bitFlyer, a major Japanese bitcoin exchange, announced today that in accordance with the regulations and guidelines put forth by the Japan Virtual Currency Exchange Association, of which bitFlyer is a member, the company will be implementing changes to its margin trading platforms. These changes were scheduled to be implemented during maintenance scheduled for Monday, April 22, 2019.
The changes are now scheduled to be implemented during maintenance on Tuesday, May 28, 2019, between 4:00 and 6:00 AM (JST). All services, including bitFlyer Lightning, will be unavailable during maintenance.
The following is an explanation of the points that will be revised on Tuesday, May 28, 2019 (JST):
- The maximum leverage rate allowed when placing new orders will be changed from 15x to 4x.
Currently, bitFlyer Lightning FX and bitFlyer Lightning Futures allow the use of 15x of valuation margin (15x leverage). However, during the maintenance on Tuesday, May 28, 2019 (JST), the maximum allowed leverage when placing new orders will become 4x.
Once this time passes, new orders can no longer be placed with more than 4 times the valuation margin. Additionally, margin calls or sellouts will not be triggered by the maximum leverage rate changes to be implemented on Tuesday, May 28, 2019 (JST).
Customers with a leverage rate setting exceeding 4x on Tuesday, July 30, 2019 (JST, scheduled) will have their leverage setting set to 4x. Margin calls or sellouts will be triggered for customers with positions exceeding 4 times their margin valuation at that point in time. The specific time has yet to be decided, but bitFlyer will make a follow-up announcement once a decision is made.
- The margin maintenance rate for triggering margin calls will change from 80% to 100%.
Currently, margin call rules for bitFlyer Lightning FX and bitFlyer Lightning Futures are applied when the maintenance margin rate falls below 80%. However, during the maintenance on Tuesday, May 28, 2019 (JST), margin calls will be triggered when the maintenance margin rate falls below 100%. Customers whose maintenance margin rate falls below 100% at the point in time when the changes are implemented will experience a margin call.
- The time frame to make supplemental margin deposits after a margin call will be changed from 3 bank business days to 2 bank business days.
Currently, when margin call rules are applied in bitFlyer Lightning FX and bitFlyer Lightning Futures, a supplemental margin deposit must be made within 3 bank business days. However, during the maintenance on Tuesday, May 28, 2019 (JST), when a margin call is triggered, the time frame to make a supplemental margin deposit will be changed to 2 bank business days.