> For the complete documentation index, see [llms.txt](https://docs.bean.exchange/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.bean.exchange/trading-perp/markets-and-collateral.md).

# Markets & Collateral

#### Market Selection

* **Available Markets**: Select from supported perpetual markets (e.g., BTC/USD, ETH/USD, SOL/USD)
* **Index Price Feed**: Each market uses aggregated price feeds from multiple exchanges to reduce manipulation risk
* **Market Types**:
  * **Fully Backed Markets**: Open interest limited by pool reserves, all profits fully backed
  * **Synthetic Markets**: Cross-collateral positions with ADL protection when needed

#### Pool Selection

* **Multiple Pools Per Market**: Choose between different collateral pairs (e.g., ETH-USDC, ETH-USDT)
* **Pool Composition**: Each pool consists of:
  * Long Token: Backs long positions
  * Short Token: Backs short positions
* **Pool Shifting**: Move liquidity between pools with same backing tokens without sell fees

#### Collateral Options

* **Long Positions**:
  * Index token collateral: Amplified exposure (e.g., 1 ETH position + 1 ETH collateral = 2 ETH exposure)
  * Stablecoin collateral: Isolated long exposure, easier to switch between long/short
* **Short Positions**:
  * Index token collateral: Useful for delta-neutral strategies to earn funding fees
  * Stablecoin collateral: Pure short exposure, easier to switch directions
* **Collateral Management**: Deposit or withdraw collateral anytime via "Edit" button to adjust leverage and liquidation price

#### Leverage System

* **Max Leverage**: Dynamically adjusts based on pool utilization
  * Decreases as open interest increases to protect pool
  * Only affects opening/increasing positions, not existing positions
  * Interface shows warnings when max leverage would be exceeded
* **Leverage Display**: Configurable as (position size) / (collateral) or (position size + PnL) / (collateral)