Bybit Overhauls Collateral Ratios to Expand Borrowing for Large Holders

Previously, once a user's holdings of a single asset surpassed a specific threshold, the collateral value of the excess was effectively zero. Under the new framework, that top tier now carries a collateral ratio ranging from 10% to 80%, depending on the specific asset. This adjustment allows institutional clients and high-volume traders to pledge more of their holdings as effective collateral, significantly increasing their liquidity for active trading.

The update affects a wide array of major cryptocurrencies, including ETH, SOL, BNB, DOGE, XRP, ADA, LINK, LTC, TRX, SHIB, PEPE, and DOT. Bybit notes that collateral ratios for other higher-position tiers have also been adjusted to slow the rate at which collateral value tapers off as holdings grow. Base-tier ratios remain unchanged, and the system will automatically apply the new calculations without requiring user action.

According to Yoyee Wang, Vice President of TradFi-RWA at Bybit, the move aligns with the exchange's push to build a full-service financial platform that bridges digital assets with mature global markets. This follows July's integration of six xStock assets—including those linked to companies like NVIDIA, Tesla, and Alphabet—as eligible collateral for margin and institutional loans. The latest changes aim to maximize capital efficiency for users navigating the intersection of traditional financial instruments and crypto-native infrastructure.