Bybit Lifts UTA Loan Haircuts-Up to 80% Haircuts Replace 0%, Unlocking More Leverage

What changed in Bybit's UTA Loans framework

Bybit's latest update is mainly mechanical. It changed collateral ratios for super-large position tiers from 0 to around 10% to 80%, depending on the asset. Collateral ratios for base tiers remain unchanged.

In practice, that means more of a large position can now count toward collateral value instead of stopping at a hard tier ceiling.

Who benefits first

The first group to benefit is likely to be Bybit's large-holder segment. Bybit says the update is designed to improve capital efficiency for traders with larger crypto positions, with institutional users expected to gain the most because they can pledge a larger share of their holdings.

For these users, the same collateral pool can now support more borrowing without needing fresh capital on the platform.

Why the timing matters

The changes took effect on Aug. 4, 2026, at 8 AM UTC, and no action is required because the update is applied automatically. That gives large users immediate access to potentially higher borrowing capacity.

Bybit says users of major assets such as ETH, SOL, BNB, DOGE, XRP, ADA, LINK, LTC, TRX, SHIB, and DOT will see the effect. Whether that matters much for broader market activity still depends on whether large holders actually increase borrowing.