Step-by-Step Guide to Using an AI...
Every time you trade on a single decentralized exchange, there is a good...
The forex market is the largest financial market on the planet, and for the first time you can trade it straight from a crypto wallet. That matters because currencies move every day for real reasons – interest rates, inflation data, central bank speeches – and DeFi Forex now lets anyone with stablecoins take a view on EUR/USD, GBP/USD, gold or major indices without opening a broker account. According to the Bank for International Settlements, global FX turnover reached about $9.6 trillion per day in April 2025, and the euro–dollar pair alone makes up roughly a fifth of all trading. This guide walks you through every step, from setting up a wallet to opening, managing and closing your first on-chain Forex position, and explains the parts most beginners skip: leverage, liquidation, funding rates, liquidity and execution quality. Let’s start from zero.
DeFi Forex (also called decentralized Forex, DeFi FX or on-chain Forex) is currency trading that happens through smart contracts on a blockchain instead of through a traditional broker. You connect a self-custody wallet, deposit collateral (usually a stablecoin like USDC) and open a position that tracks the price of a currency pair such as EUR/USD.
The key point for beginners: in most cases you are not buying real euros or dollars. You are opening a contract whose value follows the exchange rate. If the rate moves in your favor, you profit in stablecoins. If it moves against you, you lose part or all of your collateral.
Forex on blockchain relies on three building blocks:
When you click “Long EUR/USD”, your wallet signs a transaction, the smart contract records your position at the oracle price, and from that moment your result depends on how the rate changes.
Traditional Forex runs through brokers and banks. You open an account, pass identity checks, deposit fiat money and trade on the broker’s platform. The broker holds your funds and often acts as the counterparty to your trades.
Decentralized Forex trading changes who holds the money and who runs the rules. Your collateral sits in a smart contract that you interact with from your own wallet, the rules are written in public code, and trades settle on-chain. You still face market risk and leverage risk, but some risks shift: instead of broker risk, you take on smart contract, oracle and wallet security risks. A full side-by-side table is included later in this guide.
In traditional markets, “spot Forex” means exchanging one currency for another at the current rate. In DeFi, the most common product is the Forex perpetual (Forex perp or FX perp) – a futures-style contract with no expiry date.
| Feature | Spot Forex | Forex Perpetuals |
|---|---|---|
| What you hold | The actual currency (or a broker CFD on it) | A contract tracking the exchange rate |
| Expiry | None for spot; rolling overnight swaps at brokers | No expiry date |
| Leverage | Set by broker and local rules | Set by protocol and market |
| Holding cost | Swap / rollover fees | Funding rates or borrow fees |
| Collateral | Fiat currency | Usually stablecoins such as USDC |
| Settlement | Broker or banking system | On-chain smart contracts |
“On-chain” means the important parts of the trade – deposit, position record, profit and loss, liquidation and withdrawal – are handled by smart contracts and recorded on a public blockchain. Anyone can verify the transaction with a block explorer.
It does not mean the underlying currencies themselves move on-chain. The euro and dollar keep trading in the global interbank market. On-chain Forex gives you exposure to their price, using oracle data as the link between the two worlds.
Most DeFi platforms that list FX markets offer a short menu of major pairs – usually EUR/USD, GBP/USD, USD/JPY and sometimes AUD/USD or USD/CHF – plus related traditional markets like gold (XAU), oil and stock indices. Each market has its own maximum leverage, open interest limit and fee settings, so the same pair can behave differently on different venues.
A Forex perpetual gives you synthetic FX exposure. “Synthetic” means the price exposure is created by a contract rather than by holding the asset. You post USDC as margin, choose a direction and size, and the protocol tracks your profit or loss in USDC as the exchange rate moves. You can keep the position open as long as you have enough margin and pay any holding costs.
Platforms use different designs. Some match traders through an on-chain order book. Others use a peer-to-pool model, where traders trade against a shared liquidity pool priced by oracles. Each design affects fees, slippage and how large a position can be.
Blockchains cannot see the outside world by themselves. An oracle network collects FX prices from data providers and publishes them on-chain. Well-known oracle providers include Pyth, Chainlink and Switchboard.
Oracle quality matters a lot for Forex DEX trading. A slow or wrong price can trigger unfair liquidations or let traders game the system. Good protocols use multiple sources, confidence intervals and safety checks, and they often pause or limit trading when the real market is closed and fresh prices are not available.
