What is Volatility Trading?
Volatility trading refers to trading the volatility of a financial instrument rather than trading its price. This allows to increase the asset’s profit or bottom line without having to predict the direction of the market (or the market’s tendency).
Volatility traders do not concern themselves with the direction of price moves, but rather only trade the volatility itself.
Financial markets volatility is what creates the profit potential, which is why investors and traders live by it. The higher the volatility, the higher the risks, but also the higher the returns potential.
The crypto market needs a volatility index that is decentralized and dynamic, capturing the market’s expectation of future volatility. We believe that CVI provides the most reliable DeFi tool suitable for analyzing volatility, hedging portfolios, and earning from being a liquidity provider.
The Crypto Volatility Index is the missing link in crypto trading. It brings a new set of tools to the DeFi space within which you can buy a position as a speculation or as a hedge for your portfolio, become a liquidity provider to earn fees if you feel that volatility will decrease, and earn $GOVI on all of the above.