i was wondering if you start out with 100 dollars starting balance and you use 10 leverage and you manage to blow your account, are you liable to pay the full 1000 dollars that leverage gave you?
- Don't use leverage if you are newbies in crypto market and don't know how difficult it is.
- Don't use leverage because you think it is an easy way to get rich. In fact, it is easiest way to get poorer.
- Don't use leverage (any leverage x2, x5, x10 or x100) if you don't know with a specific leverage, at what price you will be liquidated
Each exchange has its own formula for liquidation so you must read it, and answer above questions. Most important, identify your liquidation price.