Trust Centre

Why does BiFu liquidate or force-liquidate positions?

2026-08-11

Because leveraged positions are forcibly handled according to product rules when the account margin is insufficient. Liquidation or forced liquidation is not the platform deducting funds without reason; BiFu's risk warning states that leverage amplifies losses, and the specific liquidation line, calculation method and handling rules can be viewed on the corresponding account and product pages.

What to look at before and after forced liquidation

Account equity, used margin, available margin, margin ratio, position profit and loss, the liquidation line, order fill records and fees. Do not judge risk solely by the deposit amount, and do not treat a stop-loss as a guarantee of filling at the set price.

Why a stop-loss may still result in a larger loss

Rapid volatility, a gap, insufficient liquidity or order latency can make the actual fill price deviate from the trigger price; high leverage narrows the room the account has to withstand price fluctuations. Neither a stop-loss nor adding margin can guarantee avoiding forced liquidation, nor can they automatically recover trading losses.

FAQ

Does being force-liquidated mean the platform manipulated the order?

No. You can verify the margin, price, order time and fill records against the product rules; if the records cannot be explained, you can submit an order dispute.

Does adding margin always avoid forced liquidation?

No guarantee. The market may continue to move, and a deposit or transfer may also need processing time.

Back to the Product Risks channel View trading risks View slippage and order execution View the full fees

Sources

Risk Warning Order Placement and Cancellation Guide VIP and Fee Rate Guide

Risk Warning

Trading foreign exchange, contracts for difference, over-the-counter derivatives, margin products, and other leveraged financial instruments involves a high level of risk and may not be suitable for all clients. These products can result in losses that may exceed your initial deposit, depending on the product terms, account settings, and applicable legal protections. You should not trade unless you fully understand the nature of the products, the risks involved, and the extent of your exposure. When trading derivative products, you do not own or have any rights to the underlying asset.

The information provided on this website is general in nature and does not take into account your investment objectives, financial situation, trading experience, or particular needs. Nothing on this website should be construed as personal financial advice, investment advice, an offer, invitation, solicitation, recommendation, or inducement to buy, sell, subscribe for, or dispose of any financial product or service.

All market commentary, educational materials, research content, platform information, and other materials published on this website are provided for general information and reference purposes only. Past performance, historical data, examples, forecasts, or simulated results are not reliable indicators of future performance.

Access to Bifu Markets’ products and services is not available in all jurisdictions. We do not open accounts for residents of certain countries and jurisdictions, including but not limited to the United States, Australia, Canada, and the Democratic People's Republic of Korea.

By accessing this website, you confirm that you are doing so on your own initiative and that you are responsible for ensuring that your use of this website and any services provided by Bifu Markets complies with the laws and regulations applicable to you in your jurisdiction.

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