A beginner's guide

Your first leveraged trade, the safe way

Never traded perpetuals before? You're in the right place. This is a step-by-step walkthrough — from getting a wallet to closing your first position. No jargon, no liquidations, no fear of losing more than you put in.

8 minute read No prior crypto experience needed
In this guide
01 · The basics

What is leverage trading?

Leverage means borrowing money to make a bigger bet than your own cash allows. If you have $100 and you use 10× leverage, you're controlling a $1,000 position. When the price goes up 10%, your $1,000 position becomes $1,100 — and that $100 gain goes back to you on top of your original $100. You doubled your money on a 10% price move.

That's the upside. The downside: if the price drops 10%, your $1,000 position is now worth $900. You're down $100 — your entire stake.

On most exchanges it gets worse. The moment your losses approach your collateral, the exchange auto-closes (“liquidates”) your trade to recover its money. You don't get to wait for the price to recover. That's how millions of dollars in collateral evaporate during a flash crash that lasts five minutes.

The traditional perps trapYou can be right about a trade and still lose everything — because you got liquidated during a brief wick before the price recovered.
02 · The difference

Why AlphaDEX is different

AlphaDEX changes one rule, and that rule changes everything: there are no liquidations. Your position can't be force-closed for losses — not by the protocol, not by a keeper, not by anyone. It closes only when you close it, or automatically at the expiry time you chose when you opened it. Whatever the price does in between, your trade survives until then.

The maximum you can ever lose is the collateral you put in. Not 10% more, not 1% more — exactly your collateral, plus the two small protocol fees (5 basis points at open + 5 basis points at close, both 0.05% on position size). Calculated up front, before you even confirm the trade.

How does that work? Behind the scenes, AlphaDEX borrows from a pool of liquidity providers (LPs) to fund the leveraged portion of your trade. If the trade goes catastrophically wrong, the LPs absorb the loss beyond your collateral. In exchange, when you make a profit, the LPs take a share of it — the exact percentage depends on your leverage, duration, and the asset you're trading, and it's always shown on the trade screen before you confirm. It's a fair trade: they take the tail risk so you don't have to.

The mental modelYour collateral is your worst-case loss. Every other trading platform asks you to monitor charts and hope you don't get caught in a wick. AlphaDEX lets you set a position and walk away.
03 · Before you start

What you'll need

Three things. None of them require an account, signup, or KYC. But the second and third are two different tokens, doing two different jobs — this trips up almost every beginner, so read carefully.

USDC must be the Solana versionUSDC exists on many blockchains — Ethereum, BSC, Polygon, Arbitrum, Solana, and more. They look identical on an exchange, but they are different tokens that cannot be used interchangeably. AlphaDEX runs on Solana, so it can only see USDC on Solana. If you accidentally send Ethereum USDC to your Phantom address, the funds will not arrive (or worse, will be lost forever). Whenever an exchange asks you which network to use, the answer is always Solana.
Beginner ruleOnly put in what you can afford to never see again. Not because AlphaDEX is risky — but because you're learning, and learners make mistakes. A $50 mistake is a great teacher. A $5,000 one is a bad one.
Step 01

Get a Solana wallet

Head to phantom.app and install the wallet for your browser, or grab the mobile app. When you create a new wallet, Phantom will give you a 12-word seed phrase. Write it down on paper and put it somewhere only you can find — not in a screenshot, not in your email, not in a notes app that syncs to the cloud.

That phrase IS your wallet. Anyone who has it owns everything inside.

Never share your seed phraseNot with support staff. Not with friends. Not with a website that asks you to "verify" it. Not with anyone, ever. Phantom will never ask for it after the initial setup. If anything ever asks you to type it in, it's a scam.
Step 02

Fund your wallet

You need two things in your wallet: a little SOL (for network fees) and some USDC (for your trade). Two ways to get them in:

Option A — Buy directly in Phantom

Phantom has a built-in Buy button. Pick SOL or USDC, pay with a debit card. Quick and easy. Slightly higher fees than going through an exchange, but for a $50 trade, the difference is pocket change.

Option B — From an exchange

Buy SOL and USDC on Coinbase, Binance, Kraken, or any exchange you already use. Then withdraw both to your Phantom wallet's Solana address (you'll find it at the top of Phantom). When the exchange asks which network to use, pick Solana. Withdrawals usually arrive in under a minute.

Pick the right networkIf you accidentally withdraw to a different network (Ethereum, BSC, etc.), the funds are gone. Always select Solana when withdrawing to a Phantom address. Send a small test amount first if you're nervous.
Step 03

Connect to AlphaDEX

In the same browser where Phantom is installed, visit app.alphadex.cc. Click Connect Wallet in the top-right corner. Phantom will pop up and ask you to approve the connection. Confirm it. You're in.

You won't need to sign anything else just to look around — signatures are only required when you actually open or close a trade. Browsing is free and silent.

Step 04

Pick an asset

AlphaDEX supports two kinds of assets:

Each asset has its own maximum leverage cap, and the cap depends on two things: how volatile the asset is, and how long you're holding the position. Less volatile assets on shorter durations get the highest leverage. The protocol enforces the cap on-chain — you can't accidentally over-leverage.

