This topic needs to be addressed seriously—Web3 beginners engaging in leverage trading face risks beyond imagination.

Recently, a friend new to the space came to me complaining. He heard that using 10x leverage could quickly double his gains, so he added leverage to buy coins. Within two days, the coin price experienced a slight correction, and he was liquidated directly. Thousands of dollars of principal vanished overnight, and he even owed the exchange money. He said he was stunned at that moment—what started as a way to earn some pocket money turned into deep debt. I've heard too many stories like this in this space over the past five years.

The key issue is this: the Web3 market itself is already highly volatile, and adding leverage is like adding weights to yourself. Do you think 10x leverage can double your returns? Yes, technically that’s correct. But at the same time, the risk is amplified tenfold. Normal market fluctuations can be enough to wipe out your principal completely, leaving no chance to recover. I’ve seen people make money with leverage, but honestly, far more have gone bankrupt because of leverage trading.

For beginners, the most practical advice is: don’t touch it. Use your own funds and accumulate slowly. Making money in Web3 isn’t achieved in a day; it relies on long-term holding and compound interest, not short-term speculation or gambling. Leverage contracts may seem like a shortcut, but in reality, they are the fastest downhill path.

If you’re considering leverage trading, ask yourself first: do I really understand this tool? Am I prepared to bear the possible full loss? Most answers will be no. So, don’t move. Share in the comments if you or someone around you has suffered losses because of leverage.