Traders
Traders can long or short the BTC, ETH and OP with up to 50x leverage at zero price impact, as well as swap trade. No personal information including email address is required to trade on AVT.
For the first 3 months from 15 March 2023 to 14 June 2023 when the platform goes live, traders will receive additional AVT token rewards for trading on the platform, paid out from the "Early Liquidity Providers & Traders" allocation pool.
Step 1: Connect your wallet
If you do not yet have a wallet, you may use some of the following supported wallets (and more):
If you have a wallet, you can connect your wallet by clicking "Connect Wallet" on the AVT Trade page.
If you see the message below, please click on "Add Optimism" to add Optimism network in your walet.
For more information about the Optimism network, please kindly refer here.
Backup RPC URLs
AVT runs on decentralised nodes (servers) and therefore querying data and submitting transaction orders have to go through RPC URLs. There may be times when traffic is congested resulting in the RPC URL being slow to relay or receive data.
As a backup, you may choose to change the RPC URL in the network settings of your wallet to any of the following alternatives which should rectify the issue:
Step 2: Bridge tokens over into your wallet on Optimism
You will need ETH in your wallet to pay for the network fees on Optimism, as well as any of the following 6 tokens on Optimism network for trading on AVT since it runs on Optimism:
BTC
ETH
OP
USDT
USDC
DAI
If you have the above tokens especially ETH on other networks like Ethereum, you can easily bridge them over to Optimism network via Multichain bridge here.
Alternatively, you can purchase ETH and USDT on Optimism network here [Coming soon], which goes directly into your wallet.
Step 3: Swap
Once the tokens are in your wallet on Optimism network, you can choose to swap them to other tokens in the list with zero price impact by clicking on "Swap" here.
Step 4: Leverage trade
Open a Position
To begin leverage trading, you will first open a position on a token by clicking either the "Long" or "Short" tab.
Long position:
Trader profits when the token price increases. Trader loses when the token price decreases.
Short position:
Trader profits when the token price decreases. Trader loses when the token price increases.
If you click "Long", input the amount of token you would like to pay and the leverage you want to use. In the example above, 0.01 ETH worth USD 14.80 is used to buy a 10x ETH long position which has a size of 0.099 ETH worth USD 146.64.
Entry price of USD 1,481.16 denotes the token price at the point in time you opened the position.
Liquidation price of USD 1,383.54 denotes the token price at which your position will be automatically closed if it is crossed.
Fees of USD 0.14 denotes the standard trading fee of 0.1% of your position size when you open or close a position.
The Exit Price below the Swap Box denotes the price that is used to calculate profits if you open and immediately close the position. It moves with the price of the token you long or short.
Borrow fee below the Swap Box denotes the fee that is paid to the liquidity pool which acts as the counterparty to all long and short traders. Borrow fee is deducted at the start of every hour and will vary based on utilisation. It is calculated as follows:
(Assets borrowed / (Total Assets in the Liquidity Pool) * 0.01%
Please note that while there is no slippage or price impact on trades, some slippage may potentially occur when prices move between when your trade transaction was submitted to the blockchain and when the blockchain finally confirms it. You can adjust your allowable slippage by clicking on "Settings" in the top right corner of the Trading Page.
Manage your position
After you have opened a position, you can view it under your Positions list at the bottom of the Trading Page. To manage and control your leverage and liquidation price, you can deposit or withdraw collateral by clicking on the 3 vertical dots on the extreme right then "Edit".
When you deposit collateral to open a position, the USD value of that collateral at that point in time is fixed. In the above example, as your collateral is 0.01 ETH which is worth USD 14.73 at that point in time you opened the position, the value of your collateral will remain the same even if the price of ETH changes.
The amount of profit and loss you make is proportionate to your position size. In the above example, you have paid USD 14.73 (0.01 ETH) to open a leveraged long position size of USD 147.36 (0.099 ETH). If the price of ETH increases by 10%, you will make a profit of USD 14.73 (10% * USD 147.37). If the price of ETH decreases by 10%, you will make a loss of USD 14.73 (10% * USD 147.37).
Conversely, if you opened a leveraged short position size with the same amounts above, you will profit when the price of ETH decreases and make a loss when the price of ETH increases.
The "Leverage" display is calculated as follows:
(Position size) / (Position collateral)
If you prefer the "Leverage" display to be (Position Size ± Profit and Loss) / (Position Collateral), you can change it by clicking on the 3 vertical dots and then "Settings" in the top right corner of the Trading Page.
Closing your position
You can close your position fully or partially by clicking on the "Close" button.
For long positions, you will receive your profits in the same token that you have longed. For instance, if you long ETH and ETH price increases, your profits will be given to you in ETH.
For short positions, you will receive your profits in the same stablecoin that you used to open the short position such as USDT or USDC.
How to set Stop-Loss / Take-Profit orders
To set Stop-Loss or Take-Profit orders, click on the "Close" button and select the "Trigger" tab.
Once your Stop-Loss or Take-Profit order is created, you can view it in your Positions list and the Orders tab, where you can edit the order and change the Stop-Loss price or Take-Profit price accordingly.
If you close your position manually, please remember to also cancel your Stop-Loss or Take-Profit order as these orders will remain open and apply to your future open positions.
There are situations where the Stop-Loss or Take-Profit order may not execute successfully. These situations include the following:
The mark price which is an aggregate of reliable exchange prices did not hit the specified order price
The specified order price was hit but too quickly for the order to be executed
There are no available keepers to execute the order
Please also note that as the Stop-Loss / Take-Profit orders are essentially Market Orders, they may not execute at the exact specified price.
Liquidations
The liquidation price is the price at which your (collateral - losses - borrowing fees) is less than 1% of your position size. Your position will be automatically closed when the token's mark price hits your liquidation price.
Please note that your liquidation price will change over time due to borrowing fees. The higher the leverage and the longer the position remains open, the higher the borrowing fees incurred. It is therefore important to monitor your liquidation price regularly to avoid auto-liquidations.
Any collateral net of losses and fees will be returned directly to your account.
Token Pricing
There is zero price impact when you trade on AVT regardless of your position size. This means that you can open large positions at exactly the mark price with no slippage. There will however be a spread between Chainlink's price and the aggregated exchanges median price in periods of high price volatility.
The mark prices are displayed on the right of the token pair's name. Long positions are opened at the top (higher) price and closed at the bottom (lower) price, while short positions are opened at the bottom (lower) price and closed at the top (higher) price.
The price indicated on AVT's chart is the average of the top and bottom mark prices.
Trading Fees
Open and close a position: 0.1% of position size
Borrowing fee: (Assets borrowed / Total assets in the liquidity pool) * 0.01%
Swap Fees: Varies between 0.2% - 0.8%, depending on whether the token is above or below its target weight in the liquidity pool. Please refer [Coming soon] for the details.
Execution fee: Varies as this is the cost paid to the blockchain network for executing user transactions. The execution fee will be displayed in the Confirmation Box prior to execution.
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