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There's anyone who knows how to loan on poloniex?
I want to loan on poloniex exchange site and use it for trading in poloniex exchange too, Can anyone help me how loan on poloniex works and how to loan?
Thanks
I want to loan on poloniex exchange site and use it for trading in poloniex exchange too, Can anyone help me how loan on poloniex works and how to loan?
Thanks
Some correct info and a lot of incorrect info provided above.
By 'loaning', i am taking that you are asking how to obtain a loan so that you can use that to trade.
Poloniex has an Exchange tab and a Margin tab.
1. You 1st have to deposit your own coin to Poloniex. It can be btc or any other altcoin that's traded on the site. You can not get a 'loan' without 1st having your own coin on there as collateral.
2. Only 11 coins traded on poloniex can be margin traded (ETH, DASH, XMR etc). You need to convert whatever coin you deposited to either btc or any of the 11 margin coins via the Exchange tab.
3. You then transfer your coin from the Exchange tab to the Margin tab.
4. You will have 2.5x of what you've put up as collateral available to now margin trade with. You do not have to trade with all of what is available, effectively meaning your margin is less than 2.5x. But 2.5x is max.
5. You can NOT withdraw from your margin account. Ie. You can't just deposit 1btc, move that to your margin account, have 2.5btc available to trade and then withdraw that 2.5btc in an attempt to not repay your loan.
6. Whatever you have is now available to margin trade with - only on the 11 margin altcoins though. If you buy (go long) with your full 2.5x margin and the coin goes up 10%, your underlying collateral balance is now worth 25% more. Vice versa if it drops etc.
7. With margin coins, you can go short, that is selling 1st with the hope the price drops and then buying after the price drops to close the trade (closing the short).
8. Your starting margin is always 40% (the inverse of 2.5x). This is the maintenance margin.
9. If you go long and the price increases your % goes up and you can buy more until the % drops to 40%. Same if you go short and the price falls. This is you making PROFIT.
10. If your trade starts going bad (you go long but the price drops or you go short but the price rises) your maintenance % will drop below 40%. If it falls below 30% you will start get warnings from the system that your margin is getting low and your close yo liquidation. This is the red danger zone.
11. To get out of the danger zone you need to either start closing your position (buying or selling depending on what position you took) or add more collateral (deposit more of your own coin to your margin account. Both of these actions will increase your %.
12. If your % drops below 20%, the system will automatically start closing your position (liquidating). This usually happens only in small chunks - whatever is needed to get your % to back at or above 20%.
13. If things don't improve or if you don't take action, eventually the system will sell off all or most of your margin trading account, leaving you with zero or very little of your collateral remaining. The sell off is to pay back your borrowings. Their algorithm is very good and I've not heard of lenders losing out with they offer up their coins gor others to borrow.
14. Lastly, there is NO WAY to scam the system or the people lending funds.
Hope this helps.
Good luck
TL:DR To borrow funds/obtain a loan on Poloniex you 1st have to put up your own coin as collateral. You cannot withdraw from the site what you've borrowed.
now i understand how poloniex margin trading works but can i ask if Example:i buy eth coins in margin trading and i put the interest to 0.012% how the interest works? or how many days the 0.012% will decreased to my balance? every 2days or not?
at tsaka maraming po kaming servers na pwedeng pagconnectan.
