Collateral margin

Collateral Margin: What It Is, How It Works, and Who Uses It

Collateral margin is the security a borrower or trader posts that can give a lender or broker a buffer against market volatility and credit uncertainty — a concept CoinMarketCap's glossary frames in a borrower/lender lending context. This guide walks through initial and maintenance margin, what changes the amount required, how central banks and clearinghouses value and size collateral, and how institutions manage it, grounded in the named sources cited throughout.