Currency pairs usually move less than 1% per day, so FX trading is almost always done with leverage. Leverage lets you control a larger position with a smaller deposit. With $100 margin and 10x leverage, you control a $1,000 position. A 1% move in EUR/USD then changes your balance by about $10 – or 10% of your margin.
Margin is the collateral that backs the position. If losses eat too much of it, the position is liquidated.
Funding is a periodic payment between longs and shorts (or between traders and the liquidity pool). It keeps the perpetual price close to the real market price and balances demand on each side. When more traders are long, longs usually pay shorts. When more are short, shorts pay longs. Some protocols use borrow fees instead of, or alongside, classic funding.
Funding is small per period but adds up over days and weeks, which is why it matters even for a “cheap” trade.
When you close a position, the smart contract calculates profit or loss at the current oracle price, subtracts fees and funding, and credits the result back to your margin account or wallet. Liquidations work the same way, but they are triggered automatically when your margin falls below the required level. Every step is visible on the blockchain, so you can check your trade history in a block explorer.
A self-custody wallet is an app or device where only you hold the keys. Examples include Phantom, Solflare and Backpack for Solana, and MetaMask or Rabby for Ethereum-compatible networks. Hardware wallets like Ledger add extra protection for larger amounts.
Most DeFi Forex platforms accept USDC as the main collateral. Some also accept USDT or the network’s native token. Using a dollar stablecoin keeps your account value stable in dollar terms, so your profit and loss comes from the trade, not from crypto price swings.
Every platform lives on a specific network – for example Solana, Arbitrum or Base. Your wallet and your funds must be on the same network as the platform. USDC on Ethereum will not show up on a Solana app.
Each on-chain action – deposit, open, close, withdraw – costs a network fee called gas. On Solana this is usually a tiny fraction of a cent, while Ethereum mainnet can cost much more. Keep a small amount of the native token (SOL, ETH and so on) in your wallet, or your transactions will fail.
Your wallet asks you to confirm actions in two main ways:
Always read what your wallet pop-up says before you confirm.
Before trading, you should be able to answer three questions: how big is my position, how much can I lose, and at what price will I be liquidated? If you cannot answer them, you are not ready to click “Open”. The sections below explain each one in detail.
Pick a wallet that supports the network your chosen platform uses. Download it only from the official website or the official app store page – fake wallet apps are a common scam. For Solana-based Forex DEX platforms, Phantom, Solflare and Backpack are popular choices.
When you create the wallet, you get a 12 or 24-word seed phrase. Anyone who has these words controls your funds. Write it down on paper, store it somewhere safe and never type it into a website, chat or email. No real platform or support team will ever ask for it.
Open the platform from a bookmarked, verified link. Click “Connect Wallet”, choose your wallet and approve the connection. Connecting only shares your public address – it does not give the site access to your funds.
Check that the wallet and the platform show the same network. On EVM wallets, a wrong network is one of the most common reasons for failed or “missing” transactions.
The easiest route for most people is to buy USDC on a centralized exchange and withdraw it to your wallet address. Some wallets also have built-in on-ramps where you can buy with a card. Always send a small test amount first.
When withdrawing from an exchange, choose the same network as your trading platform (for example, “Solana” for a Solana app). Sending tokens over the wrong network can lead to delays or permanent loss.
If your USDC is on another network, you can move it with a bridge. Circle’s Cross-Chain Transfer Protocol (CCTP) moves native USDC between supported chains. Third-party bridges also exist, but bridges have historically been a major target for hackers, so use well-known ones and avoid keeping funds in transit longer than needed.
After funding, check two numbers: your wallet balance and your available margin on the platform. On some platforms you deposit into a trading account first; on others you trade directly from your wallet balance.
EUR/USD is the most traded currency pair in the world. It usually has the tightest pricing and the deepest liquidity on DeFi platforms too, which makes it the natural first choice for a beginner. It reacts strongly to European Central Bank and US Federal Reserve decisions, inflation reports and US jobs data.
GBP/USD, often called “Cable”, tends to move more than EUR/USD on a typical day. It reacts to Bank of England decisions and UK economic data. More movement means more opportunity but also faster losses with leverage.
