Capital efficiency on Hyperliquid
Portfolio margin unifies spot and perps into one risk account
Instead of parking USDC in a separate perps wallet, eligible spot (HYPE, BTC) can collateralize borrows, auto-cover margin, power carry trades, and earn yield when idle. This guide turns the docs into interactive models you can twist.
Unified balance
Spot + cross perps margined together. One account, shared PnL offset.
Auto-borrow
Insufficient USDC? Borrow against HYPE/BTC up to 50% LTV.
Idle yield
Unused borrowable assets auto-supply and earn utilization-based interest.
Account PMR
Liquidation is portfolio-level when margin ratio exceeds 95%.
In one sentence
Portfolio margin is a generalization of cross margin: all cross perp positions and spot balances are collectively margined in one account, with LTV-based borrowing of quote assets against eligible collateral.
Models here follow public Hyperliquid docs for education. Caps, eligibility, and parameters change with network upgrades — always verify on the official app and docs before trading.
01 · Comparison
Isolated vs cross vs portfolio
Pick a margin mode
See how capital and risk are scoped.
Spot + cross perps share one unified account.
- HYPE / BTC spot can collateralize borrows
- Auto-borrow USDC against eligible LTV
- Spot & perp PnL offset each other
- Idle borrowable assets earn yield
Capital layout
Boxes represent balances and risk walls.
Portfolio margin generalizes cross: the whole account is margined together, not just perps.
02 · Borrowing
LTV & auto-borrow calculator
Collateral inputs
Borrowable USDC ≈ balance × oracle price × LTV (50% for HYPE and BTC).
HYPE notional
$200,000
BTC notional
$50,000
Max from HYPE
$100,000
× 50% LTV
Max from BTC
$25,000
× 50% LTV
Total borrow capacity
$125,000
Before protocol user/global caps
Health factor
156.3%
Can open more risk / borrow
How auto-borrow works: If you place a spot or perp order without enough USDC, Hyperliquid can borrow against eligible collateral up to balance × price × LTV. Borrowed USDC can trade but cannot be withdrawn or transferred.
Borrow used: $80,000 / $125,000 (64%)
03 · Strategy
Funding / carry trade playground
Trade setup
Spot long + equal-size perp short. Portfolio margin keeps the hedge alive as price moves.
Spot PnL
$0
Short perp PnL
$0
Net delta PnL
$0
Hedge cancels directional move
Auto-borrow (price up)
$0
Capacity $50,000
Funding over 30d
$986
Est. borrow interest
$4.11
Illustrative ~5% APY base
Carry result (simplified)
$982.19
Net ≈ funding income − borrow interest. Real results also include basis, fees, and utilization-driven rates.
Why the price range widens
Spot BTC is now $100,000. Short loses, but spot gains offset.
PM can borrow USDC against spot so the short's margin stays healthy without you depositing more quote.
Docs note: if price runs far (e.g. 2×), you may need to cut notional to avoid borrow-lend liquidation.
Docs example: 1 BTC spot + 1 BTC short at 10×. At $100k you pay interest mainly on the small IM while earning funding on full notional. At $150k, PM auto-borrows against spot; at $200k you may need to reduce size. This tool is educational, not a trading system.
04 · Health
Portfolio margin ratio
Portfolio risk inputs
PMR is the account-level health ratio. Liquidation when PMR > 95%.
Portfolio margin ratio
Healthy portfolio margin
Partial borrow liq
$150,000
Borrow above this → partial takeover
Full borrow liq
$166,667
Borrow above this → full takeover
What raises PMR: unrealized perp losses, collateral price drops, withdrawals, and accruing borrow interest. Liquidations go to the backstop liquidator; order of spot vs perp liquidation is not deterministic.
05 · Interest
Utilization interest curve
Utilization → borrow APY
APY = 5% + 4.75 × max(0, util − 80%). Continuous compound; indexed hourly.
Borrow APY
5.00%
30d continuous cost
0.412%
exp(APY × t) − 1
On this borrow
$205.90
To suppliers (90%)
$185.31
Protocol buffer 10%: $20.59
Your borrow size
Idle USDC in a portfolio-margin account is auto-supplied and earns the same utilization rate (minus the 10% protocol share of borrower interest). Suppliers and borrowers meet at the same curve — no separate order book for loans.
06 · Stress
Borrow liquidation lab
Fixed debt, falling collateral
Borrow max at entry, then drop the oracle. Matches the docs HYPE walk-through.
Max borrow at entry: $250.00 = 10 × $50 × 50%
Partial threshold ratio: 75% · Full: 83.3%
Debt (fixed)
$250.00
Collateral now
$500.00
Partial trigger
$375.00
Price ≤ $33.33
Full trigger
$416.67
Price ≤ $30.00
Zone
Current status
Safe
Debt is still below the partial threshold at this oracle price.
07 · Access
Who can enable it & caps
Eligibility (docs)
- Master account weighted volume over $5,000,000 or account value over $10,000
- Account value under $25,000,000
- Close open positions/orders before enabling. Sub-accounts stay separate under PM.
Enable from Portfolio → Portfolio Margin, or Trade → Classic → Portfolio Margin. When caps bind, behavior falls back toward non-PM margining for the excess.
Supply & borrow caps (illustrative)
| Asset | Global supply | Global borrow | User borrow |
|---|---|---|---|
| USDC | 1B | 500M | 50M |
| USDT | 50M | 10M | 1M |
| HYPE | 10M | — | — |
| BTC | 2k | — | — |
HYPE and BTC are collateral (LTV 50%). Stablecoins are the primary borrow/supply side. Caps bootstrap supply safely and may change.