Trader Profitability

Trader profitability refers to the net gain or loss generated by a trader's activities over a specific period. In the context of ADL ranking, this is a key metric used to determine which traders are prioritized for auto-deleveraging.

Profitable traders are seen as having "won" their positions, and therefore, they are often the ones whose positions are forcibly closed to offset the losses of bankrupt traders. This is a strategic disadvantage for high-performing traders, as their successful trades can be cut short by the exchange's risk management engine.

Understanding how profitability impacts one's ADL priority is an essential part of advanced risk management for high-frequency or large-scale traders.