Bybit Unified Trading Account: Who Is It Best Suited For?

As a leading cryptocurrency exchange, Bybit has progressively improved and expanded its products and services to meet the evolving needs of its users. Some of its many products include Spot, Derivatives and Options. Until recently, Bybit users have often held multiple accounts to take advantage of all of the exchange’s features. However, managing multiple accounts can be both limiting and complicated for many users. To improve the user experience, the Bybit Unified Trading Account has recently been introduced.

What Is the Bybit Unified Trading Account?

The Bybit Unified Trading Account is a comprehensive feature that allows users to manage all funds and assets through a single account in which they can review their assets and risk in USD at one time.

The Bybit Unified Trading Account offers exciting features to benefit many types of cryptocurrency traders. For example, because all of the accounts are managed collectively, users can borrow cryptocurrencies based on their total portfolio value rather than on the value of a single account. The Bybit Unified Trading Account supports more than 60 unique assets that can be used as collateral for borrowing purposes. Trades with any cryptocurrencies can be completed, provided sufficient funds are available. Additional features include auto-borrower, cross-asset collateral, netted profit and loss, and margining using unrealized profits.

Who Should Use the Bybit Unified Trading Account?

With the Bybit Unified Trading Account, users can access five trading products with only one click. These products include Spot Trading, Margin Trading, USDT and USDC Pepetuals, and USDC Options. This account is available to all users through the website, the API or the app. More than that, its ease of use and its functionality make it beneficial to all traders.

Multiple Product Traders

Many Bybit users have multiple accounts, and they regularly move their crypto assets between their accounts to access different features. With a Bybit Unified Trading Account, all assets are managed together, and the need to move crypto assets around is eliminated. In addition to simplifying activities, a Bybit Unified Trading Account makes it easier for traders to monitor their total assets, and enhances leveraging capabilities.

Let’s take a look at the example of a user who wants to trade across multiple product types. Before upgrading to the Bybit Unified Trading Account, they would take the following steps in order to trade both Spot and Derivatives:

1. Deposit funds
2. Transfer funds to Spot Account
3. Trade Spot
4. Transfer funds to Contract Account
5. Trade Contracts
6. Transfer to USDC Account
7. Trade USDC Perpetuals and Options

On the other hand, if the user were to upgrade to the Bybit Unified Trading Account, their task would be reduced to the following five steps:

1. Deposit funds
2. Transfer to Bybit Unified Trading Account
3. Trade Spot
4. Trade Contracts
5. Trade USDC Perpetuals and Options

Upgrading to the Bybit Unified Trading Account allows traders to use the funds from one single account for all types of products on Bybit, minimizing the hassle required to transfer funds from one account to another in order to carry out a trade. 

Perpetual Product Traders

A Bybit Unified Trading Account supports both USDT and USDC Perpetuals. Rather than managing separate accounts individually for these products, users can benefit from using a single account. By viewing and completing all perpetual contracts in one location, users can moderate risk and more easily monitor their assets. Furthermore, the Bybit Unified Trading Account makes it possible for the profit and loss of perpetual contracts to be offset by each other. This enables you to use your unrealized profits to open new positions. 

Let’s take a scenario in which you’re a user who holds multiple USDT permanent positionings at the same time:

• Positioning 1: Floating surplus of $1,000
• Positioning 2: Floating surplus of $2,000
• Positioning 3: Floating loss of $1,200
• Positioning 4: Floating loss of $600

Before the upgrade to a Bybit Unified Trading Account, the overall situation in the Contract Account is a loss of $1,800 (−$1,200 − $600 = −$1,800). This is due to the fact that the floating profits of positioning 1 and 2 can’t be used to open a new positioning. 

However, once you upgrade to the Bybit Unified Trading Account, your overall profit will be $1,200 (or $1,000 + $2,000 − $1,200 − $600 = $1,200). With this $1,200, you’ll be able to open a new positioning.

