❓Test Trading FAQ

Q1: I can't open a trade with 10 USDT. Is there a minimum position size?

The minimum position size is 100 USDT trading volume. This means if you would like to use a position size of 10 USDT, you should use the leverage of 100x (10*100=1,000). You can use lower leverage by using higher collateral, for instance, you could use 200 USDT collateral with 5x leverage (200*5=1,000).

Q2: What Is Slippage?

Slippage refers to the amount you can accept with the price moving when opening your position. For instance, if the price were to move more than 1% while awaiting the oracle to return the price - you may be unsatisfied to open that position. You can set slippage to ensure you open within the price range you can bear, and if the price deviates from this, the position will not be opened.

Q3: Why is a roll over fee necessary?

This allows traders to use lower leverages while still allowing adequate risk management for the protocol. Without this, the entire maximum open interest possible for a pair could be taken up for a long time (years even on a low-leverage stock pair for example) - entirely stopping other traders from even having the option of trading on it.

Q4: How are liquidation fees charged?

The system will charge 1%; and when the mortgage rate = is 10%, the system will start the liquidation process.

Q5: Where does the collateral go when I close a position with a profit/loss?

In short, your closing profit will be paid from PNL Pool, and your closing loss will be accumulated to reward Pool. Unless you have been liquidated, all collateral goes to the reward Pool. The portion of your lost collateral remains in the reward Pool and is used to pay other traders.

Q6: Does profit taking close my position?

Yes, at present your position must be closed to take a profit.

Q7: If a vulnerability or potential issues are found during the testing, through what channel can it be reported to Nova Trade?

You can join the Nova Trade telegram group: https://t.me/DNovaTrade