Phoenix Trade introduces SOL as collateral for perpetual positions

Phoenix Trade, the perpetual futures exchange built by Ellipsis Labs on Solana, now lets traders post native SOL as collateral for leveraged positions. The update, rolled out on September 16, effectively removes the requirement to swap SOL into USDC before opening trades across crypto, US equities, and commodities. For anyone sitting on a pile of SOL and wanting to trade perpetuals, the old workflow involved an annoying detour: sell some SOL for USDC, deposit that USDC as margin, then trade. Now that detour is gone. SOL goes straight into the margin engine, valued at up to 80% of its index price for collateral purposes. How the collateral mechanics work The 80% valuation figure means Phoenix applies a 20% haircut to SOL deposits. If SOL’s index price sits at $100, the platform treats each token as $80 worth of margin. That buffer exists to absorb the kind of volatility SOL is known for, protecting the system from rapid liquidation cascades during sharp drawdowns. Settlement still happens entirely in USDC. Profits, losses, funding rates, and fees all denominate in the stablecoin regardless of whether a trader posted SOL or USDC as their margin. This dual-asset approach creates an in...