FXGT: Advantages, disadvantages and points to note of zero cut. Latest explanation of margin maintenance rate and no margin call system.

FXGT

In the FXGT account, a zero-cut system is adopted that does not require margin calls if the balance becomes negative, so there is no risk. This system has great benefits for traders. Therefore, Crypto GT can be said to be a cryptocurrency exchange that is operated from a trader’s perspective. We have summarized the zero-cut system.

FXGT Basic Information

Operating companyGT Global Ltd.
Head office locationRepublic of Seychelles
Financial services providedFX, CFD (crude oil, gold, stock index, commodities, etc.), virtual currency trading, etc.
LeverageFX currency pairs: up to 5,000x
Cryptocurrency: up to 1,000x
Trading PlatformMetaTrader 4 (MT4)
MetaTrader 5 (MT5)
FXGT’s proprietary web
Account TypeStandard Account
ECN/Pro Account
Crypto Max
Bonus PromotionsNew account opening
Deposit bonuses and limited-time promotions
Financial LicenseSeychelles Financial Services Authority (FSA)
Financial Services Commission of South Africa (FSCA)
Vanuatu (FSC)
Safety and reliabilitySeparate management
Partial compensation system and insurance enrollment
Stop loss and margin callsNo margin calls (negative balance requests) (zero cut)

What is FXGT’s Zero Cut System?

Let me explain FXGT’s “Zero Cut System” in simple terms. You can view details such as high leverage and spreads in a list from the home page. Even with a certain unrealized loss, no additional margin is required. Whether it’s gold or foreign exchange, if you go negative and are short, your balance will be reset to zero. This applies to both real and demo trading, and is a convenient feature for professionals.

What is the Zero Cut System?

The Zero Cut System is a system that prevents additional charges even if your account balance goes negative.
Typically, in FX trading, sudden market fluctuations can cause your account balance to go negative. While some brokers require you to deposit additional funds to repay a negative balance, FXGT’s zero cut system compensates for the negative balance.

Example

Account Balance: ¥10,000

Position Loss: ¥15,000

In this case, your account will be down ¥5,000, but because FXGT’s zero-cut system is activated,

your account balance will be reset to ¥0.

No additional ¥5,000 payment is required.

Benefits

No margin calls (additional margin) are required even in the event of sudden market fluctuations.

Easy risk management, making it safe for beginners.

Points to Note

Zero-cut does not eliminate the risk of losing all your account funds.

Large losses can occur, so excessive leverage should be avoided.

Applicable conditions may apply depending on FXGT’s system and terms and conditions.

In short, FXGT’s zero-cut system

Benefits of FXGT’s Zero Cut System

FXGT’s zero cut system (zero cut) offers several significant benefits for FX trading. Below, we’ve summarized its key objectives and key points in an easy-to-understand manner. 👇 It applies to all accounts, including mini, standard, and pro accounts, and its features are utilized. Be sure to understand the underlying zero cut system standards and system knowledge. Depending on your method, it may be possible to avoid it.

✅ 1. No losses (margin calls) greater than the amount deposited.

With the zero cut system, even if market fluctuations cause losses to balloon and your account balance goes negative, the negative amount is automatically reset to zero, eliminating the need for additional payments (margin calls).
This means there’s no risk of incurring debt.

📌 Example:

Deposit: ¥100,000

A sudden market change results in a loss of ¥200,000
→ No margin call, balance simply drops to ¥0

✅ 2. Aggressive high-leverage trading becomes easier

The zero cut limit limits losses to the initial deposit, making high-leverage trading easier.

High leverage trading tends to generate profits but also larger losses, but the lack of margin calls makes risk management easier.

✅ 3. No limit on negative balance resets

FXGT has no limit on the number of times or amount that zero cuts can be applied.

Even if multiple negative balances occur, zero cuts are automatically applied to each account.

✅ 4. No impact on other accounts or funds (eWallets)

FXGT zeros only the account that went negative.

FXGT Zero-Cut Execution Rules

We’ve compiled an easy-to-understand explanation of FXGT’s zero-cut execution rules (how and when they are applied) based on official information. 👇 These rules are the same not only in Japan but also overseas, so please check the latest information. Customers should trade with ample margin for profit and loss.

📌 1. Conditions Under Which Zero-Cuts Are Applied

FXGT applies zero-cuts in the following order:

Margin Call (Decrease in Margin Maintenance Ratio)
When the margin maintenance ratio drops, a margin call is triggered first.

Liquidation Stop (Forced Liquidation)
When the margin maintenance ratio falls below the loss-cut level, open positions are automatically liquidated.

Zero-Cut Triggered When the Balance Goes Negative
When a loss-cut is not triggered in time and your account balance goes negative, the zero-cut system is applied.

