How to Use UniLend Finance to Long or Short Any Asset

  1. John is bullish on ETH and wants to take advantage of a long position to increase his gains.
  2. John then borrows $500 USDC and lends $1000 worth of ETH to an ETH/USDC pool.
  3. John’s portfolio exposure to ETH is increased by $500 worth of USDC, giving him a total of $1500 worth of ETH.
  4. If the price of ETH rises by 1%, John will make a total profit of $15, as opposed to the $10 he would have made without the leverage position.
  1. Alice anticipates a downturn in ETH in the next days and intends to leverage a short position.
  2. Alice lends a stablecoin to the ETH/USDC pool ($1000 USDC, for example) and borrows $500 worth of ETH.
  3. Alice then exchanges her ETH for $500 USDC, bringing her total to $1500 USDC.
  4. Alice is now in debt for $500 in ETH. If the price of ETH falls by 1%, Alice’s debt will be reduced to $495, which she will return and make $5 on her short position.



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Samson Dogo

Samson Dogo

Blockchain and cryptocurrency enthusiast/ambassador