The answer is: ADL will prioritize closing the position with the highest score calculated as "unrealized profit percentage × effective leverage" across all your profitable positions.
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If you hold multiple profitable positions at the same time, the system does not pick randomly, nor does it select based on position size. Instead, it calculates a score for every profitable position, sorts them from highest to lowest, and the score is exactly unrealized profit percentage × effective leverage.
Full ADL Decision Workflow
Step 1: Score all profitable positions
The system continuously calculates a score for each of your positions using the formula: If the profit and loss percentage is greater than 0, ADL ranking score = PnL percentage × effective leverage.
There are several key points to note here:
Unrealized profit percentage = (Mark price - Average entry price) / Average entry price. The higher your unrealized profit, the larger the numerator.
Effective leverage = Nominal position value / (Wallet balance + Unrealized gains). The higher your leverage, the larger this multiplier.
These two values are multiplied together: if your unrealized profit doubles, the score doubles; if your leverage doubles, the score also doubles. Both high unrealized profit and high leverage will push your position higher up the ADL priority list.
Step 2: Sort by score level
The system sorts all profitable positions from highest to lowest by this score, with long positions and short positions sorted separately. They are then divided into 5 tiers by percentage: the top 20% of positions light up 5 indicator bars, meaning they are the most likely to be selected.
Step 3: Close the highest score position when ADL triggers
When ADL is activated, the system directly selects the profitable position with the highest score (the most lit ADL indicator bars) and executes the position close at the bankrupt position's bankruptcy price.
Note: ADL only reduces profitable positions. If a position is at a loss, its ADL score is 0 and will never be selected for auto-deleveraging.
Practical Example Comparison
Suppose you have two profitable positions:
| Position | Unrealized Profit Percentage | Effective Leverage | ADL Score |
|---|---|---|---|
| BTC Long | 30% | 5x | 1.5 |
| ETH Long | 10% | 20x | 2.0 |
Even though the ETH position only has 1/3 of the BTC position's unrealized profit, its leverage is 4 times higher, resulting in a higher total score, so ADL will prioritize closing the ETH position first.
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Verification and Mitigation Methods
Go to the position panel on the Futures Trading page, you will see an ADL indicator (1 to 5 bars) next to every profitable position. The more bars are lit, the higher the position ranks in the ADL queue. If you notice a position has 4 or more lit bars, you can take these actions instead of waiting passively:
Take partial profit actively: Lower your unrealized profit percentage, so your ADL score will drop accordingly
Reduce your leverage: Lowering the effective leverage will make your ADL score decrease significantly
Add margin to your position: Increasing your account equity will reduce the effective leverage
You do not need to wait passively for the system to perform ADL on your positions.
