Binance Adjusts Collateral Ratios for 10 Cryptos
Binance Updates Collateral Ratios for 10 Crypto Assets
Binance, a leading cryptocurrency exchange, announced on April 12th an update to the collateral ratios for 10 crypto assets within its portfolio margin system. This change, effective April 18th at 06:00 UTC, will reduce the borrowing power for users employing these assets as collateral. The affected tokens are: DENT, ENJ, NOT, DASH, CHZ, AXS, ENS, SAND, THETA, and QNT.
Impact of Reduced Collateral Ratios
Lower collateral ratios mean users can utilize a smaller portion of their asset value as collateral for margin trading. This directly impacts margin buying power, potentially limiting the ability to open or maintain leveraged positions. Traders may need to adjust their portfolios to avoid liquidation risks.
New Collateral Ratios (Effective April 18th, 06:00 UTC)
The announcement included a table (originally an image) detailing the new collateral ratios for each affected cryptocurrency. [Note: The table would be recreated here in HTML table format if the image data were available.]
Binance also highlighted the impact on the Unified Maintenance Margin Ratio (uniMMR). Users are advised to monitor their uniMMR closely to prevent potential liquidations.
Market Reaction
The announcement caused some initial market caution, yet many of the affected tokens showed positive price movement. At the time of writing:
- DENT: Up 3%, trading at $0.0006567
- ENJ: Up over 2%, trading at $0.06690
- NOT: Up 1%, trading at $0.001882
- DASH: Up nearly 2%, trading at $20.69
- ENS: Up nearly 3%, trading at $14.37
- SAND: Up nearly 0.5%, trading at $0.2609
- QNT: Up roughly 2.5%, trading at $65.77
CHZ, AXS, and THETA experienced minor price decreases. Market observers are monitoring these assets for further price movements.
Disclaimer: This information is for educational purposes only. Market conditions are constantly changing. Conduct thorough research before making any investment decisions. Codeum is not responsible for any financial losses incurred.
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