This looks like an excellent time to exit my $LUNA short position, as I sold at 89¢ $USK and it's now trading at 80.6¢ $USK.
This short couldn't have gone better.
So! How do I close the short?
- I draw-down some of the collateral from Ghost
- With that, I buy $LUNA. Cheapest now is on Terra @astroport_fi, so I bridge the funds to Terra, buy the $LUNA, and bridge the $LUNA back to @TeamKujira
- With that $LUNA, I pay-off the borrow.
How much did I make off the short?
That's hard to nail down, because I wasn't trading in $USK. No, I had a $LUNA-borrow against $axlUSDC-collateral.
BUT! I did sell 66.149 $LUNA at 0.899 $USK and just bought back at 0.805 $USK.
That makes a tidy net sum of 7.295 $USK. YAY! 🎉
For those of you doing the math long-hand, you're saying: "No, that's not right."
I'm also factoring in the 1.172x leverage on the short position, as my borrow leveraged additional $LUNA-borrow.
Now, 7 $USK may not look like much, but consider this. This was a short on 200 $axlUSDC collateral, or 61 (borrowed) $LUNA
Closing the short gained me 12% ROI, annualized to 224% APR. AND! it was a good learning experience.
I argue that shorting $LUNA turned out pretty well!
Do I want to short $LUNA again like this?
Hm.
So, it's 7 $USK made off of 200 $axlUSDC (224% APR).
I can do better by arb'n the $axlUSDC directly.
When @TeamKujira comes out with shorts on FIN, I'll take another look at this.
No comments:
Post a Comment