Use leverage
How leveraged positions work on Predictifi — tiers, the margin band, position math, and liquidation.
On eligible markets you can open a leveraged long by posting margin. The Leverage Vault lends the rest, so your position controls more exposure than your margin alone — and your profit or loss scales with the price move times your leverage.
Leverage magnifies losses
A leveraged position can be fully liquidated, forfeiting all of its posted margin. Review the displayed liquidation price before you open, and only commit what you can afford to lose.
Tiers
Leverage is gated by your traded volume:
| Leverage | Requirement |
|---|---|
| 2× | Open to everyone |
| 3× | Open to everyone |
| 5× | Requires $10,000+ traded volume |
| 10× | Requires $50,000+ traded volume |
Margin on any leveraged position is bounded to a band of $50 to $2,000.
How the numbers work
For a position whose pre-fee cost is cost, at leverage L:
margin = ceil(cost / L) // you post at least your 1/L slice
borrow = cost − margin // lent by the vault
You post margin plus the 2% trading fee; the vault lends borrow.
Liquidation
If price falls to your liquidation threshold, your position can be closed by anyone and the margin is forfeited:
liquidationPrice = entryPrice · (L − 1) / L
Two safeguards are designed to protect you from unfair liquidations:
- A 1-hour cooldown after opening, during which the position cannot be liquidated at all.
- A time-weighted average price (TWAP) check, designed to prevent a single-block price spike from triggering a liquidation — the protocol reads the average price over your position's lifetime.
Bad debt from a liquidation is designed to be absorbed by the Insurance Reserve before it reaches the lending vault. On the current deployment that reserve holds zero USDC and nothing funds it, so any bad debt is socialized to vault LPs in full today. The protocol-level cap on total open leveraged notional is also currently disabled.