# zkDX Trading Guide

zkDX is a decentralized derivatives protocol of liquidity mode, which supports [traders](#how-to-be-a-trader) and [LPs](#how-to-be-a-lp) (Liquidity Providers) act as counterparties to each other. You have the option to become a trader and earn profits from trading perpetual contracts. Alternatively, you can choose to become an LP and earn profits from the losses incurred by traders. 

## **How to be a trader?**

As a trader, you only need a minimum of $30 to open a position with leverages on zkDX. Here are the steps for trading:

### Step 1: Connect Your Wallet

Visit the [dapp of zkDX](https://app.zkdx.io/trade). Click “Connect Wallet” and link your wallet to the website.

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### Step 2: Switch Networks

Click the network icon in the top right corner and switch to L2 network. Here we use “zkLink Nova Mainnet Live” as example

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### Step 3: Prepare Assets

On the zkLink Nova, you need to use ETH to pay gas fees, and you need to prepare $USDC for subsequent transactions. It is recommended to have at least $30 USDC in your wallet.

### Step 4: Swap $USDC to $ZUSD

Before initiating any trades, you need to swap $USDC to $ZUSD.

Click “USDC ⇆ ZUSD” to to enter the [Swap Page](https://app.zkdx.io/exchange). Enter the amount of $USDC you want to exchange for, recommended to be no less than 30 $USDC.

The swap is bidirectional, you can swap $ZUSD back to the same amount of $USDC at any time.

<figure><img src="https://2281767533-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FsoIQVQBkCFvxWDwup4iD%2Fuploads%2FeI4KtTHARxkVE4Pjg06A%2F%E6%88%AA%E5%B1%8F2024-06-21%2014.01.56.png?alt=media&#x26;token=f9ea68f0-28d4-45f1-a67f-27c30eca3839" alt=""><figcaption></figcaption></figure>

<figure><img src="https://2281767533-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FsoIQVQBkCFvxWDwup4iD%2Fuploads%2FeI4KtTHARxkVE4Pjg06A%2F%E6%88%AA%E5%B1%8F2024-06-21%2014.01.56.png?alt=media&#x26;token=f9ea68f0-28d4-45f1-a67f-27c30eca3839" alt=""><figcaption></figcaption></figure>

### Step 5: Open a Position

Click “[Trade](https://app.zkdx.io/trade)” to enter the trading page. Choose a trading pair (e.g., ETH/USD), input the $ZUSD amount and open a position of “Long” or “Short”. Ensure you have a minimum of 30 $ZUSD to open a position, set leverage, and confirm the opening of a position.

<figure><img src="https://2281767533-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FsoIQVQBkCFvxWDwup4iD%2Fuploads%2FEKthBz6pFENGF141rXU4%2F%E6%88%AA%E5%B1%8F2024-06-21%2014.09.11.png?alt=media&#x26;token=0b00302e-b3d1-49aa-bd52-e6a67e579d79" alt=""><figcaption></figcaption></figure>

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### Step 6: Check Your Position

View your current positions in the “Positions” section.

<figure><img src="https://cdn-images-1.medium.com/max/800/1*6mEz6Q5buQllfxGsi27lTw.png" alt=""><figcaption></figcaption></figure>

## How to be a LP?

**Enter the page of LP:** [**Tokenomics**](https://app.zkdx.io/buy) **->** [**$ZKLP**](https://app.zkdx.io/buy_zklp) **or** [**$ZKHLP**](https://app.zkdx.io/buy_zkhlp)

<figure><img src="https://cdn-images-1.medium.com/max/800/1*EZvzzSxHMnBj6xudEuL-wA.png" alt=""><figcaption></figcaption></figure>

### **Buy/Sell $ZKLP** or $ZKHLP **Token**&#x20;

Currently, zkDX offer two types of LP token: $ZKLP and $ZKHLP

$ZKLP: Buy $ZKLP means provide liquidity for perpetual contract trading of mainstream coins such as BTC and ETH.

$ZKHLP: Buy $ZKHLP ZKHLP means provide liquidity for perpetual contracts trading of highly volatile assets, such as memecoins.

Please noted that if the traders incur losses during trading, the price of $ZKLP will rise. Conversely, if the traders generate profits, the price of $ZKLP will decrease. By buying or selling $ZKLP, the LPs will result in profits or losses.

<figure><img src="https://2281767533-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FsoIQVQBkCFvxWDwup4iD%2Fuploads%2FBesd8RYbwrxo0YxHPXNX%2F%E6%88%AA%E5%B1%8F2024-06-21%2014.04.27.png?alt=media&#x26;token=e977dcd3-7eb4-4665-bdf0-75191c5d5856" alt=""><figcaption></figcaption></figure>

<figure><img src="https://2281767533-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FsoIQVQBkCFvxWDwup4iD%2Fuploads%2FBPKYlTATkDA5k3fE6YHE%2F%E6%88%AA%E5%B1%8F2024-06-21%2014.04.32.png?alt=media&#x26;token=2ce306d6-e673-48c4-9868-28b37cdc31fc" alt=""><figcaption></figcaption></figure>