Dolomite to Launch Crypto Margin Trading Services This Week
- The new service will be based on the dydx protocol.
Dolomite, a decentralized crypto exchange, has announced that it will introduce margin trading facilities for digital asset traders.
Scheduled for a launch on Friday, the new trading feature will be built on the dydx protocol instead of the existing Loopring protocol used for its non-custodial trading services.
“Dolomite will also be one of the first decentralized exchanges to offer leveraged limit order trades, allowing a leveraged trade to fill only at a certain price. Dolomite is building off of the dYdX margin lending protocol, giving it access to over $30 million in lending Liquidity Liquidity The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent Read this Term,” the exchange stated.
Dolomite margin trading is being built on the powerful @dydxprotocol giving our traders access to over $30m in lending liquidity!
— Dolomite (@Dolomite_io) November 4, 2019
Leverage Leverage In financial trading, leverage is a loan supplied by a broker, which facilitates a trader in being able to control a relatively large amount of money with a significantly lesser initial investment. Leverage therefore allows traders to make a much greater return on investment compared to trading without any leverage. Traders seek to make a profit from movements in financial markets, such as stocks and currencies.Trading without any leverage would greatly diminish the potential rewards, so traders In financial trading, leverage is a loan supplied by a broker, which facilitates a trader in being able to control a relatively large amount of money with a significantly lesser initial investment. Leverage therefore allows traders to make a much greater return on investment compared to trading without any leverage. Traders seek to make a profit from movements in financial markets, such as stocks and currencies.Trading without any leverage would greatly diminish the potential rewards, so traders Read this Term for the traders
The new margin trading facility will provide both long and short positions on the prices of digital assets; however, leverage on both positions will be different - up to 5x leverage on long positions while short position takers will receive up to 4x leverage. In addition, the exchange will also feature stop-loss orders for margin trading.
“We’ve also developed something that we’re calling margin protection, which will liquidate your position at a slightly higher collateralization in order to allow you to retain as much of your deposit as possible,” the exchange noted.
“After liquidation you’ll still have 15% of your initial deposit rather than 10%, saving you crypto that you can put towards your next investment!”
The exchange is boasting its use of dydx protocol for the execution of trades and is claiming to be the first such exchange to implement it.
Meanwhile, other prominent exchanges are also providing margin trading facilities to crypto traders. Most recently, KuCoin introduced margin trading services to its wide base of traders. Binance also launched similar services earlier this year.
Dolomite, a decentralized crypto exchange, has announced that it will introduce margin trading facilities for digital asset traders.
Scheduled for a launch on Friday, the new trading feature will be built on the dydx protocol instead of the existing Loopring protocol used for its non-custodial trading services.
“Dolomite will also be one of the first decentralized exchanges to offer leveraged limit order trades, allowing a leveraged trade to fill only at a certain price. Dolomite is building off of the dYdX margin lending protocol, giving it access to over $30 million in lending Liquidity Liquidity The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent Read this Term,” the exchange stated.
Dolomite margin trading is being built on the powerful @dydxprotocol giving our traders access to over $30m in lending liquidity!
— Dolomite (@Dolomite_io) November 4, 2019
Leverage Leverage In financial trading, leverage is a loan supplied by a broker, which facilitates a trader in being able to control a relatively large amount of money with a significantly lesser initial investment. Leverage therefore allows traders to make a much greater return on investment compared to trading without any leverage. Traders seek to make a profit from movements in financial markets, such as stocks and currencies.Trading without any leverage would greatly diminish the potential rewards, so traders In financial trading, leverage is a loan supplied by a broker, which facilitates a trader in being able to control a relatively large amount of money with a significantly lesser initial investment. Leverage therefore allows traders to make a much greater return on investment compared to trading without any leverage. Traders seek to make a profit from movements in financial markets, such as stocks and currencies.Trading without any leverage would greatly diminish the potential rewards, so traders Read this Term for the traders
The new margin trading facility will provide both long and short positions on the prices of digital assets; however, leverage on both positions will be different - up to 5x leverage on long positions while short position takers will receive up to 4x leverage. In addition, the exchange will also feature stop-loss orders for margin trading.
“We’ve also developed something that we’re calling margin protection, which will liquidate your position at a slightly higher collateralization in order to allow you to retain as much of your deposit as possible,” the exchange noted.
“After liquidation you’ll still have 15% of your initial deposit rather than 10%, saving you crypto that you can put towards your next investment!”
The exchange is boasting its use of dydx protocol for the execution of trades and is claiming to be the first such exchange to implement it.
Meanwhile, other prominent exchanges are also providing margin trading facilities to crypto traders. Most recently, KuCoin introduced margin trading services to its wide base of traders. Binance also launched similar services earlier this year.