General Trading Risks
1.1 Risk of Total Loss
Cryptocurrency trading is extremely volatile and carries a high risk of loss. You may lose your entire investment. The value of cryptocurrencies can fluctuate significantly in short periods, and prices may fall below purchase levels unexpectedly.
1.2 Market Volatility
Cryptocurrency markets operate 24/7/365 and are subject to extreme price volatility driven by:
- Sudden market sentiment shifts
- Regulatory announcements and legal changes
- Large holder ("whale") activities
- Exchange technical issues or outages
- Liquidity shocks and cascading liquidations
- Macroeconomic events and geopolitical factors
1.3 Leverage & Margin Trading
If you or an automated strategy use leverage (margin trading), losses can exceed your initial investment. Leveraged positions can be liquidated rapidly during volatile market conditions, resulting in total position loss.
Leverage warning
Leverage amplifies both gains and losses. A 10x leveraged position can be wiped out by a 10% adverse price movement.
Simplified: 100% ÷ leverage, ignoring fees and maintenance margin, which bring liquidation sooner. An illustration, not advice.
10%Against a 10x position, a price move of about this size wipes out the margin.



