Source: https://mochatrade.com/learn/glossary/negative-balance-protection

# Negative balance protection
URL: https://mochatrade.com/learn/glossary/negative-balance-protection
Last modified: 2026-10-17

Negative balance protection means you cannot lose more than the money in your account, even when a gap jumps past your liquidation price. On isolated margin the most you can lose on a position is the margin posted to it, which is how [the Mochatrade support pages describe it](https://mochatrade.com/support/how-leverage-and-margin-work-on-mochatrade); [where the shortfall goes](https://mochatrade.com/learn) is a Module 3 question.

## Related terms

- Isolated margin: https://mochatrade.com/learn/glossary/isolated-margin
- Liquidation price: https://mochatrade.com/learn/glossary/liquidation-price
- Initial margin vs maintenance margin: https://mochatrade.com/learn/glossary/initial-margin-vs-maintenance-margin
- Liquidation / forced square-off: https://mochatrade.com/learn/glossary/liquidation-forced-square-off
- Margin call: https://mochatrade.com/learn/glossary/margin-call
- Auto-deleveraging (ADL): https://mochatrade.com/learn/glossary/auto-deleveraging

Educational content only. Not investment advice. Leveraged products magnify losses as well as gains.