USD/JPY, AUD/USD and USD/CHF appear on some platforms. Liquidity in these on-chain currency pairs is usually thinner than in EUR/USD, so check depth and fees before trading them.
Many DeFi Forex platforms also list gold (XAU), crude oil and stock indices like the S&P 500. These traditional markets on-chain work the same way as FX perps: you post stablecoin collateral and trade the price. They can move much faster than currencies, so lower leverage is wise.
Before trading any market, look at:
If a small test order already shows high price impact, the market is too thin for your size.
Going long on EUR/USD means you expect the euro to rise against the dollar. If EUR/USD goes from 1.1000 to 1.1110 (a 1% rise), a long position gains about 1% of its size.
Going short means you expect the price to fall. A short EUR/USD position profits if the euro weakens against the dollar. In DeFi, shorting is as easy as going long – one click, no borrowing of euros needed.
| Your view | Action | You profit if | You lose if |
|---|---|---|---|
| Euro will get stronger vs dollar | Long EUR/USD | Price rises | Price falls |
| Euro will get weaker vs dollar | Short EUR/USD | Price falls | Price rises |
| Dollar will get stronger vs pound | Short GBP/USD | Price falls | Price rises |
With FX perpetuals, you never hold euros or pounds. Your collateral stays in USDC and only your profit or loss changes. This is how people trade Forex with crypto without opening a bank account in another currency.
Most beginners use DeFi Forex for speculation – betting on price moves. But it also works for hedging. For example, if you earn in euros but hold savings in USDC, a short EUR/USD position can offset part of the risk of the euro falling against the dollar. Hedging still involves fees, funding and liquidation risk, so it needs the same care.
Forex leverage is the ratio between your position size and your margin. At 20x leverage, every $1 of margin controls $20 of exposure. DeFi Forex leverage limits depend on the protocol and the market – some platforms offer 50x, 100x or more on major FX pairs. The fact that high leverage is available does not mean you should use it.
| Margin | Leverage | Position size | Result of 1% move in your favor | Result of 1% move against you |
|---|---|---|---|---|
| $100 | 2x | $200 | +$2 (+2%) | -$2 (-2%) |
| $100 | 5x | $500 | +$5 (+5%) | -$5 (-5%) |
| $100 | 10x | $1,000 | +$10 (+10%) | -$10 (-10%) |
| $100 | 50x | $5,000 | +$50 (+50%) | -$50 (-50%) |
| $100 | 100x | $10,000 | +$100 (+100%) | Position likely liquidated |
Before fees and funding. Figures are simplified for illustration.
Initial margin is the collateral needed to open a position. Maintenance margin is the minimum collateral needed to keep it open. If your losses push your margin below the maintenance level, the protocol liquidates the position, often with a liquidation fee on top.
The higher the leverage, the smaller the price move needed to wipe out your margin. At 10x, a move of a little under 10% against you can liquidate the position. At 50x, it takes less than 2%. At 100x, under 1% – and EUR/USD can move that much in a single day on big news.
| Leverage | Approximate adverse move to liquidation* | Risk level for beginners |
|---|---|---|
| 2x | ~45–50% | Low |
| 5x | ~18–20% | Moderate |
| 10x | ~9–10% | Elevated |
| 25x | ~3.5–4% | High |
| 50x | ~1.5–2% | Very high |
| 100x | under 1% | Extreme |
*Rough guide. Exact figures depend on each platform’s maintenance margin, fees and funding.
A practical rule: decide first how much money you are willing to lose on this trade, then pick a position size and stop-loss that keep the loss within that amount. Many experienced traders risk 1–2% of their account per trade. For a first trade, use a small amount you can afford to lose completely and leverage of 2x–5x. The goal of trade one is to learn the process, not to make money.

DeFi Forex liquidity is spread across many protocols, pools and networks. One venue may have the best price for small trades, another the deepest pool for large ones, and a third the lowest funding rate. This fragmented Forex liquidity means no single venue is always best.
Market depth shows how much size can trade near the current price. A venue with a slightly worse quote but much deeper liquidity can give a better final result for a larger order, because the price will not move as much while your order fills.
Slippage is the difference between the price you expected and the price you actually got. Price impact is how much your own order moves the price. In pool-based models, larger trades often pay a higher price impact fee. Set a maximum slippage tolerance so the trade fails instead of filling at a bad price.