A few examples of the current max leverage matrix:

The full matrix is visible in the app when you pick an asset — change the duration slider and you'll watch the max leverage update. These limits are enforced by the smart contract, not just the UI, so you can't accidentally over-leverage.

Trade what you understandDon't pick an asset because someone on Twitter is loud about it. Pick something where you have a real reason to think it'll move — an earnings report, a product launch, a macro view. That's how you learn.
We just launchedAlphaDEX is brand new. The current list is our launch set, and we're adding more assets actively — more crypto pairs, more tokenized stocks, eventually commodities and forex. If there's something you want to trade that isn't there yet, tell us on X. Most of our roadmap comes from user requests.
Step 05

Set your leverage

Leverage is just a multiplier. The minimum on AlphaDEX is — your position is twice your collateral. At 10× your position is ten times your collateral. The upper limit depends on the asset and duration you chose in the previous steps — the protocol's current maximum is 40×, and that's only available on SPYx (S&P 500) held for 1 day. QQQx 1 day tops out at 29×, GOOGLx at 27×, BTC at 20×, SOL at 10×. The rest cap lower still.

The math, on $100 collateral:

Price moves
10×
+5%
+$10
+$25
+$50
+10%
+$20
+$50
+$100
−5%
−$10
−$25
−$50
−10%
−$20
−$50
−$100 (max)

Higher leverage = bigger gains AND bigger losses. The “max loss” column is bounded by your collateral — you can't lose more than that. But you can lose all of it on a bad move.

Beginner adviceStart at 2× or 3×. The gains are smaller, but so are the losses, and you'll get a feel for how the platform behaves before you push it. You can always increase leverage on your next trade once you understand the rhythm.
Step 06

Choose a duration

Every AlphaDEX position has a fixed duration. You pick one of: 1, 3, 7, 14, or 30 days. After that, the position automatically closes at whatever the market price is at expiry.

Why fixed durations? Because that's exactly how AlphaDEX can guarantee no liquidations. The LP pool funding your leverage needs to know when its capital comes back so it can price the risk correctly. In exchange, you get a real timeline rather than open-ended exposure.

Rules of thumb

You can close early at any time. The duration is just the deadline — not a lock-in.

Step 07

Open your position

On the trade page, you'll set three things:

  1. Collateral — the amount of USDC you're putting in
  2. Leverage — the multiplier (within the cap for your chosen asset)
  3. Duration — how long the position runs

The interface will show you, in real time:

Read those numbers carefully before you click anything. If the max loss is more than you're comfortable with, lower your collateral or your leverage until it isn't.

When you're ready, hit Open Position and approve the transaction in Phantom. AlphaDEX swaps your USDC into the actual asset via Jupiter (the largest DEX aggregator on Solana) and your position is live. You'll see it appear in your portfolio within a few seconds.

Step 08

Monitor & close

Open positions appear in the Portfolio tab. For each one you'll see:

You have two ways out:

Close manually

Hit the Close button anytime before expiry. The protocol sells the asset back to USDC via Jupiter, calculates the profit share if you're in profit, and credits the result to your wallet. Done in seconds.

Let it expire

Just leave it. At the duration you chose, the protocol auto-closes the position at the prevailing market price. You don't need to be online or do anything — it just shows up in your wallet.

You don't have to babysit itThe reason fixed durations exist is so you don't need to live in front of the chart. Set the trade, walk away, do other things with your day. The protocol will handle the rest.
12 · Putting it together

A worked example

Let's run through a real trade with real numbers, so you can see what the screen will tell you and what shows up in your wallet at the end.

You decide to trade SOL. You're moderately bullish for the next week. You go with:

Your trade setup

$100 collateral · 5× leverage · 7 days · SOL
Collateral (your USDC)
$100.00
Leverage
(current cap for SOL 7d)
Position size
$500.00
Open fee (5 bps)
$0.25
Close fee (5 bps of close value)
~$0.25
Duration
7 days
Worst case loss
~−$100.50

Now imagine SOL goes up 10% during that week. Your $500 position is now worth $550 — a $50 gain on a 10% move, because of the 5× leverage.

Best case — SOL +10%

Position value at close
$550.00
Raw profit
+$50.00
LP profit share (10.38% for SOL at 5×/7d)
−$5.19
Close fee (5 bps of $550)
−$0.28
Your net profit
+$44.53
Returned to your wallet
$144.53

You started with $100, ended with $144.53. That's ~+44% in a week on a 10% price move. Leverage working in your favor. The LP profit share on SOL at 5×/7d is 10.38% of your profit — SOL is volatile enough that the LP only needs a modest slice of winning trades to hit their target return. Less volatile assets have very different numbers: SPYx profit share runs from about 12% at 1 day up to over 67% at 30 days, because small moves need a bigger cut. You'll see the exact number on the trade screen before you confirm.

