This article addresses our Global Derivatives offering, which is currently only available to eligible customers in supported regions outside of the U.S. Learn more about Coinbase's Derivatives products
The terms in this article apply to you starting on your effective date under the updated Coinbase Bermuda Limited User Agreement. For most customers, that date is October 1, 2026. If we notified you that your effective date is earlier, these terms apply to you from that earlier date instead.
Leverage lets you control a position larger than the value of the assets in your account. It's the ratio between your position size and the equity you use as collateral.
For example, if you want to buy 10 BTC but only hold 2 BTC available for margin, leverage lets you open the position. That's 5:1 leverage (10 / 2), also called 5x.
Leverage is available on futures, perpetuals, and crypto options.
How leverage works
On Coinbase, cross-margin positions share the margin in your Global Derivatives account, and each isolated position has its own margin. Under standard margin, you can choose leverage for an instrument when placing an order. Under portfolio margin, cross positions don't have a leverage setting; margin requirements are calculated for the whole portfolio.
The general calculation for a single position is:
Leverage = Position size ÷ Margin
Examples
Calculating leverage: You want to open a 10 BTC position in an account with a 0.5 BTC balance. Leverage = 10 ÷ 0.5 = 20x.
Calculating position size: You want to use 0.25 BTC as margin and want the position at 5x leverage. Position size = 0.25 × 5 = 1.25 BTC.
Calculating margin: You want to open a 5 BTC position at 10x leverage. Margin = 5 ÷ 10 = 0.5 BTC.
Maximum leverage
Under standard margin, your maximum leverage is determined by the initial margin (IM) requirement for the instrument you're trading. This varies by instrument.
For crypto options, the current mark price or index price forms part of the initial margin requirement, so the maximum leverage varies depending on the specific option being traded.