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Here is our tutorial video: https://www.youtube.com/watch?v=REiXgnl_X_Y
When the position cannot be liquidated at a price which is better than the bankruptcy price and there is an insufficient insurance fund to cover the Futures loss, FAMEEX will partially liquidate the traders of large positions to maintain a tiered margin.
Partially Liquidation System
1. For trader of large position, when the margin balance is lower than the existing maintenance margin to sustain, our system will not liquidate all of your positions. However, the system will automatically calculate the amount for the tiered liquidation and reduce the position size to the next one or more tiers. It will use the bankruptcy price to liquidate partially.
2. Tiered liquidation is carried out in stages successfully, whereby the liquidation engine gradually reduces the positions and calculates the fee to maintain your positions. If at the next tier the fee of maintenance margin sustains, it will stop the liquidating. If not, partial liquidation will continue until it meets the required level.
1. If the trader is under the cross mode of maintenance margin rate and holds both long and short positions, the system will hedge the long and short positions at the latest trade price. This operation charges a handling fee.
2. During the partially liquidating process, the U-futures contracts account will be frozen, and operations such as placing orders and canceling orders cannot be performed.
FAMEEX adopts tiered auto deleveraging system to avoid the big amount of loss for our traders. At the same time, FAMEEX maintains a lower fee of maintenance margin than the average level of the market which brings the ultimate experience to our traders.