Opening a Position
Last updated
Last updated
Depending on which side you want to open a leverage position on, choose Long or Short:
Long position:
Profits if the token's price rises.
Makes a loss if the token's price falls.
Short position:
Makes money if the token's price falls.
Makes a loss if the token's value rises.
After selecting your side, key in the amount you want to pay and the leverage you want to use.
Below the swap box is the "Exit Price," which is the price at which earnings are calculated if you open and then instantly close a transaction. The price of the token you are longing or shorting will affect the exit price.
Example:
As illustrated in the images above, 200.00 USDT worths 0.11 ETH is being used to long a 10x ETH/USD position at an entry price of $1,646.26
Since the margin is 0.11 ETH and the price of ETH was $1,646.26, your collateral is 200.00 USD and will not change even if the price of ETH changes
By utilizing the 10x leverage, this position's size is now worth 2000 USD
The Liquidation Price in this case is $1,497.36
If the price of ETH increases by 5%, the position would have a profit of 100.00 USD
If the price of ETH decreases by 5%, the position would have a loss of 100.00 USD
If a short position was opened instead, then if the price of ETH decreased by 5% the position would have a profit of 100.00 USD, if the price of ETH increased by 5%, the position would have a loss of 100.00 USD
The trading fee to open a position is 0.04% of the position size, similarly there is a 0.04% fee when closing the position.
The "Borrow Fee" for longing or shorting is shown below the swap box.
Borrow Fee is deducted at the start of every hour. This is the fee paid to the counter-party of your trade. The fee per hour will vary based on utilization, it is calculated as follows:
(assets borrowed) / (total assets in pool) * 0.01%.
There are little to no price impacts for trades.
However, there can be slippage due to price movements between when your trade transaction is submitted and when it is confirmed on the blockchain.
Slippage is the difference between the expected price of the trade and the execution price, this can be customized by clicking on the "..." icon next to your address at the top right of the page.
