What Are Merge Mode and Split Mode?

Hotcoin perpetual futures support two position management modes: Merge Mode and Split Mode. Each mode handles position merging, leverage settings, and risk management differently, allowing users to choose the setup that best fits their trading style and strategy preferences.

1. What Is Merge Mode?

In Merge Mode, positions in the same trading pair and direction are automatically combined into a single position and share the same leverage setting.

• Cross Margin Merge Mode
  In Cross Margin Merge Mode, all positions share account margin. When a position approaches liquidation, the system automatically uses the available account balance to cover the margin shortfall.
    
• Isolated Margin Merge Mode
  In Isolated Margin Merge Mode, each position uses isolated margin, and risks are managed independently.

2. What Is Split Mode?

In Split Mode, new positions opened in the same trading pair and direction are not automatically merged. Each position exists independently and can use its own leverage, take-profit, and stop-loss settings.

• Cross Margin Split Mode
  In Cross Margin Split Mode, all positions share account margin, while each position can use its own leverage setting.
      

• Isolated Margin Split Mode
  In Isolated Margin Split Mode, each position has its own margin and liquidation price.

3. How to Switch Between Merge Mode and Split Mode?

Before opening a position, users can choose either Merge Mode or Split Mode. Once a position is created, the position mode cannot be changed.

In addition, the following conditions must be met before switching modes:

• No open positions
• No active orders

Otherwise, the switch cannot be completed.

4. Position Limit

Each account currently supports up to 100 positions. If the maximum position limit is exceeded, new orders cannot be placed.

Simply put, Merge Mode automatically combines positions in the same direction, while Split Mode allows positions to be managed independently. Choose the mode that best fits your trading style and risk tolerance.