Audaces Perps: Bonfida's perpetual contracts in practice

After having discussed the challenges of decentralized margin trading within the Solana ecosystem, we propose a more didactic approach this time, thanks to a tutorial guiding you in the use of Audaces Perps.

Connecting a Solana wallet to the Audaces Perps trading interface

In order to use Audaces Protocol, we need :

  • A Solana wallet, such as Sollet or Phantom;
  • SOL to pay the transaction fees;
  • USDC to compose our collateral.

First, we need to go to the Bonfida platform dedicated to decentralized perpetual contracts, Audaces Perps. The homepage contains all the useful information, and the trading interface is available via the “Trade” menu or the “Start Trading” button.

Bonfida - On-chain Perpetuals swaps - Audaces Perps - HomepageBonfida - On-chain Perpetuals swaps - Audaces Perps - Homepage

We must then accept the terms and conditions of use of the platform, before connecting our Solana portfolio.

Bonfida - Audaces Perps - Connecter Solana wallet<img width=”303″ height=”633″ src=”https://journalducoin-com.exactdn.com/wp-content/uploads/2021/08/Bonfida-Audaces-Perpetuals-Connect-Solana-wallet.jpg?strip=alllossy=1&quality=66&ssl=1 303w, https://journalducoin-com.exactdn.com/wp-content/uploads/2021/08/Bonfida-Audaces-Perpetuals-Connect-Solana-wallet-112×235.jpg?strip=all&lossy=1&quality=66&ssl=1 112w, https://journalducoin-com.exactdn.com/wp-content/uploads/2021/08/Bonfida-Audaces-Perpetuals-Connect-Solana-wallet-72×150.jpg?strip=all&lossy=1&quality=66&ssl=1 72w” alt=”Bonfida – Audaces Perps – Connect Solana wallet” />

Finally, we can choose to automatically approve transaction requests from Audaces Perps for more fluidity.

Creating a trading account

Once the wallet is connected, we need to create a trading account and deposit the collateral. The account is created by clicking on the green button “Create trading account” and the deposit via “Deposit collateral”.

Bonfida - Audaces Perperps - Trading accountBonfida - Audaces Perperps - Trading account

After choosing the amount of USDC that will make up the account’s collateral, you need to approve the transaction.

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Bonfida - Audaces Perperps - Dépôt du collatéralBonfida - Audaces Perperps - Dépôt du collatéral

When the trade is confirmed, the corresponding notifications will appear in the bottom right corner of the page and the amount of USDC deposited will be updated. It is finally possible to place orders!

Bonfida - Audaces Perperps - Dépôt du collatéral effectuéBonfida - Audaces Perperps - Dépôt du collatéral effectué

Placing on-chain trading orders through the Bonfida DEX interface

For the moment, the interface only offers buy and sell orders at market prices. The leverage offered is up to 15. Of course, using leverage increases the risk of liquidating the position.

The order box is located at the top right of the trading interface.

Audaces Perps: Bonfida's perpetual contracts in practiceAudaces Perps: Bonfida's perpetual contracts in practice

In this example, the order is for a long (upward) position on the ether (ETH). The position size is 0.16 ETH, which is a value of 450 USDC. The leverage used is 2 with a collateral of 250 USDC. The interface shows the liquidation price (in

In our example, 1483 USDC).

The slippage

is the estimated variation between the indicated entry price (2816.5 USDC at the market) and the price at which the order can be executed. This value here is 0.039%, which is very good (just over 1 USDC).

After reading the margin trading

warning, the Buy/Long button is used to take a position. The position then appears in the corresponding tab at the bottom of the interface. Audaces Perps: Bonfida's perpetual contracts in practiceAudaces Perps: Bonfida's perpetual contracts in practiceA long on ETH/USDC right on the resistance line of the ascending triangle at $2821.

Editing a position

It is possible to edit the position or close it at any time. The light blue “Edit” button allows you to change its size and the associated collateral.

Audaces Perps trading interface decrease position size<img width=”491″ height=”547″ src=”https://journalducoin-com.exactdn.com/wp-content/uploads/2021/08/Bonfida-Audaces-Perpetuals-Interface-de-trading-Editer-une-position.jpg?strip=all&lossy=1&quality=66&ssl=1 491w, https://journalducoin-com.exactdn.com/wp-content/uploads/2021/08/Bonfida-Audaces-Perpetuals-Interface-de-trading-Editer-une-position-211×235.jpg?strip=all&lossy=1&quality=66&ssl=1 211w, https://journalducoin-com.exactdn.com/wp-content/uploads/2021/08/Bonfida-Audaces-Perpetuals-Interface-de-trading-Editer-une-position-135×150.jpg?strip=all&lossy=1&quality=66&ssl=1 135w, https://journalducoin-com.exactdn.com/wp-content/uploads/2021/08/Bonfida-Audaces-Perpetuals-Interface-de-trading-Editer-une-position.jpg?strip=all&lossy=1&quality=66&w=384&ssl=1 384w” alt=”Audaces Perps trading interface decrease position size” />Decreasingposition size decreases leverage

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So it is possible to decrease the position size on the fly (reduce leverage) or increase it. The same is true for the collateral, which can be reduced or increased. Changing the position size will therefore affect the leverage of your collateral

. Audaces Perps trading interface remove collateralAudaces Perps trading interface remove collateralDecreasing the collateral associated with the position increases the leverage

Audaces Perps, the arrival of decentralized margin trading on Solana made in Bonfida

Once

again, the development teams of Bonfida and Audaces Foundation, supported by Alameda Research, Three Arrows Capital and many other VCs and investment funds, have delivered an amazing product

.

The volume traded since the inception of the DEX Audaces Perps on July 21 is approximately $8 million. The performance is good: the speed of execution of orders is disconcerting for a decentralized exchange platform, thanks to Solana. Slippage

is low, the interface is intuitive and easy to use, and includes a Trading View module.

You should not hesitate to test the platform

if you are a fan of the Solana ecosystem, while keeping the usual precautions, of course: the Audaces protocol is very young. It will be put to the test by time and volumes! Of course,

be careful with leverage, as Bonfida’s platform does not allow for programmed triggering orders

.

Trading perpetual contracts on blockchain is experimental, as is decentralized finance. These new algorithms are complex, and may have flaws. Do your own research before investing!

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