Bybit Boosts Borrowing Capacity for Traders with Collateral Ratio Upgrade

Bybit has made a significant change to its Unified Trading Account (UTA) Loans by increasing collateral ratios across supported assets. This move is expected to increase borrowing capacity for traders, particularly those holding sizable positions in major cryptocurrencies such as ETH, SOL, BNB, DOGE, XRP, ADA, LINK, LTC, TRX, SHIB, PEPE, and DOT.

The most substantial change affects supersized positions, where the new collateral ratio will range from 10% to 80%, depending on the asset. This is a significant increase from the previous structure, which limited the amount of collateral value that could be extracted from excess holdings.

Bybit's Vice President, TradFi-RWA, Yoyee Wang, stated that this update is particularly meaningful for institutional clients, enabling them to pledge more of their holdings as effective collateral and access greater borrowing capacity. The updated framework also benefits retail traders with larger holdings, who will see more of their assets recognized as collateral.