FAQ

Answers to Frequently Asked Questions

Is it possible to hold both long and short positions on the same asset?

Yes. Both long and short positions can be opened on the same asset if one uses Cross Margin and the other uses Isolated Margin.

Why open a reverse position, and does VDEX support direct position reversal?

A reverse position allows independent risk management without altering the original trade. Direct position reversal is not currently supported, but may be considered in future updates.

What protections are in place for user funds in case of smart contract risks?

VDEX employs multiple security measures, including full self-custody trading, decentralized smart contracts, multi-signature wallets, advanced encryption, and real-time monitoring and alerts

Read more: Here

Has VDEX been audited?

Yes, VDEX has been audited by Halborn.

How does VDEX handle slippage and impermanent loss?

VDEX uses ZK State Channels to enable submillisecond trade execution, eliminating slippage and impermanent loss while maintaining blockchain-level security and transparency.

How is collateral calculated, and what happens if a position is liquidated?

VDEX displays the liquidation price and margin required to help track a position's status.

Will VDEX offer lending and borrowing features?

No, lending and borrowing are not currently available on VDEX, but they may be introduced in the future.

Which oracle does VDEX use for market and price data?

VDEX uses Supra Oracle to provide reliable real-time price feeds for trading, margin management, and liquidation.

Who provides liquidity on VDEX?

Liquidity comes from the community, including market makers, traders, KOLs, and individual users.

Is VDEX an AMM?

No, VDEX uses a decentralized limit order book.

Is the virtual wallet going to be needed on VDEX?

No, you can simply connect your MetaMask wallet directly to the platform.

Does VDEX require gas to trade?

No. VDEX offers ZeroGas trading. Gas fees only apply when depositing or withdrawing funds.

What incentives are offered to liquidity providers on VDEX?

Liquidity providers can earn up to 30% of trading fees, with rewards based on the volume and quality of liquidity they contribute.