1/6 Yesterday, we launched the $NFD Risky Market, the first of its kind in DeFi. Our goal is to enable traders to act as countering forces to volatile markets. To help educate traders, we walk through a trade with 23% return in 9 hours, while paying ~0.4% interest. Read on 👇📖 
2/6 $NFD is a volatile asset that had a crazy run up (2000%+ in 2 days) in a short period, and draws skepticism of its sustainability. For speculators, Beta facilitates market efficiency by giving high APY to $NFD hodlers, and charging a premium (~1%/day) to short sellers.
3/6 Let’s walk through the figure: Alice shorts $NFD at 6:40 AM @ $0.000924. She is able to short up to the available pool (~$3.2MM at the time) by posting sufficient collateral to maintain the LTV requirements. Let’s say she shorts $25K $NFD using $150K $USDC to be safe.
4/6 Alice initiates this position, because it is a short-term opportunity. She holds bearish sentiment for the token and short sells it with Beta, having a direct impact on the spot price of $NFD. Beta handles the transaction for her, and allows easy position management.
5/6 Alice holds this position ~9 hours and closes it at 3:35 PM @ $0.000713. She pays ~0.4% in interest to make a 23% gain on her position, a profit of ~$5.75K. She has successfully been able to initiate a short position on a LTA for the first time in DeFi on Beta!
6/6 This is one of the many new opportunities with Beta Finance, and hope you have better insights into protocol usage. The $NFD Risky Market lets both hodlers and shorters earn in the long and short term, respectively, and offset volatility for healthier value accrual of $NFD.
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