Kraken Cranks Up BTC/USD Margin Leverage to 20x for Eligible Traders

Kraken has increased the maximum leverage on its BTC/USD margin trades to 20x for eligible customers in select markets. This change is available to users of Kraken Pro and only applies to BTC/USD margin positions, not other products like futures or other margin pairs.

The higher limit allows traders to take larger positions with the same amount of capital, but it also increases the potential losses if Bitcoin moves against the trade. Kraken described the 20x limit as a tool rather than a target for traders.

The move comes as traders continue to take large leveraged positions in Bitcoin. One recent trade involved a $50 million Bitcoin position using 40x leverage, and showed how quickly highly leveraged trades can come under pressure when prices move sharply.