For wallets that have one or more live risk positions (e.g. perpetual, futures, or margin), the maximum withdrawable amount is determined by the Margin Level rule or the Smart Cross Margin methodology, whichever results in a lower amount.
The Margin Level Rule
Margin Level = Wallet Balance / Risk Positions
Wallet Balance: The total market value of the tokens in a wallet
Risk Position: The total derivative liabilities charges and all margin loan positions
The withdrawable amount from your wallet balance is determined by the following formula:
Withdrawable amount (in USD) = Wallet Balance - Risk Position * Margin Level
The default Margin Level Rule is set to a minimum of 2, meaning that the withdrawable amount may not exceed twice the value of the Risk Position. I.e. Wallet Balance / Risk Positions > 2
The Smart Cross Margin Methodology
The withdrawal amount is determined by the following formula:
For USD Withdrawable Balance = min(USD Balance - max(0, Total Session Realised PnL), Available Balance)
For non-USD token Withdrawable Balance = min(Token Balance, (Available Balance/ Token Price) / Token Collateral Weight))
Please refer to the FAQ for Smart Cross Margin for full details regarding this methodology.
The Maximum Withdrawable Amount
The maximum withdrawable amount shall be determined by the Margin Level Rule (Margin Level > 2) or Smart Cross Margin methodology, whichever is the lower amount.
Crypto.com reserves the right to change the default Margin Level at its sole discretion.
Example of Margin Level Rule:
In the example below (not representative of observed market values), a user with a 10 BTCUSD-PERP position and US$50,000 in their wallet can withdraw up to US$30,000 while the perpetual contract position is open. At the current cash value and risk position, the user has a margin level of 5. Transferring or withdrawing US$30,000 will result in the margin level reducing to approximately 2.
Risk Position in USD
Asset in USD
Initial Margin (IM) Ratio
Margin Level Risk Position
Initial Margin: 10210
Max. Withdrawal in USD = Wallet Balance - Risk Position * Margin Level
Max. Withdrawal in USD = (USD Market Value) - (BTCUSD-PERP Margin Level Risk Pos * 2)
Max. Withdrawal in USD = 50000 - 10000 * 2
Max. Withdrawal in USD = 30,000