> ## Documentation Index
> Fetch the complete documentation index at: https://docs.axient.app/llms.txt
> Use this file to discover all available pages before exploring further.
# Leverage tiers
> The 2× private-beta cap, conditional 3× and 5× tiers, and the gates that determine an available tier.
# Start at 2×. Scale only when the market earns it.
Axient’s reference product policy has an absolute ceiling of 5× leverage. That ceiling is not a public entitlement or a default setting. The available tier is a risk output that must satisfy account, market, liquidity, time, event-class, capital, and jurisdiction controls together.
Private beta begins at 2×. The public product does not represent 3× or 5× as currently available merely because they can appear in an illustrative selector.
## Rollout policy
| Stage | Maximum tier | Who and where | Status |
| --------------- | ------------ | -------------------------------------------------------------------------------- | ----------------------- |
| Private beta | 2× | Allowlisted accounts and markets within the beta policy | Active reference tier |
| Whitelist alpha | Up to 3× | Advanced accounts on markets with measured close-window performance | Conditional future tier |
| Pro rollout | Up to 5× | Pro accounts, Tier A markets, strict notional and aggregate open-interest limits | Conditional future tier |
No account, market, or manual exception can exceed 5× under the reference policy. A control override may reduce a tier; it may not raise it.
## What a tier means
For collateral `C` and gross leverage `L`:
* gross acquisition budget is `N = L × C`;
* financed principal before fees is `D₀ = (L − 1) × C`.
At 5×, the user supplies 20% of gross exposure and the financing layer supplies 80%. That higher financed share leaves less room for adverse prices, fees, settlement delay, and loss of executable depth.
| Tier | Initial margin | Debt / collateral | Simplified residual spot after unchanged-price repayment\* |
| ---- | -------------- | ----------------- | ---------------------------------------------------------- |
| 2× | 50.0% | 1.0× | 50.0% |
| 3× | 33.3% | 2.0× | 33.3% |
| 5× | 20.0% | 4.0× | 20.0% |
\*Before fees, debt growth, buffers, and executable-price impact. This table is intuition, not a quote or an admission rule.
## The exact tier certificate
Axient does not approve a tier from a midpoint or a static recovery percentage. For every candidate tier, the controller evaluates finite executable books and a conservative operating set. In simplified notation:
`Ψ(L) = K₀(L) + BΠ(q₀(L)) − H(L) − m(L)`
Where:
* `K₀(L)` is residual entry cash;
* `BΠ(q₀(L))` is a lower envelope of settlement-confirmed exit proceeds for the acquired quantity;
* `H(L)` is an upper bound for principal, interest, and payable execution and settlement costs through hard-flat; and
* `m(L)` is an explicit risk buffer.
A tier is admissible only when `Ψ(L) ≥ 0` **and** every aggregate and operational control passes. Production evaluation requires exact decimals, base-unit token quantities, venue lot rules, finite books, and settlement semantics; an illustrative UI formula is not an executable certificate.
## Independent gates
The effective user tier is the minimum of the independent caps:
`L_eff = min(5, L_user, L_market, L_liquidity, L_time, L_class, L_concentration, L_capital, L_jurisdiction)`
* **Account:** experience, settled history, risk acknowledgement, incident record, and product eligibility.
* **Market and liquidity:** market policy, finite-book certificate, and aggregate shared-book capacity.
* **Time:** a compression cap as the actual close approaches.
* **Event class:** integrity and manipulation-risk policy.
* **Concentration and capital:** position, side, account, event-bucket, reserve, and open-interest limits.
* **Jurisdiction:** applicable legal and product availability limits.
The public UI uses `LIVE`, `ELIGIBLE`, `LOCKED_ACCOUNT`, `LOCKED_MARKET`, `LOCKED_TIME`, `SHADOW_ONLY`, and `UNAVAILABLE` states to communicate a tier’s policy state. In private beta, 3× and 5× are `SHADOW_ONLY`: they may update an illustration, but they do not represent granted capacity.
## Time-to-close compression
Leverage is not intended to persist into event finality. A reference schedule reduces the permitted tier as the hard-flat buffer `ΔHF` approaches:
| Remaining window | Reference cap | Operating state |
| ---------------------- | -------------------------------- | ------------------------------------ |
| More than `3 × ΔHF` | Account and market cap, up to 5× | Normal trading |
| `2 × ΔHF` to `3 × ΔHF` | 3× | Compression begins |
| `ΔHF` to `2 × ΔHF` | 2× | Reduce-only / mandatory deleveraging |
| At or below `ΔHF` | 1× | Hard-flat / debt-clearing execution |
Actual market status overrides this schedule. If risk-reducing execution becomes unavailable earlier, the position enters an explicit exception path rather than being treated as ordinarily converted to debt-free finality.
## Indicative liquidation geometry
For intuition only, a linear position entered at price `p₀`, with maintenance rate `μ`, has a held-token liquidation ratio:
`p_liq / p₀ = (L − 1) / (L × (1 − μ))`
At `μ = 5%`, a 5× position has a ratio of about 84.2% of entry before additional Axient buffers. For a YES token entered at 0.40, the illustrative long liquidation level is approximately 0.337. A short YES position uses the complementary NO-token geometry. These values do not include finite-book depth, fees, settlement costs, or registered buffers, so they must never be interpreted as executable thresholds.
## Read next
See why a certificate uses executable settled proceeds rather than marks.
See how leverage is reduced before the claim reaches finality.