With the volatile and practically unpredictable crypto market, it’s hard to stick to traditional trading strategies or rely on technical analysis. If you don’t arm yourself with trading algorithms, stop-loss tools and a bunch of limit orders made on several exchanges, it’s easy to fall victim to an abrupt Bitcoin price drop that traditionally drags down the whole market along with it.
The good news is that the market is constantly evolving, and new and interesting tools, products and services appear to fill the demand gaps. Today we’re going to tell you about one such solution – the first and only of its kind, an investable token corresponding to a crypto anti-index ‘Short LyCI’.
ShortLyCI means Lykke Crypto Index for shorting, it is available on Lykke Exchange. For those of you who are not sure of what shorting actually is, let us give you an example: imagine you figured out that Bitcoin is about to go down in price. You borrow 1 Bitcoin and sell it for 9000 USD and as soon as the price drops to 7000 USD, you buy back exactly 1 Bitcoin to return it to the lender. But now you’ve spent only 7000 USD, so you have 2000 left. This is the money that you earn by shorting.
So, Short LyCI is a tool to use when you expect the market to go down.
This is a utility ERC20 token that you can purchase and sell. However, its price does not depend on the supply and demand, but on the performance of Short LyCI index constituents. Since this is an ‘anti-index’, its price grows when the price of the underlying assets (Bitcoin and 25 other cryptos) falls. To give you another example, imagine that you bought 1 Short LyCI when the Bitcoin price was 10000 USD. Then Bitcoin dropped to 5000 USD overnight. You wake up and realize that now you have approximately 2 Short LyCIs. If you sell them, you get twice as much as their original price. Isn’t it an ideal token to be protected against the crypto bears?
On Black Friday and for the week after it, you can try this new crypto token by getting a reward for registering on Lykke Exchange.
To better understand the innovative nature of Short LyCI, you should learn more about Lykke Exchange. Lykke is a Swiss-based exchange that positions itself as a compliance-oriented fintech company offering its clients a truly human level of support and innovative financial products.
These products come out of the Financial Innovation team’s effort and research. Lykke’s CEO Richard Olsen is a research pioneer in the field of High-Frequency Finance with a large list of publications. Other team members are Ph.D. holders and professional researchers. Last year the company issued another revolutionary investable token corresponding to a crypto index – LyCI. This index tracks the performance of the top 25 crypto assets and indicates the trend on the market as a whole. Short LyCI is exactly the opposite of LyCI.
So, whatever you are – a bull or a bear, you are always golden!
The utility tokens corresponding to the indexes are currently available only on Lykke Exchange in pairs with EURO, GBP and CHF. To purchase the tokens download the app, get registered and check out the Terms and Conditions.
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