Glossary
Key terms used throughout the Atlas documentation.
Trading
| Term | Definition |
|---|---|
| Perpetual contract | A derivative that lets you trade an asset's price with leverage, without an expiry date |
| Long | A position that profits when the price goes up |
| Short | A position that profits when the price goes down |
| Leverage | A multiplier on your position size. 5x leverage means your $10 controls a $50 position |
| Collateral | The stablecoins you deposit to open a position. This is your maximum loss (before fees) |
| Position size | Collateral × Leverage. Determines your exposure and PnL |
| Entry price | The oracle price at which your position was opened |
| Liquidation price | The price at which your position will be automatically closed to prevent bad debt |
| PnL | Profit and Loss. The unrealized gain or loss on your open position |
| Take-Profit (TP) | A price level at which your position is automatically closed for profit |
| Stop-Loss (SL) | A price level at which your position is automatically closed to limit loss |
| Market order | An order executed at the current oracle price |
| Limit order | An order that only executes when the price reaches a specified level |
Liquidity
| Term | Definition |
|---|---|
| Vault | The shared liquidity pool that serves as counterparty to all trades |
| LP (Liquidity Provider) | Someone who deposits stablecoins into the Vault to earn fees |
| LP Token | A token representing your share of the Vault's total liquidity |
| Borrow fee | A fee charged to traders for borrowing liquidity from the Vault. Paid to LPs |
| Trading fee | A fee charged when opening a position. Sent to the protocol treasury |
| Reserved liquidity | Vault liquidity locked to back open positions |
| Utilization | The ratio of reserved liquidity to total liquidity |
Staking
| Term | Definition |
|---|---|
| $ATLAS | The native utility token of the Atlas protocol |
| Epoch | A Cardano time period (~5 days on Mainnet; testnet epochs may be shortened by Atlas configuration for testing). Staking rewards are distributed per epoch |
| Maturation | The waiting period after staking before you start earning rewards |
| Burn | A percentage of tokens destroyed when unstaking, reducing total supply |
| Pending | A stake that hasn't matured yet. Higher burn rate on unstaking |
| Active | A matured stake that earns rewards. Lower burn rate on unstaking |