But trades don't always go your way. Imagine SOL instead drops 10% during your 7 days — a real move, but nothing catastrophic:

Partial loss — SOL −10%

Position value at close
$450.00
Raw loss
−$50.00
Your share of loss
−$50.00
LP pool absorbs
$0.00
Close fee (5 bps of $450)
−$0.23
Returned to your wallet
$49.77

You lost about half your collateral, but the other half is still yours. Because the loss stayed within what you put in, the LP pool didn't need to absorb anything — their capital is untouched, no profit share, nothing. This is by far the most common losing outcome: a partial loss, not a wipeout. On a traditional perps exchange at 5× leverage, a 10% drop would have already liquidated you — the entire $100 gone, no chance to recover even if the price bounced back.

And now the worst case. Imagine SOL crashes 30% during your 7 days. On a traditional exchange you'd have been liquidated many times over long before the bottom. On AlphaDEX, your position survives until the duration ends. Here's what happens at expiry:

Worst case — SOL −30%

Position value at close
$350.00
Raw loss
−$150.00
Your portion of loss (capped)
−$100.00
LP pool absorbs the rest
~−$50
Returned to your wallet
$0.00

You lost your $100 collateral (and the open + close fees you already paid). Not a penny more. The LP pool ate the excess loss because that's what they signed up for. You walk away poorer but whole — no cascading liquidation, no margin call, no surprise debt.

13 · Bonus

Points for traders and LPs

On top of profit and loss, AlphaDEX runs a points program. There are three ways to earn:

You can see your running totals — trading, LP, and referrals broken out separately — in the Points tab inside the app.

Verify your wallet firstTo participate in the points program — and especially to generate a referral link or claim referral rewards — you need to verify your wallet inside the Points tab. It's a one-time free signature from Phantom (no on-chain transaction, no gas, no risk) that proves you own the wallet. Without verification, your points won't accrue and your referral link won't work.
Free upsideYour first trade already earns points. So does your friend's. And if you referred them, you get a cut of their points on top of your own.
14 · Common questions

Frequently asked

Can I lose more than my collateral?

No. Ever. Your maximum loss is your collateral plus the two protocol fees — 5 bps (0.05%) at open on your position size, and 5 bps at close on the close value. Calculated up front, displayed on the trade screen, enforced by the smart contract. There is no scenario where you owe AlphaDEX additional money.

What if the price crashes during my position?

Your position survives until expiry. The protocol cannot force-close you for losses — only your chosen expiry time can close the position automatically. If the price recovers before then, you recover with it. If it hasn't recovered when the duration ends, you lose up to your collateral (never more) and the position closes itself.

This is the entire point of AlphaDEX: you can ride out flash crashes that would have liquidated you anywhere else.

Why is there a profit share with the LPs?

Because the LPs are taking on real risk. Their pool funds the leveraged portion of every trade, and when a trade goes catastrophically wrong, they absorb the loss beyond your collateral. The profit share is how they get compensated for that risk.

The exact percentage depends on three things: your leverage, your duration, and the asset you're trading — you'll always see it on the trade screen before you confirm. Higher leverage, longer durations, and more volatile assets all translate to a bigger profit share, because they mean more risk sitting on the LP pool.

How do I know the price is fair?

AlphaDEX uses Pyth oracle prices. Pyth aggregates real-time price feeds from major exchanges (Binance, Coinbase, Jane Street, etc.) and publishes them on-chain. Your entry and exit prices come from Pyth, not from AlphaDEX itself. The protocol can't manipulate the price against you.

For tokenized stocks, Pyth uses real US stock market prices, refreshed during US market hours.

What about overnight fees, funding rates, interest?

None of those exist on AlphaDEX. There are exactly two protocol fees: 5 basis points (0.05%) at open on your position size, and 5 basis points (0.05%) at close on the close value. Both go to the protocol treasury, not the LP pool. After those, the only other cost is the LP profit share, which only applies if you come out ahead and is deducted from your profit (never from your collateral). No funding rates, no interest, no overnight charges, no hidden costs.

Can I close early, or am I locked in for the full duration?

You can close at any time. The duration is the latest possible exit, not a minimum. If you opened a 30-day position and the price moves your way overnight, you can close in profit the next morning.

Is this safe? Has the code been audited?

The smart contracts are open source and audited. That said, every protocol has risk — smart contract bugs, oracle issues, market events nobody anticipated. Rule one of crypto applies here as everywhere else: only put in what you can afford to lose, and never trust your life savings to any single platform.

Do I need to sign up or KYC?

No. AlphaDEX is non-custodial. There's no account, no email, no KYC, no password. You connect a wallet and trade. The wallet is your identity. Disconnect when you're done.

What happens if I forget about my position and let it expire?

Nothing bad. At expiry, the protocol automatically closes the position at the market price and credits your wallet with the result — profit or loss. You don't need to be online. You don't need to remember. The position just ends.

15 · Stuck?

Where to get help

Three places, in order of usefulness:

You're ready

Open your first position

Start small. 2× or 3× leverage, $50 collateral, 7-day duration. Treat it as a paid lesson. The next trade will feel easier.

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