Gate Leverage Worry-Free Trading Complete Beginner's Guide: Unlock a New Leverage Experience Without Forced Liquidation Risk

Cryptocurrency markets are highly volatile, and high leverage trading amplifies potential gains but also carries extremely high liquidation risks. In traditional leverage trading, a sudden price “spike” can force positions to be forcibly liquidated, resulting in significant losses for traders.

To address this pain point, Gate officially launched a new structured financial product — “Smart Leverage,” which exempts users from forced liquidation within a specified holding period, allowing traders to execute trend trading strategies more steadily in a highly volatile market environment.

01 Product Core: What is Gate Smart Leverage?

Smart Leverage is an innovative structured financial product recently launched by Gate. Unlike traditional leverage trading or perpetual contracts, its main feature is that during the entire subscription-to-maturity period, no matter how the underlying asset price fluctuates, it will not trigger a forced liquidation mechanism.

This means traders can avoid the distress caused by short-term extreme market shocks and do not need to worry about positions being unexpectedly wiped out due to sudden price movements (commonly known as “spikes”).

The product aims to help traders capture medium- to long-term market trends using leverage without the risk of forced liquidation. The maximum loss for users is strictly limited to the principal of a single subscription, preventing additional liabilities from margin calls.

02 Key Advantages: Why Choose Smart Leverage?

The design of Smart Leverage addresses several core pain points in traditional leverage trading, with its main advantages summarized as follows:

Holding Period Exempt from Forced Liquidation: This is the core advantage of the product. In traditional leverage or contract trading, if the maintenance margin rate falls below the warning line, the position risks being forcibly liquidated. Smart Leverage removes this risk entirely during the holding period, providing greater flexibility for trading strategies.

High Leverage Capital Efficiency: The product supports high-multiplier leverage configurations, maximizing capital utilization. Similar to traditional leverage trading, users can borrow funds exceeding their principal to amplify positions, but the returns are based on the final settlement price at maturity, helping to better capture a trend over a period.

Clear Cap on Risk Exposure: Smart Leverage is a non-capital-protected structured product, meaning the principal can incur losses. However, its risk design is clear: the maximum potential loss is strictly limited to the amount of the subscription principal. This is fundamentally different from some trading forms that can result in losses exceeding the initial investment, making risk controllable and predictable.

03 Operating Mechanism: How Is It Different from Leveraged Tokens?

Gate offers various products with leverage features, and understanding their differences is crucial.

Smart Leverage vs. Leveraged Tokens/ETFs: Smart Leverage is a fixed-term structured product that does not force liquidation before maturity. In contrast, Gate’s ETF leveraged tokens (such as BTC3L, ETH3S) are perpetual spot products maintained through daily automatic rebalancing to sustain target leverage multiples.

While leveraged tokens do not have a liquidation line, their daily rebalancing can cause decay in volatile markets, making them unsuitable for long-term holding. Smart Leverage avoids daily rebalancing, making it suitable for trading with a clear trend outlook over a specific period.

Compared to traditional leverage trading: traditional leverage trading requires collateral assets, borrowing funds, and constant monitoring of margin levels to prevent liquidation. Smart Leverage simplifies this process; after subscription, users do not need to manage complex positions, and the risk ceiling is more explicit.

04 Practical Onboarding: How to Participate and Receive Subsidies?

Currently, Gate has launched exclusive promotional activities for the new Smart Leverage product, offering highly attractive experience opportunities for new users.

Activity and Participation Method: The event runs from 15:00, December 30, 2025, to 15:00, January 7, 2026 (UTC+8). Users do not need to register; simply completing their first Smart Leverage order during the event automatically activates the subsidy eligibility (Note: limited to the first 1,000 users).

Initial Subscription Assets and Benefits: The initial subscription options include major cryptocurrencies such as BTC, ETH, XRP, SOL, ADA, etc.

Regarding benefits, during the event, users who make their first subscription will receive an additional +100% APR (annualized) cash subsidy based on the subscription principal, regardless of whether the order ends in profit or loss. The subsidy amount is calculated as: Subsidy = Subscription Principal × 100% × (Subscription Days / 365), with a maximum of 20 USDT per person.

Operation and Settlement Example:

1. Find the “Smart Leverage” product entry in the Gate App or web platform under “Finance” or related product sections.
2. Select the underlying asset, leverage multiple, product term, and input the subscription principal.
3. Upon maturity, the profit or loss is calculated based on the settlement price. The platform will distribute the cash subsidy in the form of GT to the user’s spot account within 7 working days after settlement.

For example, if you invest 1,000 USDT to subscribe to a 7-day Smart Leverage product. After 7 days, if the trade is profitable, you will receive all profits plus approximately 19.18 USDT in subsidy; if it incurs a loss, you bear the loss within the principal range but will also receive about 19.18 USDT in subsidy, providing some buffer.

05 Risk Warning and Precautions

Understanding the rules and risks of any innovative financial product is a necessary prerequisite before attempting to use it.

Smart Leverage is a non-capital-protected product, meaning that unfavorable market movements could result in partial or total loss of the subscription principal. It is not suitable as a long-term investment tool but is intended for executing medium- to short-term trend trading strategies.

Important Participation Terms: This activity is only open to Gate users who have completed identity verification (KYC). A single verified user can only participate with one main account; sub-accounts do not qualify independently. The platform strictly prohibits cheating; any violations will result in disqualification.

Additionally, according to Gate’s user agreement, users in the UK and other restricted regions are not eligible to participate. All final interpretations of the activity belong to Gate.

Future Outlook

A user who recently experienced the Smart Leverage product commented: “In the past, trading leverage made me uneasy, always worried that I’d wake up and my position was gone. Now that I’ve set up Smart Leverage, I can focus more on the big market direction rather than every minute’s candlestick movements.” Another trader used the new product to successfully capture a trend during recent market volatility, unaffected by several small retracements.

The value of Smart Leverage lies in freeing traders from the fear of “liquidation,” allowing them to refocus on judging market “trends.”