Leverage on Binance is a mechanism that allows you to trade amounts exceeding your own capital. In other words, you 'borrow' from the exchange to increase the size of your trade.

For example:

You have 100 USDT.

You use leverage of x10.

Now you can open a trade for 1000 USDT.

Important:

Profits can indeed increase by 10 times.

But losses also increase by 10 times!

If the market goes against you, the exchange may close your position (liquidation) to reclaim the borrowed funds.

On Binance, you can choose leverage of different sizes: from x1 (no leverage) to x125 on some pairs (for example, on futures).

Would you like me to explain further with numbers how profits and losses work when using leverage?