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Binance Tutorials

Funding a Futures Account: What Leverage Adds to the Risk

Why moving funds into a futures account deserves a separate risk check before any order is placed.

Funding a Futures Account: What Leverage Adds to the Risk

What leverage changes

Leverage makes a small price move matter more relative to your margin. It can increase losses quickly and should not be treated as a shortcut to a larger return.

Watch margin and liquidation

Funding costs, maintenance margin and liquidation rules affect the position. Read the contract details rather than relying on a headline multiplier.

Set limits before emotion

Use a size, loss limit and review point that you can follow during volatility. Never use essential funds to test a leveraged product.