1. Introduction
As a leading derivatives exchange, OKX strives to provide our users with the bestinclass margin infrastructure. To further enhance how users utilize capital, the OKX unified account has iterated from Single, Multicurrency margin to the latest Portfolio margin.
For details on multicurrency margin and portfolio margin, refer to the following:
Terms

Definition

Basic concepts（the same applies to portfolio margin mode）


Balance

Cash balance of each currency

Equity

Balance + Unrealized PNL + Option Market Value  Accrued Interest

UPL（Unrealized P&L）

The current P&Ls from a specific position that has not been realized (squared)

Adjusted Equity

Equity * Discount（https://www.okx.com/trademarket/discountRate/swap）

Margin Mode

Isolated: limited risk with segregated position and margin
Cross: greater capital efficiency with PnL offset

Cross Margin Ratio

Adjusted Equity / (MMR + liquidation cost)

Initial Margin Requirement (IMR)

The margin value required to open new orders

Maintenance Margin Requirement (MMR)(nonPM mode)

The margin value required to maintain current positions, to evaluate whether to go to liquidation process

Portfolio margin mode key Concepts


Maintenance Margin Requirement (MMR)(only PM mode)

Maintenance Margin Requirement (MMR) is determined in risk unit basis, where all instruments (perpetual swaps, futures, options, and spot under the spotderivatives risk offset mode) are grouped by underlyings to simulate the maximum loss that can occur in a portfolio under a specific set of market conditions. The USDvalue of the individual MMRs will then be summed up into a portfolio MMR (in USD value)
Portfolio margin consists of derivatives margin and borrowing margin. Portfolio margin calculates sums up derivative margin under each risk unit and then adds borrowing margin to obtain the margin at portfolio level.
MMR = Sum of USD value of each risk unit Derivatives MMR+ account level Borrowing MMR = max { [max(spot shock, theta decay risk, extreme move) + basis risk + vega risk + interest rate risk], adjusted minimum charge}

Risk factor(MR)

Derivatives margin calculates 6 risks (MR16) by stress testing the portfolio under a specific set of market conditions of each risk unit, and then applying the minimum charge (MR7). Minimum charge is designed to cover any liquidation fee, transaction cost, and slippage.

Risk Unit

All derivatives are grouped into risk units based on their underlyings (e.g. BTCUSD, BTCUSDT, ETHUSD, ETHUSDT, etc).
The perpetual swaps, futures, and options with the same underlying are considered holistically within the risk unit. Margins are calculated per riskunit, so as to factor in riskoffsetting among instruments.

Spot in use

Under spotderivatives risk offset mode, spot in use, or how much spot is used under the risk unit is determined by the delta of derivatives that belong to the same risk unit.

Derivatives type

Under spotderivatives risk offset mode, the user could choose to place spot in either USDT or cryptomargined risk unit.
*Spotderivatives (USDT) risk offset mode: the underlying spot is placed into USDTmargined risk unit.
**Spotderivatives (Crypto) risk offset mode: the underlying spot is placed into cryptomargined risk unit.

Scenariobased Margin calculation

Comparing with Unified account, we adopt a more scientific and rigorous risk model: maintenance margin is calculated from stress test values in 8 dimensions. Customers with large positions or doing risk hedging can enjoy considerable discounts on their margin requirements.

Mode

SOLUSDT Risk Unit

SOLUSD Risk Unit

Derivativesonly

SOLUSDT Perpetual swaps, futures

SOLUSD perpetual swaps, futures, options

Spotderivatives (USDT)

SOLUSDT Perpetual swaps, futures & SOL

SOLUSD Perpetual swaps, futures, options,

Spotderivatives (coin)

SOLUSDT Perpetual swaps, futures

SOLUSD Perpetual swaps, futures, options & SOL

2. Comparison of Multicurrency Margin Mode and Portfolio Margin Mode
Account mode

Multicurrency margin（leverage:5x）

Portfolio margin 1.0 (Derivativesonly mode) （leverage:5x）

Portfolio margin 2.0 (Spotderivatives risk offset mode) （leverage:5x） 
Tradable instruments 
All instruments (spot, margin, perpetual swap, futures, and options) 

Prerequisite 
Equity > 10K USD 
Equity > 10K USD 

Applicable collaterals



Treatment of option value

Long option positions are placed in isolated mode. Only short option positions are considered as available margin in crossmargin mode. 
Both long and short options can be evaluated in crossmargin mode; therefore, the values of both are considered as available margin in crossmargin mode.


Position margining

Positions in different instruments are independently margined based on position tiers. (Position tiers) 
Derivatives positions are grouped by riskunit. Their risks are assessed holistically under different scenarios (V. Portfolio Margin mode), and the required margin is calculated based on the maximum loss in all scenarios.

Derivatives positions are grouped by riskunit. Their risks are assessed holistically under different scenarios (V. Portfolio Margin mode), and the required margin is calculated based on the maximum loss in all scenarios.
Additionally, the delta position from spot assets can be included in the corresponding risk units (either USDTmargined or cryptomargined). e.g., BTC spot assets in an account can be included in a BTCUSD or BTCUSDT risk unit for delta risk offsetting. 
3. Example of Multicurrency Margin Mode vs. Portfolio Margin Mode
Assets

148 ETH

Mode\Positions

30000 ETHUSDTSWAP
20000 ETHUSDT0930

Multicurrency margin

MMR = 7,947 USD

Portfolio margin 1.0 (onlyderivatives risk offset) margin

MMR = 33,665 USD

Porfolio margin 2.0 (spotderivatives risk offset) margin

MMR = 9,618 USD (spot in use = 100 ETH)

Optimization on MMR (Portfolio margin 1.0 ——> Portfolio margin 2.0）

Save 70%

Conclusion


4. Exploration Tools
4.1 Demo trading
Choose whether to turn on/off the spotderivatives risk offsets button — observe your spot hedging quantity on the positions and assets page (the first time you enter, the default "derivatives type" is USDT mode):