FODL is a BNB chain, Polygon and Ethereum based decentralized leverage trading platform using liquidity from collateral lending platforms like Compound and Aave instead of funding rate and margin markets.
$FODL is the governance token of the DAO that also functions as a utility token by providing incentives for platform users and liquidity providers. You can also stake your $FODL tokens either single-sided or dual-sided on Ethereum or on Polygon.
How do I open a position?
Once you open the FODL app, you will have the option to select a preset trading strategy or you can use your own strategy by selecting “New Position.” You will then select the assets you want to long and short, the principal investment amount, and your desired leverage. Now, you’re ready to open your position!
How does FODL create leveraged positions out of collateral lending platforms?
When a user opens the position, FODL takes a flash loan capable of opening the folded leveraged position in a single transaction, effectively allowing the user to leverage their principal beyond the limits of the underlying platform.
What is a folded leverage position?
Folded leverage is where a user deposits collateral on a lending platform, borrows against their collateral, re-deposits what they borrowed as additional collateral, borrows against the newly added collateral etc etc until the desired leverage is achieved.
Can I set stop losses to prevent liquidation on my leverage?
FODL has built bots to support stop loss or take profit. If market conditions reach the user’s configured price, FODL bots will unwrap a portion or entirety of the user’s position per configuration. FODL is currently in beta testing mode for bots on BNB and Polygon.