Bybit Institutional Loans are designed to provide competitive loans services to institutional users and help them better utilize collateral assets in their Bybit account.
Key Advantages:
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Collateral assets are locked in the Unified Trading Account of both the user’s Main Account and Subaccounts.
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As long as the loans-to-value (LTV) ratio is met, the collateral assets can be traded in the Spot or Derivatives markets.
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Institutional Loans support multiple collateral assets.
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Institutional Loans provide competitive interest rates and borrowing amounts. Please reach out to your institutional account manager for more information on the latest rates.
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Leverage interest-free loans are offered in our promotional events, now with Unified Trading Account supported.
Product Specifications
Currently, Bybit offers up to 5x leverage (UTA) for Institutional Loans.
The details of product specifications are as follows:
Product |
Institutional Loans: 5x Leverage (UTA) |
Target Audience |
Institutional Traders |
Borrowable Assets |
USDT and USDC. |
Loan Disbursement |
The loan will only be disbursed to the specified risk unit UID and can only be directed to UTAs. During disbursement, a portion of the funds will be collected as a reserve. This reserve amount will be transferred to the platform's system account and cannot be traded or withdrawn, to prevent margin shortfalls in institutional loans. For example, if an institution has a margin of 270,000 USDT, a reserve ratio of 2%, and a leverage of 5x, the available loan amount would be 1,000,000 USDT. A reserve of 20,000 USDT will be frozen in the system account, making the trader's total assets 1,250,000 USDT with a current LTV of 80%. |
Repayment |
Repayment can only be processed within the UTA of the specified risk unit UID. Once the institution fully repays the loan, all reserves held in the system account will be released back to the UTA of the institution's specified risk unit UID. |
Max. Borrowing Amount |
Please reach out to your institutional account manager to find out more. |
Supported Account |
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Loan Leverage |
5x |
Min. Required Borrowing Amount |
1,000,000 USDT or an equivalent value |
Collateral Assets |
Collateral Assets refer to the total USDT amount of all Institutional Loans collateral in the user’s UTA.
When converting your assets into non-margin assets or margin assets with a lower collateral value ratio, you may experience immediate liquidation upon order placement if the LTV exceeds the liquidation ratio. We strongly advise managing your risk appropriately to avoid such an event. You can refer here for the list of the supported margin assets.
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Application Rules |
Please contact an Institutional Representative to apply, OR You can send an email to institutional_services@bybit.com |
Loan Disbursement Account |
Risk Unit Specified Main UID |
Repayment Rules |
Repayment Date The repayment date is mutually agreed upon offline and documented in the contract agreement.
Repayment Scenarios 1. Scheduled Repayment: You have the option to repay your loans on the agreed due date. 2. Early Repayment: There's also the flexibility for early repayment if desired. |
Risk Management |
Risk Unit
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LTV The LTV for an Institutional Loans Risk Unit is calculated as follows: LTV Ratio = (Outstanding Loan Principal + Outstanding Loan Interest) / Total Assets Where,
To learn more about how to calculate LTV, please refer to the example at the bottom of the article. The calculation of IMR and MMR under UTA are based on each UID and are independent of the LTV ratio for Institutional Loans. Learn more about IMR and MMR in Trading Rules: Liquidation Process (Unified Trading Account). | |
Trading Restriction LTV ≥ 80%
LTV ≥ 85% Transactions that will increase order costs in UTA will be restricted, including:
LTV ≥ 90%
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Liquidation When the LTV ratio reaches or exceeds 90%, here's how the repayment process works:
Otherwise, the following measures will be taken:
Liquidation Settlement In the liquidation process, a settlement fee will be collected by Loans Insurance Funds using the following formula: Liquidation Settlement Fee = Liquidated Asset * 2% Please monitor your risk level closely to avoid liquidation.
Liquidation Process between Institutional Loans and UTA Account When liquidation at the UTA level is being processed, and the Institutional Loans liquidation is triggered, the liquidation process for the Institutional Loans will bypass the current UID. Liquidation at the UTA level operates separately from Institutional Loans liquidations. For example, while the rules for staggered liquidation of Options apply at the UTA level, they do not apply to Institutional Loans. During the liquidation process for Institutional Loans, any liquidations at the UTA level will only take place after the settlement of Institutional Loans liquidations. | |
Supported Products and Services |
Spot Trading Supports all current Spot trading pairs and leveraged tokens. Visit this page to learn about the leverage supported for Spot. USDT Perpetual Supports USDT Perpetual contracts. Visit this page to learn about the opening restriction ratio of supported contracts. USDC Perpetual/Futures Supports USDC Perpetual and Futures contracts. Visit this page to learn about the opening restriction ratio of supported contracts. USDC Options Supports USDC Options. Margin Mode Supports Isolated Margin, Cross Margin, and Portfolio Margin mode. OTC Trading Supports OTC Trading. Convert Convert is yet to be supported on Institutional Loans. |
Example: Calculation of LTV Ratio
LTV Ratio = (Outstanding Loan Principal + Outstanding Loan Interest) / Total Assets
Assuming:
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Outstanding Loan Principal = 60,000 USDT
Position and Asset Overview per Risk Unit UID
Account Margin Mode |
UID |
Coin |
Wallet Balance |
Index price |
Unrealized PnL |
Positive Option Value |
Isolated Margin |
1001 |
USDT |
1,000 |
1 |
3,000 |
- |
Isolated Margin |
1001 |
USDC |
1,000 |
1 |
2,000 |
- |
Isolated Margin |
1001 |
BTC |
1 |
60,000 |
- |
- |
Cross Margin |
1002 |
USDC |
5,000 |
1 |
2,000 |
2,000 |
Portfolio Margin |
1003 |
USDC |
2,000 |
- |
1,000 |
900 |
Total Asset Overview for the Entire Risk Unit
Coin |
Equity USD |
Positive Option Value (under Cross Margin Mode) |
USDT |
4,000 |
- |
USDC |
13,000 |
2,000 |
BTC |
60,000 |
- |
Collateral Value Ratio
Coin |
Equity Range |
Collateral Value Ratio |
USDT, USDC |
0 - 99,999,999,999 |
100% (1) |
BTC, ETH, TUSD, USDE |
0 - 20,000,000 |
100% (1) |
To learn more about the collateral value ratio of different assets, please refer to this page.
Calculation Steps:
Step 1: Calculate Total Equity
Total Equity represents the total value of assets available as collateral in USD equivalent.
Total Equity = USDT Equity USD + USDC Equity USD + BTC Equity USD
(4,000 × 1) + ((13,000 − 2,000) × 1) + (60,000 × 1) = $75,000
Step 2: Calculate LTV Ratio
LTV = Remaining Amount / Total Equity
Given:
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Borrowing Amount = $60,000
LTV= 60,000 / 75,000 = 80%
In this example, the LTV ratio is calculated to be 80%. This means that the remaining loan amount of $60,000 is 80% of the total equity value of all assets used as collateral ($75,000).
For any inquiries, please reach out to our Institutional Representatives, or send an email to institutional_services@bybit.com. At the moment, our Live Chat has yet to support Institutional Loan-related queries.