Xiao Bai's Understanding of Contracts

With 1000u opening 100x, it is equivalent to having 100,000u worth of goods. If it rises by 1%, then this 100,000u will yield a profit of 1000u = a 100x contract rising by 1% means it doubles.

Conversely, if it drops by 1%, it results in liquidation.

So leverage seems to follow the same principle.

However, a fee for capital utilization is charged, which is equivalent to a position management fee, right?

I hope the experts can explain.