Your total trading cost usually includes:
Look at the full cost, not just the headline price. Here is a simplified example for a $20,000 EUR/USD long held for three days:
| Cost item | Venue A | Venue B |
|---|---|---|
| Displayed entry price | Better by 0.5 pip | Slightly worse |
| Price impact for $20,000 | $12 | $3 |
| Open + close fees | $16 | $12 |
| Funding for 3 days | $18 | $6 |
| Approximate total cost | $46 | $21 + small price difference |
Illustrative numbers only. Real costs change with market conditions.
Venue A shows the “best price”, but Venue B ends up much cheaper. This is exactly the comparison that an aggregator can automate.
AI smart routing is a system that checks several trading venues before your order is sent and suggests (or selects) the route with the best expected result. Instead of opening five tabs and comparing numbers by hand, the router does the comparison in seconds. This is the core idea behind an AI DEX aggregator.
A smart order router pulls live data from every connected venue: current price, available liquidity, fees, funding and expected slippage for your exact order size. It then calculates the total expected cost of each possible route and ranks them.
| Factor | What the router checks | Why it matters |
|---|---|---|
| Price | Entry price on each venue | Sets your starting point |
| Liquidity | How much size the venue can take | Thin venues create large price impact |
| Fees | Open, close and other charges | Directly reduce profit |
| Slippage | Expected price movement during fill | Hidden cost on bigger orders |
| Funding | Current funding or borrow rate | Key cost for positions held longer |
Markets change minute by minute. A venue that was best this morning may have higher funding or less liquidity after a news release. Dynamic routing re-checks conditions each time you trade, so the route matches the market at that moment, not an old snapshot.
AI routing helps most when:
For very small trades on a single deep venue, the difference may be tiny. Routing does not remove market risk – it only works on execution quality.
Split execution (also called order splitting or multi-venue execution) means breaking one order into several smaller parts and sending each part to a different venue at the same time.
If one venue cannot take your full size at a good price, sending everything there pushes the price against you. Spreading the order across venues lets each part fill closer to the best available price.
Example: you want to open a $60,000 EUR/USD long. Venue A can take $30,000 with low impact, Venue B can take $20,000, and Venue C $10,000. A router can send $30,000 / $20,000 / $10,000 to each, instead of pushing $60,000 into Venue A alone.
Price impact usually grows faster than order size – doubling your order can more than double the cost. By keeping each part small relative to each venue’s liquidity, split execution keeps total price impact lower.
Split order execution matters most for larger traders and during busy news periods. The trade-off: you end up with several smaller positions on different venues, each with its own liquidation price, fees and funding. A good aggregator shows these together so you can manage them as one.
Execution quality is the full picture: average fill price, total fees, slippage and holding costs. In a market where pairs often move less than 1% a day, saving a few basis points on every trade adds up to real money over time.

Before signing, check every field on the trade screen. Here is what each one means:
The estimated price at which your position will open. Compare it with the current market rate on a trusted chart.
The total exposure of your trade (margin × leverage). This is the amount your profit and loss is calculated on.
Confirm that the leverage shown is the one you chose. A slider can easily move further than intended.
The collateral that will be locked for this position. Make sure you have extra funds left in case you need to add margin later.
Check opening and estimated closing fees. Fees are calculated on position size, not on margin, so they grow with leverage.
Look at the current funding or borrow rate and whether you would pay or receive it. Convert it to a daily cost if you plan to hold for more than a few hours.
The likely difference between quoted and actual price, plus your maximum slippage tolerance. Lower tolerance protects you but may cause the order to fail in fast markets.
The price at which your position will be closed automatically. Ask yourself: how far is it from the current price, and could the market realistically reach it?
A stop-loss closes the position if the price reaches your chosen loss level. A take-profit closes it at your target. Your stop-loss should always sit well before the liquidation price.
Open the platform from your bookmark and connect your wallet. Confirm the right account and network are selected.
Choose the pair you want to trade – for a first trade, EUR/USD is the safest choice due to its liquidity.
Pick the direction that matches your view on the pair.
Enter your margin amount and set low leverage. Check the resulting position size.
If you use an aggregator, look at which venue (or venues) the order will go to and why. Check the expected fill price, fees and funding for the route.
Add a stop-loss and, if you want, a take-profit. Set your slippage tolerance.
