#Trading Overview
Exolane provides a streamlined trading experience for leveraged perpetual positions. This section covers everything you need to know about trading.
#How Trading Works
Trading on Exolane follows a simple flow:
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Deposit USDC → Open Position → Manage/Monitor → Close Position → Withdraw#Key Concepts
| Concept | Description |
|---|---|
| Position | A leveraged long or short bet on an asset's price |
| Collateral | USDC backing your position |
| Leverage | Multiplier on your position (determined by size/collateral ratio) |
| Margin | The collateral specifically allocated to a position |
| PnL | Profit and Loss from price movements |
| Funding | Periodic payments between longs and shorts |
#Position Types
#Long Position
- Bet: Price will increase
- Profit: When price goes up
- Loss: When price goes down
#Short Position
- Bet: Price will decrease
- Profit: When price goes down
- Loss: When price goes up
#Trading Flow
#1. Deposit Collateral
Before trading, deposit USDC into your collateral account:
- USDC is wrapped to the protocol's internal token (EXU)
- Funds are held in a smart contract you control
- Withdraw anytime (subject to open positions)
#2. Open a Position
Specify:
- Market — Which asset (BTC, ETH, etc.)
- Direction — Long or Short
- Size — How much of the asset
- Collateral — How much margin to use
#3. Position Lifecycle
Once open, your position:
- Accrues PnL based on price movement
- Pays or receives funding periodically
- Can be increased or reduced
- Can be liquidated if margin falls too low
#4. Close Position
When closing:
- Set size to 0 to fully close
- PnL is realized and added to collateral
- Remaining collateral is freed for withdrawal
#One Account, Multiple Markets
With Exolane's collateral account system:
- ✅ Deposit once, trade all markets
- ✅ One position per market maximum
- ✅ Collateral shared across positions
- ✅ Add/remove margin independently
#Position Limits
| Limit | Value |
|---|---|
| Positions per account per market | 1 |
| Maximum leverage | Up to 10x (BTC/ETH), 5x (all others) |
| Minimum position size | Market-dependent |
| Minimum collateral | ~$10 equivalent |
#Settlement Timing
Exolane uses oracle-based settlement:
- Trades settle on the next valid oracle update
- Typical settlement time: a few seconds
- Prevents front-running and manipulation
- Execution price may differ slightly from submission time
Why oracle settlement? This design prevents traders from exploiting price delays or front-running other orders.