I recently started using okx as collateral and found out that he was using coins as collateral, so the number of coins that need to be hedged will not change all the time? For example, if we have eight coins in our country, if we have two coins in OKEX as collateral, then we can fully hedge 10 coins. But if the currency price falls now, the domestic currency loses 8 cents in the yuan, the OKEX gains in the digital currency, and the vacancy is only 10 cents, but the guaranteed currency gains several cents more. If the price of the currency continues to fall, then the few coins that are overpriced will start to lose, is that the logic?
I think that this way is equivalent to doing a reversal strategy, creating an excess of heads when the price of the currency falls, decreasing heads when it rises, if the market is always back and forth, the overall profit will be, but if the trend rises or falls, the loss will be.
The last question: Do you recommend an exchange that has price trends close to domestic and can use fiat currency as collateral?
The Little DreamThe question is whether the currency is a currency, and the price of the currency is falling, which will have a secondary effect on whether the earnings are going to be higher or lower. In fact, when a futures contract loses again, the profit is calculated based on the opening price difference, the number of holdings, and then the profit and loss is calculated as the number of bitcoins or the number of Litecoins (see the contract for that currency) according to the price of the currency at that time. In fact, there is no secondary effect.
The Little DreamThis one or two phrases are not clear, in short, futures. Your profit and loss is based on the opening position, the spread and the holding amount. Calculate your profit and loss, and then sum the number of coins at that time to give you the profit.
FocusedCan you give me a digital example?
The Little DreamIt's not polite.
akkkThank you for replying!