When the market price of the Strike Token is higher than the oracle price, users are incentivized to make arbitrage trades by minting a pair of LONG and SHORT tokens at the oracle price and selling them at market price. For more information, visit Arbitraging Strategy.
Minting is not the same as trading, since it creates a fresh Strike Token pair (1 long, 1 short) upon users supplying USDC to AlphaX, while trading is swapping USDC for a specific Strike Token
To mint, navigate to the Mint page
Select tokens from drop-down that you want to mint
Select the Strike Tokens pair (1 Long and 1 Short) you want to mint
Supply USDC to mint selected Strike Tokens and click Mint confirm.
When the market price < oracle price, users are incentivized to arbitrage trade by buying Strike Tokens at market price and redeeming back on AlphaX at oracle price to make a profit. For more information, visit Arbitraging Strategy.
Redeem is not the same as trading, since it burns Strike Tokens pair (1 long and 1 short) and returns the underlying USDC back to users, while trading is swapping a specific Strike Token to USDC similar to how you would sell a token on Trader Joe.
To redeem, navigate to the Redeem page
Select tokens from drop-down that you want to redeem