About loss-cut risks
In margin trading, leverage can be expected high return in proportion to magnification you set, but it also has high risk on the other hand.
In high volatility which has rapid price movement of market, if the price moves to opposite side to the position you hold, the loss can't bear the amount of margin, and there is a risk for Loss-cut in some cases.
※What is Loss-cut
It is the system for forcible settlement of that subject position to prevent expanding additional loss if the margin rate falls below 30%.
Besides, there is no margin call even in the case that occurs the loss exceeding the amount of margin depending on board situation. However, if your account balance (on a Japanese Yen basis) becomes negative due to loss, you will be needed to make your balance positive by depositing JPY or selling other cryptocurrency to do another trading or withdrawing.
※What is additional collateral required of margin
As a general, if the margin rate falls below prescribed level due to rapid market movement, it is required to deposit additional collateral to maintain margin above the prescribed level.
On the ther hand, in Zaif Exchange, as it is described in above「What is Loss-cut」, even in the case that your account balance (on a Japanese Yen basis) becomes negative at the time of settlement, there is not required to deposit additional collateral (It is called "No need for a margin call") to make your balance positive. However, you will be needed to make your balance positive by depositing JPY or selling other cryptocurrency to do another trading or withdrawing.
High leverage trade and Loss-cut Risk
In margin trading, please pay careful consideration about your position management and loss-cut risk when you do especially high leverage trading.