Initial Margin is the amount of collateral required to open a position for Leverage trading. The leverage used is directly related to the initial margin used to maintain the position. The higher the leverage, the lower the initial margin required.

To calculate the initial margin required for USDT Contracts, multiply the order value with the initial margin rate. The initial margin rate depends on the leverage used. 


Initial margin = (Contract Size*Entry Price) / Leverage


Trader place a Long (Buy) entry of 1 BTC at USD 10,000 with 50x leverage.

Initial Margin = (1 * 10000) / 50 = 200 USDT