Definition

Loan-To-Value

Meaning ⎊ The ratio of a loan amount to the value of the assets used to secure that loan.
Greeks.liveMarch 9, 2026

Loan-To-Value

The loan-to-value ratio is the amount of a loan expressed as a percentage of the value of the collateral. It is a core metric for assessing risk in lending and margin trading.

A lower LTV means a more secure position. If the LTV becomes too high, it triggers margin calls and potentially liquidation.

It is a fundamental ratio for all margin traders.

Exercise Value
Margin Requirement
Loan-To-Value Ratio
Account Value
Collateral
Asset Appreciation
Haircut
Debt Coverage

Glossary

Customer Lifetime Value

Calculation ⎊ Customer Lifetime Value, within cryptocurrency and derivatives, represents a probabilistic projection of net present value generated by a participant’s trading activity over their entire engagement with a platform or instrument.