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How to Short & Cover a BitAsset

How to Short & Cover a BitAsset

Posted by Daniel Larimer on .

How to Short & Cover a BitAsset

Posted by Daniel Larimer on .

I would like to thank cryptosile from EveryDayCrypto for producing a great video walkthrough on how to use the BitShares wallet to create and cover a BitAsset. I will probably be producing a similar video at some point in the future, but for now this is the best that is available.

Some minor corrections and clarifications:

  1. Initial Margin is 3x the value of the BitAsset created
  2. Minimal Margin is 2x the value of the BitAsset created
  3. If minimal margin is reached then collateral will be sold and 5% of any remaining collateral will be collected as a fee.
  4. Margin positions expire after 30 days and your collateral will be used to cover without any fees.
  5. Transaction fees are paid in BitBTC if you have enough BitBTC to pay the transaction fee.

If you have questions about this video, it is being discussed at

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My name is Daniel Larimer and I am the founder of BitShares. My mission in life is to find free market solutions to secure life, liberty, and property for all.

The purpose of this blog is to help create a free society by encouraging people to join our community which is centered around Bitshares, a next generation fully decentralized crypto-currency exchange. I use Austrian Economics to engineer the economic incentives which make freedom and non-violence profitable.

Help spread the word.

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