✔ In other words, zero-cuts are the final protective measure if your balance goes negative after a loss-cut.

🕑 2. Trigger Timing (Execution Timing)

FXGT automatically executes zero-cut:

When your account balance becomes negative
When your margin (equity) becomes negative, the zero-cut process usually occurs within approximately one hour.
*The timing may take 2-3 hours depending on the situation.

Automatic Execution
Zero-cut is executed automatically and does not require any user application.

⚠️ 3. Notes on Fund Transfers

If you transfer funds from another wallet or account before the zero-cut is executed, those funds may be offset against your negative balance.
➡ This is a separate process from the “zero-cut reset,” so it is recommended that you transfer funds after the zero-cut is complete.

❌ 4. Cases in which the zero-cut is not applied

FXGT may not apply zero-cut in the following cases:

✔ When you have remaining credits (bonuses)

Even if your balance is negative, if you have remaining credits (bonuses), those credits will be offset against the negative balance first.

Zero cut applies only when your equity and excess margin become negative.

✔ In the event of a violation of the terms of use

If you are trading in a manner that violates FXGT’s terms of use, such as hedging across multiple accounts, the zero cut will not apply and you may be subject to measures such as account suspension.

FXGT Zero Cut Caution

FXGT’s zero cut system is convenient, but there are a few things to keep in mind when using it. Not knowing these can lead to unexpected losses or problems, so let’s take a look at them. 👇

Zero Cut Does Not Mean Zero Loss

Zero cut is a mechanism that prevents additional deposits if your account balance goes negative.

However, all funds in your account may be lost.

If there is a sudden change in the market during highly leveraged trading, the risk of total principal loss does not disappear even with a zero cut.

Beware of the Timing of Activation

Zero cut is usually automatically executed within about an hour after your account balance goes negative.

If the market suddenly changes, the zero cut may not be executed in time, resulting in a temporary negative balance.

Transferring funds from another wallet or account may offset the negative balance.

Relationship with Credits and Bonuses

If your account has remaining bonuses or credits, the zero cut will be applied when your equity goes negative.

If the bonus alone offsets the loss, the zero-cut may not actually apply.

Trading in violation of terms and conditions is not applicable.

The zero-cut does not apply to hedging multiple accounts or fraudulent trading.

If you do not comply with FXGT’s terms of use, the zero-cut will not be activated, and you risk losing all your funds or having your account suspended.

No impact on other accounts or funds.

The zero-cut resets only the affected account, so it does not affect other accounts or eWallet funds.

However, if you trade multiple accounts at once, you should be aware of which accounts the loss will affect.

Beware of overconfidence in high-leverage trading.

Just because there is a zero-cut does not mean excessive leverage trading is safe.

Since there is a possibility of losing all your principal, risk management and stop-loss rules are essential.

Frequently Asked Questions About FXGT’s Zero Cut

We’ve compiled a list of frequently asked questions about FXGT’s zero cut system, both for beginners and users. It’s easier to understand when organized in a Q&A format. 👇

Q1. What is zero cut?

A: Even if your account balance goes negative, FXGT will compensate you for the negative balance.

No additional deposit (margin call) required.

No debt risk.

Q2. When does zero cut work?

A: Normally, it works automatically within about an hour after your account balance goes negative.

It’s processed automatically even during sudden market fluctuations.

No user application is required.

Q3. Can zero cut be used on all accounts and currency pairs?

A: Yes. It applies to all products traded on FXGT, including FX, CFDs, and cryptocurrencies.

However, it does not apply to trades that violate the terms of service.

Q4. What happens if I have a bonus or credit?

A: If you have any remaining bonuses or credits in your account, they will be applied to the negative balance first.

Zero cut is triggered when your equity becomes negative.

Q5. Will a zero cut reset my losses to zero?

A: No. A zero cut only prevents additional deposits; any funds in your account may still be lost.

Highly leveraged trading carries the risk of total principal loss.

Q6. Can I use zero cut multiple times?

A: Yes, there is no limit on the number of times or amount.

Even if your account goes negative multiple times, your account balance will be reset to zero each time.

Q7. What is the difference between zero cut and stop loss?

A:

Loss cut: Positions are automatically liquidated when the margin maintenance rate drops.

Zero cut: Triggered when your balance becomes negative after a stop loss.

Q8. Does this affect other accounts or wallets?

A: No. A zero cut resets only the relevant account to a zero balance.

Funds in other accounts and eWallets are not affected.

Q9. Are there any cases in which the zero cut does not apply?

A: The following cases are not affected:

Trading in violation of terms and conditions (e.g., hedging, fraudulent trading, etc.)

Moving funds to another account before the zero cut

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