Hedging Portfolio Traders

Hedging allows traders to mitigate risks associated with their portfolio positions. A Bybit Unified Trading Account presents enhanced risk management to users. This is done through the use of the Portfolio Margin mode, which ultimately improves the utilization rate of funds for users.

Consider a situation where a user holds multiple BTC stock options and uses BTCUSDT hedging. Before upgrading to the Bybit Unified Trading Account, the user would go through with the following steps:

1. Trade BTC stock options within their USDC Contract Account
2. Trade BTCUSDT in the Contract Account for perpetual hedging

In this case, each stock option and permanent positioning will have an independently calculated margin in which the overall margin is higher.

If the user were to upgrade their account, they would simply need to open the Portfolio Margin mode in their Bybit Unified Trading Account to trade both BTC stock options and use BTCUSDT perpetual hedging. The BTC positioning under the Risk Unit will be calculated based on the Portfolio Margin mode, thereby reducing the margin occupancy.

Spot Futures Portfolio Arbitrage Traders

With a Bybit Unified Trading Account, users can take advantage of up to 5x leverage. This enhanced leverage allows users to potentially increase profits from their trading activities. In addition, users can directly spot leverage to long BTC and short BTCUSDT Perpetuals.

To better understand how the Bybit Unified Trading Account benefits Spot Futures portfolio arbitrage traders, let’s explore an example using Spot leverage to trade more BTC Spot, while shorting BTCUSDT Perpetual Contracts and charging funding costs.

Before upgrading, the user will have to pay attention to the loan-to-value (LTV) of their Spot Account when using Spot leverage to trade more BTC. This is to ensure that their account is not in danger of liquidation. At the same time, they would have to take note of the price changes of forced liquidation for the BTCUSDT Perpetual Contract to prevent being liquidated. 

The hassle of doing both of these tasks at the same time could be overwhelming for traders. As such, upgrading to the Bybit Unified Trading Account will allow them to simply pay attention to the maintenance margin occupancy rate of the account, while they directly Spot leverage to long BTC Spot and short BTCUSDT Perpetual Contracts.

API Traders

The Bybit Unified Trading Account is open to API traders, thanks to its latest V5 upgrade of OpenAPI. API trading supports faster execution of orders, and may offer greater control of trading activities. API traders can continue to enjoy these advantages while accessing Bybit’s five core products and simplifying account management.

In a scenario where a user who has yet to upgrade to the Bybit Unified Trading Account uses OpenAPI to trade Spot and Derivatives, they would have to access the Spot V3 OpenAPI to do Spot trading, and the Contract V3 OpenAPI to do Futures trading. 

However, if they chose to upgrade their account, they would be able to directly access the latest V5 OpenAPI. Using a predetermined set of rules and a set interface for placing, changing and canceling orders, the V5 OpenAPI supports transactions of all Bybit products in just one click.

Why Should You Use the Bybit Unified Trading Account?

A Bybit Unified Trading Account opens up a world of possibilities. For example, a Derivatives Account and a USDC Derivatives Account only support a specific crypto asset for collateral. On the other hand, your Bybit Unified Trading Account works with more than 60 types of assets. In addition, cross-margin trading across numerous products is available. 

With your new account, you can also take advantage of increased leverage for Spot positions, which can enhance the profitability of your activities. Risk management is also improved, because liquidation is triggered through the Portfolio Margin mode. Plus, account management is simplified through the Bybit Unified Trading Account. Account holders also have access to increasingly competitive interest rates, based on their VIP level, as an additional benefit.

The Bottom Line

Bybit offers a solid selection of products and features to meet the needs and expectations of today’s traders. With a Bybit Unified Trading Account, you can take advantage of these products and features with a single account, rather than having to manage multiple accounts simultaneously. Open to all users, this account can dramatically elevate your experience on Bybit going forward. Upgrade to the Bybit Unified Trading Account to get started today!

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