According to a post on the Radar Relay Medium, Short Ether or sETH, the first short token, is now available for trading on Radar Relay. sETH is a short position in Ethereum abstracted in an Ethereum token built on the dYdX protocol. Trading short tokens on Radar Relay is the same as trading any other ERC20 token on the relayer.
This is a significant breakthrough for cryptoassets and decentralized trading, as traders and algorithms can now hedge portfolio risk and take short positions via tokens. Tokenized short positions can serve as both a risk management tool to combat bearish price action or a hedge on a substantial position.
How to trade sETH
All that is needed to buy sETH on Radar Relay is an Ethereum Wallet and DAI token. Currently, Radar Relay supports wallets including Metamask, Ledger, and Trezor. Once on Radar Relay, sETH can be found on the advanced trading toggle and traded against the DAI quote.
The rest of the process is similar to trading any other ERC20 token on Radar Relay with one major distinction. Every short token feature an expiration date – for example, Short Ether 11/30 will expire on Nov. 30.
About Radar Relay & dYdX
Radar Relay is a Colorado-based cryptoasset exchange technology that leverages blockchain and the 0x protocol to trade ETH based tokens. Using Radar Relay, Ethereum-based tokens can be traded directly from Web3 or Hardware wallets. Radar Relay has raised $13 million to date, $10 million of which came from a Series A round in August of this year. Participants in the round included Distributed Global, SV Angel, Digital Currency Group, Collaborative Fund, Village Global, Kindred Ventures, and more.
dYdX is a San Francisco-based startup building open-source protocols for decentralized margin trading and derivatives. dYdX recently closed a $10 million Series A round. In the dYdX margin trading protocol, users can short assets, trade with leverage, and earn interest on long positions through trustless loans. In the dYdX options protocol, users will be able to write, buy, or trade any option on any token, and take complex financial positions to increase leverage or reduce risk. The dYdX options protocol is estimated to be complete in 2019.
The post Short Ether (sETH) Is Now Available on Radar Relay appeared first on CryptoSlate.