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I Use USDT for ETH/USDT Bot — Unified Account Crypto Can Still Act as Collateral

Hello! On a unified trading account I note that other cryptocurrencies can indeed be recognized by the exchange as collateral supporting the overall margin. In my experience this means the platform may treat different coins as margin support across the account’s positions.

However, when I run a trading bot on the ETH/USDT pair, it uses only USDT to initiate positions. The bot’s entry and execution rely exclusively on stablecoin liquidity rather than on other crypto assets held as collateral.

Coins posted as collateral can be debited and later returned if the account remains healthy, but their value is continuously recalculated at the prevailing market price and adjusted by a downward coefficient (haircut). Because of that revaluation and haircut process, I cannot precisely predict the exact amount that will be available as collateral at any specific moment in time.

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AI Analysis

The core point is the distinction between account-level collateralization and trade-level funding. Exchanges with unified account structures often allow multiple assets to contribute to overall margin...

AI Recommendation

Monitor collateral composition and margin utilization closely. Set up real-time alerts for margin ratios and available collateral so you can react promptly if the exchange revalues assets or applies a...

Disclaimer

The AI analysis and recommendations provided are for informational purposes only. Any investment decisions should be made at your own risk. Past performance is not indicative of future results. Always conduct your own research and consider consulting with a financial advisor before making any investment decisions.

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