FALCRUM PROTOCOL -10% to @Tron-Fan-Club

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WHAT IS FALCRUM

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Fulcrum is a protocol that enables traders to trade on margin, meaning there are numerous dangers involved but also the potential to quickly or slowly double your asset. For instance, if the price of Ethereum is $3,000, you might buy a $1,000 Ethereum in a 4x long in the hopes that the price will increase. Unfortunately, the price of Ethereum increased by 50% from $3,000 to $4,500, giving you a 200% return on your investment. When we multiply 50% by 4, we get 200%. You earned $2,000 more. The market might not always be in your favor. For instance, if the price of Ethereum is $3,000, buy $1,000's worth. For instance, if Ethereum was priced at $3,000, you could buy $1,000's worth at a 4x leverage, but sadly, the market fell by roughly 25%. -25% × 5 = 125%.

In other words, your asset has been liquidated as a result of the 20% decline in Ethereum's price, and another investor has now taken possession of your funds. It all comes down to you setting up a leveraged trade that might increase your funds by 2x, 4x, or 5x, depending on the rate you choose.

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LONG POSITION

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It simply occurs when a trader leads and borrows two assets and believes that the value of the cryptocurrency will increase. Suppose Ethereum is around $2,000 and you decide to purchase Ethereum worth $2,000 in total. You can borrow up to 80% of any cryptocurrency we have by using that $2,000 worth of Ethereum. You can now purchase USDC or any other coin up to 80% of the value of the Ethereum you put as collateral. You will possess one ETH through the Fulcrum platform, and you will hold $1,600 of its USDC.

You spend that $1,600 on ETH, which you then deposit on the Fulcrum platform to borrow the remaining USDC up to 80% of. If the price of Ethereum increases, you will earn, but if it decreases, you risk being liquidated. In order to prevent you from taking the asset with you, Fulcrum will liquidate your stake if the price dropped. You can control your risk by doing it just once, which increases the likelihood that you won't be negatively impacted if the price of Ethereum slightly declines.

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SHORT POSITIONS

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This occurs when the value of your cryptocurrency increases together with the value of other cryptocurrencies, in which case you will act in complete opposition to the long position. In order to borrow Ethereum on the Fulcrum platform, USDC must be deposited. You will make more money if the price of Ethereum declines, but you will also lose your asset if the price of Ethereum declines.

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How does Falcrum make money?

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Without ever taking out a loan, Fulcrum offers a means for consumers to invest in their platform and make money. People who might desire to trade margin are given loans from the money that the investors provide. The interest rate for a margin position at Fulcrum is 4x margin trading interest.

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Benefits of using falcrum

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• Bitcoin Insurance

Fulcrum offers cryptocurrency insurance, so you can get it through the website. The insurance protocol will be useful to you if you ever run into problems involving your possessions.

• No KYC

Since they have KYC, you can conduct your trade without KYC.

• Audited

There is a flaw in their code because the platform has been altered. You can trust the platform because it has been audited.

_Referecne

_{https://www.google.com/amp/s/pandatechie.in/2021/12/07/what-is-fulcrum-how-can-you-use-it-to-multiply-your-gains/amp/}