> For the complete documentation index, see [llms.txt](https://stablestock.gitbook.io/ss/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://stablestock.gitbook.io/ss/concepts/leverage/how-it-works.md).

# How it works

Everything from setting up to opening and closing a position.

**Before you trade**

1. **Complete KYC.** Work through the KYC flow — identity verification, the investor questionnaire, and the risk assessment. Any step you've already finished is skipped. You can't place leverage orders until KYC is approved.
2. **Deposit USDT or USDC.** Transfer funds into your leverage account to use as your own capital (your collateral).

**Opening a position**

When you place a buy order, you pick a leverage ratio, and the platform automatically splits the position between your own funds and borrowed capital based on that ratio. Your funds serve as the collateral; the platform lends the rest.

For example, buying a 100 USDT position at 10× leverage means you put up 10 USDT and the platform lends the other 90 USDT.

Each stock's available leverage, minimum and maximum position size, maximum borrowing limit, and trading hours are set individually per product. You can check the live values for any stock on its order page or detail page.

**Closing a position**

When you sell, the platform settles the borrowed capital in proportion to how much of the position you close. Closing part of a position repays the matching part of the loan; the rest of the position and its loan stay open.

{% hint style="info" %}
**Example — closing half a position** You open a 100 USDT position at 10× leverage: 10 USDT of your own funds and 90 USDT borrowed. You later sell half of it (50 USDT of stock). Half of the loan — 45 USDT — is repaid automatically, the brokerage and platform service fees are deducted from the sale, and the remainder returns to your leverage account. The other half of the position and its 45 USDT loan stay open.
{% endhint %}