MC Markets Glossary: A Quick Reference of 40 Core Terms
Grouped into six themes, with the original English kept to match the platform interface — whenever you hit a word you don't know, come back to this page.
1. Account and Fund Security
| Term | Definition |
|---|---|
| 2FA (Two-Factor Authentication) | A second proof of identity on top of login verification — a one-time code generated by an authenticator app that changes every 30 seconds. |
| Fund Password | A separate password protecting fund operations such as withdrawals and vault redemptions; 8–16 characters with uppercase and lowercase letters, numbers, and special characters. Changing it triggers a 24-hour withdrawal lock. |
| Whitelist (withdrawal) | A pre-approved list of withdrawal addresses. Once enabled, withdrawals can only be sent to addresses on the list; addresses have an expiry and are removed automatically when they lapse. |
| KYC (Know Your Customer) | A regulator-required identity-verification process, implemented by the platform in three tiers L0 / L1 / L2. RWA instruments require L0; specific requirements are subject to the verification page. |
| Deposit | Transferring crypto assets from outside into your platform account, going to the Spot Account by default. The sending side and the network selected on the platform must match. |
2. Trading Basics
| Term | Definition |
|---|---|
| Spot | A way of trading that instantly exchanges assets at the current market price, with ownership transferred on the spot. No leverage, no liquidation, no funding rate. |
| Perpetual | A leveraged, two-way, no-expiry derivative contract, anchored to the spot price by an hourly funding rate. |
| Long / Short | Going long bets on a price rise, going short bets on a price fall. Perpetual contracts support two-way trading. |
| Leverage | A mechanism to control a larger position with only part of it as margin. It magnifies the PnL percentage. |
| Margin | The collateral funds required to open and maintain a leveraged position — think of it as the position's “deposit.” |
| Available Margin | The portion of your total assets that can be used to open new positions and pay fees and losses. |
| Cross Margin | A mode in which all positions share one pool of margin — the platform default. It improves capital efficiency but links risk across positions. |
| Position Value | A position's total notional value, denominated in USDC. For example, buying 1 BTC at $50,000 gives a position value of $50,000. |
| Swap (Instant Swap) | A quote-based one-tap asset exchange, with quotes refreshed every 10 seconds and a free allowance of 2,000 USDC per day. |
3. Price and Execution
| Term | Definition |
|---|---|
| Order Book | A price-sorted list of buy and sell orders, reflecting real-time market supply and demand. |
| Spread | The difference between the best ask and the best bid — the most direct gauge of the current trading cost and liquidity. |
| Liquidity | How easily an asset can be bought and sold without noticeably affecting the price. |
| Impact Cost | The worsening of the average fill price caused by a large order eating into the order book level by level. The larger the order, the higher the cost; the interface shows an estimate before ordering. |
| Slippage | The difference between the expected price and the actual fill price. The platform's slippage protection rejects fills beyond your tolerance. |
| Mark Price | A fair reference price produced by a weighted aggregation of multi-source oracles and platform data, used for PnL calculation, liquidation decisions, and conditional-order triggers; it resists single-source manipulation. |
| Mid-Price Input | An order aid that auto-fills the limit price with the real-time mid price (the average of the best bid and best ask). |
| Oracle | An external data source (Chainlink, Pyth) providing an independent spot reference price, serving as a basis for calibration and risk-control comparison. |
| Tick | The smallest unit by which a financial asset's price can change. |
| Gap | A price range with no trades between adjacent fills, usually caused by a sudden shift in supply and demand from major news. |
| Price Penetration | A technical-analysis concept where the price breaks through key levels such as support or resistance, possibly signaling a trend reversal or continuation. |
| Skew | The degree of imbalance between long and short positions on the platform. Excessive skew affects the funding rate. |
4. Risk and Liquidation
| Term | Definition |
|---|---|
| Margin Ratio | The ratio between account assets and the margin required to maintain positions — the core indicator of position health. |
| Maintenance Margin Ratio (MMR) | The minimum margin ratio needed to maintain a position; falling below it triggers forced liquidation. |
| Margin Call | A system warning when the margin ratio falls below 100%, prompting you to add funds or reduce positions in time. |
| Liquidation | The mechanism by which the system automatically closes positions when the margin ratio falls below 50%, triggered on the mark price. |
| Funding Rate | A balancing fee paid hourly between longs and shorts on perpetual contracts, anchoring the contract price to spot. The platform doesn't take it. |
| PnL | Unrealized PnL is the floating gain or loss on an open position; realized PnL is the final net result after fees once the position is closed. |
| Total Account Value | The net sum of futures, spot, vault, and all realized and unrealized PnL — a comprehensive indicator of account health. |
5. Yield Products
| Term | Definition |
|---|---|
| Earn | A flexible interest-bearing product: five assets deposited and withdrawn anytime, with T+1 interest, settled in-kind; yield floats with the market and is subject to actual settlement. |
| Vault (MLP) | The platform's USDC liquidity pool, where depositors share fee income by share. A 4-day lock-up, active strategies; yield is not guaranteed and the principal is at risk. |
| APR (Annual Percentage Rate) | An annualized return calculated on a simple-interest basis. Both Earn and vault yields are expressed as an APR and float with the market. |
6. Platform and On-Chain Verification
| Term | Definition |
|---|---|
| Proof of Reserves (PoR) | A mechanism using on-chain data to prove the platform's assets fully cover user assets, with the reserve ratio kept above 100%, independently verifiable by anyone. |
| Merkle Tree | The cryptographic structure PoR uses: each user can verify their own balance is counted in the total without seeing others' data. |
| USDC / USDT | Two US-dollar-pegged stablecoins, issued by Circle and Tether respectively. The platform's trading pairs are mostly priced and settled in USDC. |
| Wash Trading | Manipulative conduct of trading with yourself to fake volume; the platform expressly prohibits it and will detect and act on it. |
Further reading: for the full context of trading terms, see “Order Types,” “Spread, Slippage, and Impact Cost,” and “What Is Liquidation”; for yield, see “What Is Earn” and “What Is the MLP Vault”; for security and verification, see “What Is Proof of Reserves” and “On-Chain Verification: A Hands-On Guide.” This table is continually expanded; if you hit a term not yet included, you can ask the in-site AI support right away.
Risk Warning
This table reflects the platform's current product mechanics; specific definitions and parameters are subject to the latest version of the official documentation.
Disclaimer
This article is for general informational and educational purposes only and may not apply to the regulations or products available in your region. It does not constitute investment, financial, or trading advice of any kind, nor an offer, solicitation, or recommendation to buy, sell, or hold any digital asset.
Trading digital assets involves high risk, prices can be extremely volatile, and you may lose all of your invested capital. Leveraged trading can result in losses exceeding your initial deposit. Past performance is not indicative of, and does not guarantee, future results.
You should make investment decisions independently based on your own financial situation and risk tolerance, and consult a licensed professional adviser where necessary. While we strive to ensure the accuracy of the information in this article, MC Markets accepts no liability for any errors or omissions, or for any loss you may suffer from using or relying on this information.
No more