The money earned must be protected; this is what true profit is.

When I first started trading contracts, my account was like a roller coaster—doubling today, zeroing out tomorrow. The worst time was when three months' salary disappeared in a forced liquidation alert. At that moment, I was staring at the declining K-line, but I couldn’t move my hands until the system automatically helped me "cut and leave."

After spending a lot of time reviewing, I realized: liquidation isn’t caused by the market messing up; it’s due to my own risk management system being completely flawed. The method I want to share isn’t a get-rich-quick secret, but a survival rule to live longer in the crypto world.

**Leverage itself isn’t the problem; out-of-control positions are the poison**

Many people get nervous when they hear about leverage. In fact, leverage is just a tool; the real risk depends on how much you invest.

I know a trader who operates ETH with 20x leverage but only invests 2% of the principal per trade. Over three years, he never got liquidated. Conversely, I’ve seen traders using 50x leverage going all-in, and they get wiped out in one or two months. What’s the difference? One does the math, the other doesn’t.

The calculation is actually straightforward: Actual risk endured = leverage multiple × the proportion you invest.

My personal bottom line is: no matter how tempting the market, never lose more than 2% of the principal on a single trade. It’s like installing a fuse in the account—if a short circuit occurs, it immediately cuts off power, preventing the fire from burning down the entire building.

**Stop-loss is never about being cowardly; it’s a game rule only experts understand**

(Content incomplete, looking forward to the subsequent paragraphs...)