Read the wallet pop-up. Make sure the site address is correct, the action matches what you expect, and the amount is right. Then sign.
Once confirmed, your position should appear in the “Positions” tab. You can also open the transaction in a block explorer (such as Solscan for Solana or Arbiscan for Arbitrum) to confirm it was recorded on-chain.
Unrealized P&L is the profit or loss you would get if you closed right now. It changes with every price update. Avoid reacting to every small move – check it against your plan.
Funding is charged while the position is open. Check the accumulated funding regularly, especially if you hold for several days. A position can be “right” on direction and still lose money to funding.
Your liquidation price can move closer over time as fees and funding are deducted from margin. If the market moves against you, you can add margin to push the liquidation price further away – but only do this if it fits your plan, not to “save” a bad trade.
Most platforms let you partially close a position, add collateral or edit stop-loss and take-profit levels. Reducing size is often the simplest way to lower risk.
Click “Close”, review the closing price and fees, and sign. Your remaining margin plus or minus P&L returns to your account or wallet. Then review what happened: what worked, what you would do differently and what it really cost.
High leverage is the number one reason beginners lose their margin. A normal daily move can wipe out a 100x position. Start with 2x–5x.
Many traders never look at it until it is too late. Always know your liquidation price before you sign.
Exotic or thin markets can have high price impact and wide spreads. Stick with major pairs at first.
Funding can quietly turn a small win into a loss. Check it before opening and while holding.
The headline price is just one part of the cost. Fees, slippage and funding often matter more.
Without native tokens for gas, you cannot close or adjust a position. Always keep a small gas reserve.
Wallet drainers rely on people clicking “Approve” without reading. Check every pop-up.
Fake sites copy real platforms down to the logo. Use bookmarks, official social accounts and official docs. Never follow links from random direct messages.
Every protocol has its own rules for liquidation, funding, market hours and oracle pricing. Read the docs before putting in real money.
| Feature | DeFi Forex | Traditional Forex |
|---|---|---|
| Access | Wallet-based/on-chain, depending on platform | Broker account |
| Custody | Typically self-custody architecture | Broker/custodian |
| Trading infrastructure | Smart contracts and on-chain systems | Broker/market infrastructure |
| Leverage | Depends on protocol/market | Depends on broker and jurisdiction |
| Market availability | Depends on protocol and oracle design | Broker-specific |
| Settlement | On-chain for supported products | Traditional financial infrastructure |
| Availability | May support extended/24-7 on-chain access | Generally follows underlying market hours |
| KYC | Depends on platform and jurisdiction | Usually required |
| Main risks | Smart contracts, oracle, liquidation, wallet and market risks | Broker, leverage, market and counterparty risks |
Neither model is risk-free. DeFi gives you more control and transparency but puts more responsibility on you. Traditional brokers offer familiar protections in regulated regions but require trust in the broker and full identity checks. Also note that local laws may limit access to leveraged products in your country – check the rules where you live.

Non-custodial Forex trading means no company holds your funds on your behalf. Your collateral is either in your wallet or locked in a smart contract that only releases it according to its code and your signed instructions.
You trade Forex from your wallet: every deposit, trade and withdrawal is a transaction you sign yourself. No one can withdraw your funds to another address without your signature.
You control your wallet. The smart contract controls collateral while a position is open, based on public rules – including automatic liquidation if margin runs too low. Some protocols also have admin keys or upgrade powers, so check who can change the contracts and whether changes have a time delay.
Self-custody removes broker risk but adds others. Look for platforms with public audits, bug bounty programs and a track record. On your side, use a hardware wallet for larger amounts, revoke old approvals and never share your seed phrase.
Blockchains never close. Technically, a smart contract can accept trades at any hour. Traditional Forex, by contrast, trades about 24 hours a day from Sunday evening to Friday evening (New York time) and stops over the weekend.
On-chain FX prices come from oracles, which take data from real markets. When the real market is closed, there is no fresh price to feed. Protocols handle this differently: some close FX markets on weekends, some allow only closing trades, and some use special pricing models.
If a platform allows weekend FX trading, find out how it sets prices and what happens at the Monday open. FX prices can “gap” – open at a very different level than Friday’s close – after weekend news. A gap can skip right past your stop-loss and liquidation price.
24/7 access to the platform is not the same as a live, liquid FX market behind it. Always check the platform’s market hours page before planning to trade or hold positions over the weekend.
