guides: liquidation mechanics, measured
working notes from a liquidation alarm: how each venue actually computes the price that closes you, what the maintenance-margin brackets really are, and what the fees do to the number. every figure is dated and sourced; every worked example is computed by the same margin-tier table that arms the alerts.
- what negative funding means and how much it actually pays
in a Binance worked scenario using a −0.05% funding input, $10,000 notional receives $5 per 8-hour interval, $15 per day, or $450 across 90 monthly settlements, before fees and any adverse PnL.
- size the risk first, then let leverage fall out of the math
on Binance, a $100 risk budget and a $584.40 BTC stop distance produces 0.171116 BTC, $16,666.67 notional and 16.67x against a $1,000 isolated-margin sleeve.
- what liquidation really costs on Binance and Bybit
Binance charges a 0.05% taker fee and Bybit charges 0.055%, making a taker round trip 0.1% and 0.11% of notional respectively.
- how Binance partial liquidation steps a position down the margin tiers
on Binance, a $1,000,000 BTC position reduced to $800,000 moves from 0.65% to 0.5% MMR.
- bankruptcy price and liquidation price are not the same line
for a 20x BTC long entered at $97,400, Binance estimates liq at $92,919.60 and bankruptcy at $92,530, leaving a $389.60 execution buffer funded by the 0.4% MMR.
- how Binance and Bybit calculate liquidation price
for a $10,000 BTC isolated long entered at $97,400, Binance estimates liq at $88,049.60 on 10x using 0.4% MMR; Bybit estimates $87,981.42 using 0.33% MMR.
- why your chart missed the price that liquidated you
your chart probably showed last price while the venue monitored mark price; in a Binance BTC example entered at $97,400 with 20x leverage, $10,000 notional and 0.4% MMR, estimated long liq is $92,919.60.
- Binance and Bybit maintenance-margin bracket reference
Binance and Bybit assign MMR from position notional, not your selected leverage: for BTC up to $300,000, Binance uses 0.4% MMR while Bybit uses 0.33%.
- does Binance liquidate on mark price or last price
Binance and Bybit use mark price, not last traded price, for perpetual-futures liquidation; in a Binance BTC isolated example entered at $97,400 with 20x leverage, the estimated long liq is $92,919.60.
scheduled
written and queued. each one goes live on its date, on the next build — no link until then.
- why crypto liquidation totals are lower bounds