Post by @contango_xyz • Hey

Wtf is the basis rate you see on Contango? Simple. It’s the difference between the expirable price and the spot. Low basis? ▶️ Cheaper leverage t

Stats

Comments

Example: a few days ago you could pay ~7$ to get 5x leverage on 10 $ETH until Sept '23. This basis rate is known upfront and baked into your entry price. So, beside your margin, to go long you just had to pay $0.66*10=$6.6 + gas/trading fees. 🤑 It’s that simple. (NFA)