Binance has announced updates to the collateral ratios for several assets under its Portfolio Margin program. The changes will take effect on March 28, 2025, and are expected to last one hour.
Changes in Collateral Ratios
According to an official statement published on March 24, 2025, the collateral ratios for six cryptocurrencies will be reduced. For example, Curve DAO Token (CRV) and Uniswap (UNI) will see their collateral ratios drop from 85% to 80%, while Algorand (ALGO) will decrease from 85% to 75%. Kusama (KSM)'s collateral ratio will be lowered from 80% to 70%, Tezos (XTZ) from 75% to 60%, and eCash (XEC) from 70% to 55%.
Impact on Users
Collateral ratios determine how much an asset contributes to a user's margin maintenance level. Lowering these ratios means that these assets will provide less support in Portfolio Margin accounts, which may increase the risk of liquidation if a trader's margin falls below the required level. Binance has urged users holding these assets to monitor their accounts closely to manage their risk exposure.
Recent Binance Changes
These adjustments are part of a series of changes Binance has introduced in recent weeks. On March 21, 2025, the exchange announced an update to its Fiat Liquidity Provider Program, introducing a new qualification tier for EUR markets and adjusting its Maker Fee Rebate Rate to boost liquidity incentives. On March 19, 2025, Binance also introduced two new features to its margin trading platform, enhancing user control over risk management strategies. Additionally, the crypto exchange launched a community-driven “Vote to Delist” trial from March 21 to 27, 2025, allowing verified users to vote on the removal of tokens from the platform. Final decisions on delisting will be made by Binance based on factors such as project development and regulatory compliance.
The changes to collateral ratios announced by Binance highlight the importance of careful risk management for users of the Portfolio Margin program. The recent moves by the exchange demonstrate its commitment to improving the efficiency of trading platforms and tools.
