🦍Leveraged Positions

Leverage loan up to 10x.

Leverage section is accessed in NUKEM LOANS interface:

Leverage section

Once selected, the next interface is presented:

Leverage section

Here, users can choose the collateral asset and amount they want to use for their leveraged borrowing position, along with the asset and amount of debt they want to withdraw. By choosing collateral and debt assets, Users are essentially selecting the market from which they wish to withdraw a loan.

• 'I will deposit' - choose your collateral asset and amount

• 'I will leverage' - choose the debt asset and move the slider in order to select the amount of debt you want to withdraw

Before initiating the leveraged loan, users can check the Transaction Info, which provides a representation of collateral and debt amounts before and after the transaction. The most crucial metric, Loan-To-Value (LTV), is displayed below this information and represents the ratio between collateral value (margin) and outstanding debt. If the LTV reaches the liquidation threshold point, the position will be auctioned for the liquidation process.

Example: position is open with ~5.02 USDT of collateral and 18.68 USDT debt, resulting in 372% in LTV ratio

Initiating the Leveraged Loan

Leveraged Loan is initiated in a same way as all other actions on the Nukem Loans plaform:

• Click on Approve button

• Sign the signature request in the Metamask

• Click on Borrow button

• Confirm the transaction in the Metamask pop-up by clicking on Confirm button

Congrats! You have initiated your first leveraged loan on Nukem Loans platform!