Let me say something that might offend: the end of leverage trading is liquidation. This isn’t a joke—it’s an epitaph. After spending enough time in the crypto world, you’ll realize every word of this sentence is written with real money and countless red and green candles. Let’s say you have 10,000 USDT as capital and you open a 100x leverage long position on Bitcoin. What does 100x mean? Your actual position is worth 1,000,000 USDT, but you only need 10,000 USDT as margin. Now, how much of a price reversal would it take to wipe you out? The answer is 1%. If Bitcoin drops by 1%, your margin is completely gone. Keep in mind, you don’t need Bitcoin to go to zero—it just needs to pull back by 1%, and the exchange will forcibly liquidate your position. That’s right, your 10,000 USDT is now zero. The rules of forced liquidation are ruthless. When your margin balance falls below the maintenance margin requirement, the exchange will automatically take over your position and liquidate it without giving you any room to negotiate. In other words, it’s not the market that wipes you out—it’s the rules that kick you out once your losses hit a certain threshold. What’s even harsher is that you don’t just lose your initial capital. In extreme market conditions, forced liquidation can lead to excess losses. You could even end up with a negative balance, meaning not only is your money gone, but you also owe the exchange! Everything mentioned above is just about Bitcoin. Now, what about altcoins? Even scarier. I just saw someone on Binance Plaza shorting ZEC, and honestly, I feel like they’re writing their epitaph—they’ve already got one foot in the grave!