Binance has announced an update to the collateral ratios for multiple cross-margin assets, set to occur in two phases from October 20 to 27. The cryptocurrency exchange advised users that these changes may affect margin levels and increase liquidation risk.
According to Binance's support announcement, the scheduled collateral-ratio changes will be implemented in two phases, each expected to take about 30 minutes to minimize disruption. The notice explains that amendments to collateral ratios can impact a user's Margin Level (ML) in Cross Margin Pro Mode. Users are urged to monitor their ML closely to avoid potential liquidation. The update will adjust tiered collateral ratios for asset numbers 6 through 10, altering how much value counts as collateral across specific USD bands to better reflect liquidity and volatility profiles.
The announcement specifies that on October 20, a wide range of assets will undergo adjustments, with many moving from asset number 9 to number 10. The tier table indicates that asset number 10 allows a 100% collateral ratio from $0–100,000 USD but drops to 0% above that threshold, effectively capping collateral usability at higher amounts. Binance emphasizes the importance of users pre-checking their ML and collateral composition before the change due to the immediate effect on borrowing capacity and liquidation thresholds caused by tier migration.