Difference between revisions of "Investing & Trading with Decentralized Loans and Assets on DeFiChain"
From DeFiChain-Wiki
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#Buy your preferred asset on DEX with <code>x amount</code> of dUSD Goal in the future | #Buy your preferred asset on DEX with <code>x amount</code> of dUSD Goal in the future | ||
#Sell asset for <code>y amount</code> of dUSD <code>Profit: (y-x) dUSD</code> | #Sell asset for <code>y amount</code> of dUSD <code>Profit: (y-x) dUSD</code> | ||
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'''Remarks''' | '''Remarks''' | ||
+ | *Trades and profit are in dUSD | ||
+ | *DEX prices are relevant for the trade, n<nowiki>Insert non-formatted text here</nowiki>ot the price feed | ||
− | + | '''🡺 pay attention of the pool ratio''' | |
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*Any price movement of DFI will not have an effect on your investment | *Any price movement of DFI will not have an effect on your investment | ||
*Step 1 and 2 will be combined to a composite swap, which is only one step for the user | *Step 1 and 2 will be combined to a composite swap, which is only one step for the user | ||
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|[[File:Bild 3-1.png|left]]'''Example''' | |[[File:Bild 3-1.png|left]]'''Example''' | ||
With a DFI price of $2.50 you sell 280 DFI, and receive 700 dUSD. | With a DFI price of $2.50 you sell 280 DFI, and receive 700 dUSD. | ||
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You buy 1 TSLA for those 700 dUSD and hold it. | You buy 1 TSLA for those 700 dUSD and hold it. | ||
− | + | After some time the TSLA price rises to 1000 dUSD and the DFI price to $4.00. | |
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− | After some time the TSLA price rises to 1000 | ||
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Selling TSLA for dUSD gives you 1000 dUSD and <u>you make 300 dUSD profit</u>. | Selling TSLA for dUSD gives you 1000 dUSD and <u>you make 300 dUSD profit</u>. | ||
− | + | '''Remark''' | |
− | + | If you want to go back to DFI you will receive 250 DFI for the 1000 dUSD, because the price went up to $4.00. | |
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'''🡺 The best case for this investment: The asset price increases''' | '''🡺 The best case for this investment: The asset price increases''' | ||
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Revision as of 23:15, 25 September 2021
We explain DeFiChain
Episode 1: Long and short positions with stock token
Investing/Trading with Decentralized Loans and Assets
Part 1: Long and short positions
With decentralized loans and assets on DefiChain, you can invest in different assets betting on increasing (long) or decreasing (short) prices. We will explain 3 different ways of investing. |
Long position - Neutral DFI 1/2
Investment thesis
DefiChain procedure
Remarks
🡺 pay attention of the pool ratio
|
Long position - Neutral DFI 2/2
Example
With a DFI price of $2.50 you sell 280 DFI, and receive 700 dUSD. You buy 1 TSLA for those 700 dUSD and hold it. After some time the TSLA price rises to 1000 dUSD and the DFI price to $4.00. Selling TSLA for dUSD gives you 1000 dUSD and you make 300 dUSD profit. Remark If you want to go back to DFI you will receive 250 DFI for the 1000 dUSD, because the price went up to $4.00. 🡺 The best case for this investment: The asset price increases |