Leverage Boosting

To provide traders with optimal trading experiences and leverage options, the Alpaca Aggregator offers additional margin to traders who wish to open positions with larger leverage than what the underlying leveraged trading protocol offers. Here's how it works:

• Each underlying leveraged trading protocol requires a different Initial Margin (IM) and Maintenance Margin (MM), resulting in different max open leverage and maintenance leverage.

• When a trader opens a position with leverage (L) greater than 1/IM, the Alpaca Aggregator will supply additional margin to lower the MM requirements and raise the leverage.

• The additional margin comes from the Alpaca Universal Liquidity Pool, and the Alpaca protocol offers a lower maintenance margin rate (MM2).

• When the remaining margin of a position drops below MM2Size, the position will be liquidated, and the corresponding position on the underlying protocol will also be closed.

• The Alpaca Aggregator charges a minimal leverage boost fee based on the supplied additional margin when position opening and closing take place.

• The underlying protocol will charge funding fees from traders, and the Alpaca Aggregator will also charge a specific boost funding fee for traders every 8 hours.

• Boost funding fee and the underlying protocol's funding fee will be deducted from traders' collateral.

Note:

• If the position open time hasn't reached 8 hours upon the funding collection time, the boost funding will round up to 8 hours.

• If a position is closed before the next funding collection time, no boost funding will be charged.