charged on all liabilities. For more information, please refer to Borrowing and Repayment (Unified Trading Account).

 

 

 

 

 

Collateral Value Ratio

Under Cross Margin and Portfolio Margin modes, all supported collateral assets in the Unified Trading Account is converted into USD. Due to the different liquidity conditions of each coin, the collateral value ratio of different assets varies. The total margin balance in USD value of your Unified Trading Account is based on the following calculation: 

 

Total Asset Value (in USD) = Sum (Asset 1 × Corresponding USD Index Price × Corresponding Collateral Value Ratio + Asset 2 × Corresponding USD Index Price × Corresponding  Collateral Value Ratio + …. + Asset N × Corresponding USD Index Price × Corresponding  Collateral Value Ratio)

 

 

To learn more about the collateral value ratio of different assets, please log in to your Unified Trading account and visit this page.

 

Notes: 

— The collateral value ratio only applies to assets with a positive balance. For assets with a negative balance, the collateral value ratio will default to 100%, regardless of what asset it is. 

— Parameters may be modified based on market conditions. Bybit will notify users in advance. 

— The USD Index Price can be derived as follows:

USD Index Price = USDT Perpetual Index Price x USDT Conversion Rate

USDT Conversion Rate = BTCUSD Index Price / BTCUSDT Index Price

In the event that there is no USDT Perpetual Index Price for a certain coin, the Last Traded Price from Bybit Spot market will be taken as a reference. Take ETH as an example, the USD index price for ETH will be ETHUSDT Index Price x USDT Conversion Rate. 

 

 

 

Example (For illustrative purposes)

Assuming Trader A currently has 1,000 USDT, 1,000 USDC, and 0.1 BTC in their Unified Trading Account.

 

 

 

 

 

 

Risk Management

Under Cross Margin and Portfolio Margin modes, the overall risks and assets under the account will be calculated in USD. As long as the account's Initial or Maintenance Margin (calculated as USD equivalent) meets the requirement, you can place a new order or maintain your position, even if the available balance of a specific currency is insufficient. Liquidation or partial liquidation won’t be triggered if the account maintenance margin rate is lower than 100%.

 

Alternatively, users who want to specify risk management by separating the margin placed into a position from their account balance can also choose the Isolated Margin mode. As the margin in the Isolated Margin is calculated on an independent basis, this limits the maximum amount traders may lose from liquidation to the position margin for that open position.  Under Isolated Mode, liquidation will only be triggered when the Mark Price reaches the liquidation price. For more information, please refer to Trading Rules: Liquidation Process (Unified Trading Account).

 

 

Users can manually upgrade to the Unified Trading Account via the PC trading site or Bybit App. To learn more about how to get started with a Unified Trading Account, please visit here.