# CEX-DEX Portfolio Margin

Arkis is more than just a DeFi prime broker. Through formal **Master-Broker agreements** with **Binance, OKX, and Bybit** we offer fully regulated **Direct Market Access (DMA)** to the deepest centralized-exchange liquidity—while still giving you onchain portfolio margining in a single risk engine.

That means:

* **Unified Risk** – One Risk Factor across CeFi and DeFi; less chance of forced liquidations.
* **Lower Funding Costs** – Borrow only what you need, exactly when you need it.
* **Operational Simplicity** – No repeated KYC, chain hops, or manual reconciliations.
* **Regulatory Clarity** – Sub-accounts sit at top-tier exchanges under Arkis’ master-broker umbrellas, satisfying counter-party and custody requirements.

If you run delta-neutral, basis, or carry strategies—and spend too much time shuffling collateral—**CEX-DEX Portfolio Margin** turns that drag into deployable capital.

Ready to start?\
&#x20; ➜ Reach out at **<operations@arkis.xyz>** to initiate your DMA onboarding.

Below, we detail steps to opening your account.

### 1. Open a DMA Sub-Account

| What you get                                                                                                                                                                                        | How to apply                                                                                                                                                                         |
| --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ |
| <p>• Yout entity-named sub-accounts at Binance, OKX, or Bybit, provisioned by Arkis<br>• Full control over sub-account management<br>• Exchange fee tiers passed through at institutional rates</p> | Email **<operations@arkis.xyz>** with the subject **“DMA Sub-Account Request”**. Our onboarding team will walk your compliance desk through KYC/KYB, trading-limits, and legal docs. |

Only licensed or otherwise regulated entities can hold these sub-accounts, satisfying the exchanges’ institutional requirements.

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### 2. Link the Sub-Account to a Margin Account

Once a sub-account is live you can **link** it to any active Arkis Margin Accounts:

1. In the **Arkis Portal** go to *Margin Accounts → Link CEX*.
2. Choose the CEX venue (Binance / OKX / Bybit) and paste your sub-account ID.
3. Sign the on-chain message that authorizes Arkis to read balances and P\&L (no withdrawal rights).

From that moment, the **Margin Engine sees both legs** of every trade. For example,

| On-chain leg                               | Off-chain leg                                       | Result                                                                                                    |
| ------------------------------------------ | --------------------------------------------------- | --------------------------------------------------------------------------------------------------------- |
| weETH collateral inside the Margin Account | Short ETH-USDT perpetual in your linked sub-account | Engine detects a **delta-neutral pair** → Risk Factor improves, liquidation threshold moves farther away. |

Margin Engine now evaluate the *whole* portfolio, not just the on-chain slice—dramatically reducing unnecessary position unwinds.

Here can get more details on how Arkis Margin Engine v2 implements portfolio margining [cex-dex-portfolio-margin-v2](https://docs.arkis.xyz/home/protocol-mechanics/arkis-risk-management/cex-dex-portfolio-margin-v2 "mention")

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### 3. Capital Efficiency without Collateral Drag

Delta-neutral DeFi strategies traditionally suffer from “collateral drag”

> This funding of collateral has a twofold impact on returns, typically known as **"collateral drag"**: The cost of funding this collateral at the firms' funding rate. Opportunity cost constrained to trade because of lower unencumbered cash levels.

Currently the loop for delta-neutral hedge funds is the following:

*Invest capital into yield-bearing assets on-chain → withdraw own capital from somewhere else → wire it to a CEX → post margin → hedge the exposure.*

From now on, Asset Managers no longer need to reserve their capital for perpetual futures margin deposit, they can borrow from Arkis in the following way:

With Arkis that loop disappears:

1. **Supply** LP tokens, Pendle PTs, LSTs, or any whitelisted collateral.
2. **Borrow** USDC/USDT/ETH from an Arkis pool.
3. **Transfer** the borrowed asset (one click) into your DMA sub-account.
4. **Trade** perpetuals to hedge—while the Margin Engine treats both venues as one book.

You convert idle collateral into working margin instantly, unlocking higher leverage or freeing cash for new strategies—all without ever leaving the Arkis risk perimeter.