⚠️Risks

For your consideration.

Borrowing to Leverage

Borrowing an asset can effectively result in leveraging a position. If 1 ETH is borrowed, 1 ETH plus interest must be paid to get back deposited collateral. The same amount of ETH must be paid regardless of change in value.

Borrowing a volatile asset and selling it would be the same as opening a short position. Borrowing a stablecoin to buy a volatile asset creates a net long position.

Depositing, borrowing, and selling volatile assets can create a complex position. Please make sure you understand the actions you are taking. Seismic is not responsible for the actions you take when it comes to utilizing leverage on the platform.

Your acknowledgement of the risks will be requested.