DeFi Magic: STON.fi DEX + EVAA
STON.fi DEX & EVAADisclaimer: everything stated in the manual is not a call to action or an investment recommendation.
TON blockchain, initially launched by Telegram, is one of the most powerful and fast platforms in the crypto world. Its high speed and adaptability make it a perfect base for many decentralized apps and services.
In this space, with many tools for crypto investors and traders, decentralized lending platforms and decentralized exchanges (DEX) stand out. Especially, the combo of EVAA and STON.fi offers special opportunities for those looking to dive deep into leveraged trading.
What is EVAA?
EVAA is a decentralized platform for lending and borrowing digital assets on the TON blockchain. It works directly without middlemen, using smart contracts.
What is STON.fi?
STON.fi is a decentralized exchange (DEX) on the TON blockchain, designed for swapping different cryptocurrencies in a decentralized and permissionless manner.
What is leveraged trading?
Leveraged trading or trading "with leverage" means when traders use borrowed money to trade assets. This can boost possible profits but also increase possible losses.
What are "long" and "short"?
"Long" means buying an asset, hoping its price will go up. "Short" means borrowing an asset to sell it, planning to buy it back cheaper later.
Leveraged Long with EVAA and STON.fi:
Goal:
Go "long" on TON with leverage
Steps:
Step 1: Borrow jUSDT using TON as collateral:
1) Supply TON
2) Borrow jUSDT
Step 2: Buy TON with the borrowed jUSDT:
https://app.ston.fi/swap/jUSDT/TON
Repeat steps 1 and 2 until the health factor remains okay.
Note:
The amount you borrow shouldn't be more than 65% of the assets you've deposited. If it's more, your position might get forcefully closed.
Shorting with EVAA and STON.fi
Goal: go "short" on TON
Steps:
Step 1: Borrow TON on EVAA using jUSDT as collateral:
1) Supply jUSDT
2) Borrow TON
Step 2: Sell TON for jUSDT on STON.fi
https://app.ston.fi/swap/TON/jUSDT
When TON's price drops, buy it back at a cheaper rate and return TON to EVAA. The difference is your profit from the short position.
Leveraged Short with EVAA and STON.fi
Goal: go "short" on TON with leverage
Steps:
Step 1: Borrow TON on EVAA using jUSDT as collateral
1) Supply jUSDT
2) Borrow TON
Step 2: Sell TON for jUSDT on STON.fi
https://app.ston.fi/swap/TON/jUSDT
Repeat steps 1 and 2 until the health factor remains okay.
Please remember that trading with leverage involves high risk. Nothing in this manual is a recommendation; conduct your own research.