š³ļøTrading Terms
Terms on Unich you need to know before trading
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Terms on Unich you need to know before trading
Last updated
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Trading volume refers to the total transaction volume in a seller's or buyer's order, calculated using the formula: V = PĆA
V: Trading Volume
P: Token Price
A: Token Amount
To place an order, both the buyer and the seller need to deposit collateral into the smart contract to initiate the transaction.
For Unich Pre-Market OTC, the formula to calculate the Collateral (the amount of collateral) that the buyer or seller needs to commit to executing a transaction is: Collateral = Ā½ Trading Volume
Trading volume: V = PĆA
V: Trading volume
P: Token price
A: Token amount
The buyer provides the remaining 50% of the margin in settlement time. After that, the seller will deliver the full amount of the committed tokens at the settlement time.
Examples:
The buyer executes a transaction to purchase 100 $UN tokens. (With the UN/USDC exchange rate being 2 on the Solana network).
At that time, the Buyer places an order with details as follows:
Order Type: Buy
Token Name: UN
Network: Solana
Token amount: 100 $UN
Price: 2 USDC
Volume: 100 Ć 2= 200 USDC
The amount the Buyer needs to collateralize to create the order is: 200 Ć Ā½= 100 USDC
Similarly, for the Seller matching with pool already available on the market.
At that time, the Seller matches with the Buyer as follows:
Order Type: Sell
Token Name: UN
Network: Solana
Token amount: 100 $UN
Price: 2 USDC
Volume: 100 Ć 2= 200 USDC
The amount the Seller needs to collateralize to match the order is: $200 Ć Ā½ = 100 USDC
Notes: However, the system will prioritize finding and matching orders with the best available prices, allowing the seller to sell fewer tokens and the buyer to purchase more tokens.
Full Order Matching occurs when both the buyer and seller match the entire trading volume of the order.
Partial Order Matching occurs when both the buyer and seller match only part of the trading volume of the order.
Examples: A buyer is selling 100 $UN tokens at 2 USDC each. An order currently available on the market is waiting to be matched with a volume of 200 USDC.
Order Type: Sell
Token Name: UN
Network: Solana
Token amount: 100 $UN
Price: 2 USDC
Volume: 100 Ć 2= 200 USDC
Collateral: 100 USDC
Buyer 1 can partially match the above trade with 5 $UN, equivalent to Volume: $10
Order Type: Buy
Token Name: UN
Network: Solana
Token amount: 100 $UN
Price: 2 USDC
Volume: 5 Ć 2= $10 USDC
Collateral: 5 USDC
Buyers 2, 3, ... n will continue matching orders until the entire order of the seller is fully filled.
Once orders are matched, they will be marked as filled, and both the buyer and the seller will complete the process of sending and receiving payments, which will begin at the TGE.
The formula for calculating Credit when an order is filled is: Credit = M
M is the total number of tokens that have been matched in a trading pair.
Buyers and sellers can cancel their listed orders if they have not yet been matched.