> For the complete documentation index, see [llms.txt](https://docs.spin.fi/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.spin.fi/tech-documentation/futures/collateral.md).

# Collateral

The collateral is the amount of funds blocked in the user's margin account when placing an order or increasing the net position. This is the insurance that guarantees the fulfilment of the trader's obligations. Collateral is calculated for each open position and for each standing order.

**Calculation of the collateral *****Cp***** for positions:**

![](https://lh6.googleusercontent.com/05ZK_CpJvEjyZaPSXBL2Wl9fjPZZGDpKimqe55UU9PHjntr0hc_3Pv3YuYhY7b9HGENDB37F3xsTOKNGoyhPLSsedr8cNL8HQydObZkb_37d7F0a_NerbhPSyZI28BBJYYzsrSxI8c2sSyr-07Xo-CY)

**Calculation of the collateral *****Co***** for open orders:**

![](https://lh5.googleusercontent.com/IRqIVLtUuYm-_q_Hu-SjWyTzi4CoDhh2sn5Wz3bHmPN5TFuqpt1fPcKZLLJp7YilJfy6jpKqNePwOgmAF1AKrt7wiQdkm_o80nWx2bGLVexJt8EANWvmxaKMVSW9CIhK3V7maUKmR-6xc-Ihx1gX34o)

Mark price is used for the market orders.