An AI DEX aggregator connects many venues into one interface. You see markets, positions and balances in one place instead of jumping between several apps and wallets.
Liquidity aggregation pulls the depth of several venues together, so your order can reach more total liquidity than any single venue offers.
The aggregator compares price, fees, funding and slippage across venues for your exact order, so you don’t have to calculate it by hand.
AI order routing analyzes current market conditions and suggests the most efficient path for each trade, adjusting as conditions change.
For larger orders, the aggregator can split the trade across venues to reduce price impact.
A unified trading interface lets you trade crypto perpetuals and Forex markets from the same wallet and collateral. This makes it easier to manage overall risk and move between markets without extra transfers.
Flipper describes itself as an AI-powered trading aggregator that connects DEXs and liquidity venues, aggregates liquidity, analyzes market conditions and provides routing suggestions while keeping the trader in control. Its DeForex direction brings forex, commodities and indices into the same on-chain trading environment as crypto perpetuals. At the time of writing, Flipper runs on Solana, is non-custodial and is in beta, and its DeForex section lists markets such as EUR/USD, GBP/USD, gold, oil and indices. Features, venues and supported collateral may change, so check the official site (flpp.io) for current details.
Open Flipper from the official link and connect a Solana-compatible self-custody wallet. Your keys stay in your wallet the whole time.
Go to the DeForex section and choose a market – for example EUR/USD for your first trade.
Look at the liquidity and execution conditions across the connected venues for your position size.
Before each trade, Flipper’s AI reviews routes, liquidity, fees, slippage and market conditions to find the most competitive available execution.
Check the suggested route: which venue or venues it uses, the expected entry price, fees, funding and liquidation price. For larger orders, the route may be split across several venues.
Set your leverage and risk parameters, then sign the transaction in your wallet. You stay in control – nothing is executed without your signature.
Track P&L, funding and margin, adjust stop-loss and take-profit, or close the position – all from the same interface you use for crypto perps.
Use this checklist before every trade, not just the first one:
| # | Check | What to confirm | Done |
|---|---|---|---|
| 1 | Wallet Connected | Correct wallet and account, opened from a verified link | ☐ |
| 2 | Correct Network Selected | Wallet network matches the platform network | ☐ |
| 3 | Sufficient Collateral Available | Enough USDC for margin plus a buffer, and gas tokens for fees | ☐ |
| 4 | Market Liquidity Checked | Price impact is low for your size; open interest is not at the cap | ☐ |
| 5 | Leverage Selected | Low leverage (2x–5x for beginners) and correct position size | ☐ |
| 6 | Funding Rate Checked | You know if you pay or receive, and the daily cost | ☐ |
| 7 | Fees and Slippage Reviewed | Open/close fees and slippage tolerance are acceptable | ☐ |
| 8 | Liquidation Price Understood | It is far enough from the current price | ☐ |
| 9 | Stop-Loss Considered | Stop-loss set before the liquidation price | ☐ |
| 10 | Transaction Details Verified Before Signing | Site address, action and amounts match in the wallet pop-up | ☐ |
Make sure you are connected with the right wallet on the official site.
Confirm your wallet and the platform use the same blockchain.
Keep extra margin and gas, not just the minimum for the trade.
Check price impact and open interest for your chosen pair.
Double-check the leverage slider and resulting position size.
Know your holding cost before you open.
Add up all costs, not just the entry price.
Know exactly where your position closes automatically.
Decide your exit before you enter.
Read the wallet prompt every time.
DeFi Forex brings the world’s largest market into your crypto wallet: no broker account, stablecoin collateral, on-chain settlement and full control over your funds. Getting to your first trade comes down to a clear sequence – set up and secure a wallet, fund it on the right network, pick a liquid pair like EUR/USD, choose a direction and low leverage, compare execution across venues and review every number before you sign. Remember that the displayed price is only part of the story: fees, slippage, funding and liquidation price decide your real result, and tools like AI smart routing and split execution exist to help with exactly that. Start small, use the checklist above, treat your first trade as a lesson rather than a payday – and when you are ready, connect your wallet and open your first on-chain Forex position.
Disclaimer: This article is for educational purposes only and is not financial advice. Leveraged trading carries a high risk of loss, including the loss of all deposited collateral.