In a strategic move to enhance risk management and strengthen platform stability, OKX has announced upcoming adjustments to the cryptocurrency discount rate tiers under its cross-margin and portfolio margin modes. These changes are scheduled to take effect on June 6, 2025, from 2:00 PM to 6:00 PM (UTC+8). While the maximum collateral limits per tier will remain unchanged, the updated discount rates aim to reflect evolving market dynamics and improve overall risk resilience.
This update impacts a range of digital assets, including BOME, EIGEN, ENS, ICP, IP, MOODENG, POL, SHIB, STETH, STRK, and STX, with revised discount rate structures across multiple tiers. Users are strongly encouraged to review the updated rates and proactively manage their positions to avoid potential liquidations.
Understanding Discount Rate Tiers in Margin Trading
In margin trading, the discount rate (also known as haircut rate) determines how much value is attributed to a cryptocurrency when used as collateral. A lower discount rate means less borrowing power, reflecting higher perceived risk due to volatility or liquidity concerns.
OKX uses a tiered system where the discount rate decreases as the amount of collateral increases—this helps manage concentration risk. For example, holding a small amount of a stable asset might yield a 90% discount rate, but larger holdings may receive progressively lower rates.
The upcoming adjustment refines these tiers for select cryptocurrencies, either increasing or decreasing discount rates based on current market conditions and risk assessments.
Key Changes at a Glance
Below is a summary of the most notable updates by asset category:
Assets with Increased Discount Rates
Several high-potential tokens are receiving higher discount rates, indicating improved confidence in their market stability:
BOME, EIGEN, ENS, ICP, MOODENG, POL, STRK, STX: All see upward revisions across Tiers 1–3.
- Tier 1 increases from 0.80 → 0.85
- Tier 2 from 0.75 → 0.82
- Tier 3 from 0.65 → 0.76
- The incremental reduction per subsequent tier also becomes less steep—now decreasing by 0.03 instead of 0.05, preserving more borrowing power at higher collateral levels.
SHIB and STETH: Moderate Adjustments
SHIB:
- Tier 1 drops slightly from 0.90 → 0.85
- But Tiers 2 and 3 increase: 0.88 → 0.82 and 0.84 → 0.76
- The step-down per tier slows from 0.02 → 0.03, reducing long-term depreciation.
STETH:
Minor reductions across the board:
- Tier 1: 0.950 → 0.90
- Tier 2: 0.945 → 0.89
- Tier 3: 0.940 → 0.88
- Step-down doubles from 0.01 to 0.02 per tier, signaling tighter risk control for large deposits.
IP Token: Reduced Discount Rates
Notably, IP experiences a downward adjustment:
- Tier 1: 0.85 → 0.80
- Tier 2: 0.79 → 0.70
- Tier 3: 0.76 → 0.65
- The decay per tier accelerates from 0.03 → 0.05, significantly reducing borrowing power at higher tiers.
This reflects a conservative stance likely due to increased price volatility or lower market depth observed recently.
Why These Adjustments Matter
These changes directly affect your effective leverage, liquidation risk, and collateral efficiency.
For instance:
- If you hold large amounts of BOME as collateral, the slower decline in discount rates means you retain more borrowing capacity.
- Conversely, users relying on IP as primary collateral may face tighter margin requirements and should consider diversifying or adding supplementary assets.
Market-driven adjustments like these ensure that OKX maintains robust risk parameters while supporting innovation in emerging crypto sectors.
👉 Stay ahead of margin changes with OKX’s real-time risk analytics and dynamic collateral tools.
Risk Management Recommendations
Given the potential impact on your open positions, OKX urges all users to take proactive steps before the implementation window:
- Review Your Current Positions: Check which assets you're using as collateral and assess how the new tiers affect your loan-to-value (LTV) ratio.
- Reduce Leverage if Necessary: High leverage increases exposure during market swings and rule transitions.
- Add Additional Collateral: Diversify with supported stablecoins or higher-tier assets to buffer against volatility.
- Set Stop-Loss or Take-Profit Orders: Automate risk controls to protect gains and limit downside.
- Monitor Market Movements: Sudden price shifts around the update window could amplify liquidation risks.
⚠️ Important Note: The exact timing of the rollout may shift depending on real-time market conditions. Users should verify the status of adjustments directly within their OKX account dashboard post-update.
Frequently Asked Questions (FAQ)
Q1: What is a discount rate in crypto margin trading?
A discount rate determines how much value a cryptocurrency holds when used as collateral. For example, a $1,000 worth of BTC with a 90% discount rate can back $900 in loans.
Q2: Do these changes affect isolated margin mode?
No—this update specifically applies to cross-margin and portfolio margin modes only. Isolated margin settings remain unaffected unless separately announced.
Q3: Will my existing positions be liquidated automatically?
Not immediately—but if your adjusted LTV exceeds the maintenance threshold after the change, your position becomes vulnerable to liquidation during market movement. Proactive management is essential.
Q4: Why did SHIB's Tier 1 rate decrease?
Although SHIB’s top-tier rate dropped from 90% to 85%, this aligns it more closely with similar large-cap memecoins and accounts for its historically high volatility despite strong community support.
Q5: How can I check the new discount rates on OKX?
After June 6, navigate to the "Funding" section > "Collateral Management" > select your asset to view updated tiered discount rates in real time.
Q6: Are more adjustments expected in the future?
Yes—OKX continuously evaluates market data and may adjust discount rates periodically to maintain platform safety and fairness.
Final Thoughts
OKX remains committed to delivering a secure, transparent, and user-centric trading environment. By fine-tuning discount rate tiers based on comprehensive risk modeling, the platform ensures sustainable growth even amid unpredictable market cycles.
Whether you're leveraging emerging tokens like EIGEN or managing large positions in established assets like STETH, staying informed about collateral rules is critical to long-term success.
As always, traders are advised to monitor official announcements and use available tools to adapt swiftly to regulatory and operational updates in the fast-moving crypto landscape.
Note: All adjustments take effect between June 6, 2:00 PM – 6:00 PM (UTC+8), subject to market conditions.