📈Trade
Last updated
Last updated
If you do not have a wallet, you can use Phantom: https://phantom.app/download
Click the Connect Wallet button at https://app.parcl.co/
SOL is the native currency on the Solana blockchain. SOL is used to pay for the compute that the network uses to process your transactions. You need SOL in order to use any applications on Solana such as Parcl.
USDC is the token used for trading on the Parcl Protocol.
You can buy SOL and USDC in your Phantom wallet using MoonPay or Coinbase Pay.
First, open up your Phantom wallet and click the Buy button on your assets tab.
Select Solana or USDC, then either input a custom amount or choose a quick-buy option.
Lastly, you can then choose the Coinbase Pay or MoonPay option.
Parcl offers many US geographic markets like New York City and San Francisco. In the future Parcl will also support international markets.
Click Trade to open the trading page for that Parcl market.
We selected to open a trading position in Manhattan, NY (New York City).
You can see the left side has data about Manhattan. Most important is the price per square foot of residential real estate in Manhattan.
Enter the amount of USDC to trade. Select to Buy or Short the price of real estate in Manhattan.
If you Buy:
You think the price of Manhattan will increase.
Your position will lose money if the price decreases.
If you Short:
You think the price of Manhattan will decrease.
Your position will lose money if the price increases.
If you are trading in advanced mode, then you select your leverage for this trading position. Leverage options are between 1 and 10, inclusive. Leverage is applied to price movements.
Click Submit button to open the position. Information about the trade is displayed underneath the Submit button.
After you approve the transaction in the Phantom wallet popup you will see the success screen.
Entry Price is the price you opened your position at.
The Exchange Rate is the market's current ratio of deposited USDC to Liquidity Tokens.
The Exchange Rate is used by the protocol to determine how many liquidity tokens to mint for your position.
Entry Funding Rate is market's current funding rate.
If the funding rate is positive, then the pool's long traders are paying the short traders.
If the funding rate is negative, then the pool's short traders are paying the long traders.
The Trading Fee is the fee charged for every trade. The pool gets 60% and the protocol gets 40% of trading fees.
The Pool Impact Fee is the fee charged for your trade making the pool more imbalanced and skewed. Trades that make the pool more balanced pay 0 pool impact fees.
You can manage your Manhattan positions from the Manhattan trade page.
Your position's card shows the following information on the left side:
Entry Price is the price you opened the position at.
Trade Direction is whether the position is long or short.
Leverage is the position's price movement multiplier.
The Date is the date and time when you opened the positon.
Your position's card shows the following information on the left side:
Position Value is measured in liquidity tokens and then converted to USDC at the current exchange rate.
Value is show in the image next to the USDC logo. It is $.99.
Value is calculated as the sum of price movement since you opened the position and the accrued funding since you opened the position.
Your Gain on the position is shown in green or red color. Gain is measured in USDC and also as a percentage.
Liquidations
Positions can be liquidated if their losses are greater than or equal to 75% of the initial USDC from opening the position.
Price movement and funding fees affect liquidation.
If you are liquidated, you will receive any remaining liquidity tokens from your position after the liquidator is paid their bonus and the protocol burns your losses.
Click the Close button to input the amount of your position's Value you want to receive from your position's current value.
The amount of Value is used to calculate the percentage of the position to close.
After you submit the close position trade, the success page will show up.
All remove liquidity transactions take 8 hours to settle. So you will receive your USDC from the remove liquidity transactions after 8 hours has passed. This protects users and the protocol from fast atomic exploits and other issues that take time to solve. Anyone can send transactions to process pending withdrawals but Parcl operates bots to ensure all pending withdrawals are paid out immediately once they have settled after the 8 hour period has ended.
Price at Close is the price you received when you closed the position. Your gain from price movement is your price at close minus your entry price multiplied by your leverage multiplier.
The Exit Funding Rate is the pool's funding rate at exit.
You either pay a Funding Fee or earn a Funding Rebate depending on if the pool's open interest moved in your favor during your position's lifetime.
Your Funding Fee/Rebate is calculated as the pool's Exit Funding Rate minus your position's Entry Funding Rate multiplied by your position's USDC from open multiplied by the position's leverage multiplier.
You pay the Funding Fee if funding moves in the same direction as your position's Trade Direction. You earn the Funding Rebate if funding moves in the opposite direction of your position's Trade Direction. This because funding moves with the open interest majority and the open interest majority pays the minority side.
You receive liquidity tokens when you close positions. The website uses an auto-withdraw liquidity feature to convert liquidity tokens from closing the position into USDC. In the future, the website will offer the ability to hold onto liquidity tokens instead of auto-withdrawing and receiving USDC.
