Portfolio Margin with gradual liquidation mechanism
One of the key advantages of derivatives is leverage. Leverage enables financial markets participants to build sophisticated trading and portfolio strategies that utilize multiple financial instruments with lower amounts of capital with not necessarily higher risk.
To increase traders’ liquidity and financing flexibility, OptiFi designs Portfolio Margining. The below section provides an overview of our unique OptiFi margin and risk management system designed specifically for DeFi, an introduction to portfolio margin calculation approach, and liquidation framework for account risk management: