To open a margin position, go to the Nolus app and connect your non-custodial wallet, such as Keplr or Leap. Open the Margin section from the left-hand navigation, then click Open Position.
Configuring the position
You are taken to a form where you set up the position.
Choose the position type: Long (Buy) if you expect the asset to rise, or Short (Sell) if you expect it to fall.
Select the asset you are putting up as collateral, for example USDC (Noble). Your available balance is shown, and you enter the amount you want to commit as your deposit.
Choose the asset you want exposure to, for example OSMO, from the dropdown menu.
Adjust the leverage slider to set the position size, which determines how much you borrow on top of your collateral.
As you change the parameters, the transaction details update in real time: total position size, estimated interest, liquidation trigger and price.
Long positions are denominated in native USDC (Noble). Short positions are available for BTC and OSMO.
Confirming
If everything looks right, click Open Position and confirm the transaction in your wallet. Processing takes around two minutes.
What happens behind the scenes
The protocol first creates an Interchain Account, which establishes a secure execution channel. Your collateral and the borrowed funds are then transferred to the Osmosis DEX. For a long position, the borrowed funds are used to buy the asset you chose. For a short position, the borrowed asset is sold for USDC.
Once the transaction confirms, your position is live and visible in the Margin section of the app.