Explain to me like I'm six

"If you can't explain it to a six-year-old, you probably don't understand it yourself." Albert Einstein

1- Ethereum (ETH) is a cryptocurrency (six years old need to know that these days already)

2- ETH is traded in dollars: If I buy 1 ETH at $600 and sell it at $601, I have 1$ profit.

3- Some exchanges charge fees. If you buy 1ETH for $600 and sell 1ETH for$601 in Uniswap you will not profit, because you gonna pay something like $5 to $15 in fees.

4- Other exchanges charge less fee. Some derivative exchanges, like Bybit PAY fees to us, as long we provide liquidity for them (using limit entries). 5- OvOa concept, get the funds from Uniswap investors, send it to Bybit, and trade there.

6- It uses an algorithm, it's a programmed robot that makes several hundreds of small trades 24/7 so the profits pile up quickly, especially if the price goes up and down a lot - that's called volatility.

7- Once the bybit algorithm accumulated profit it sends that compounded ETH back to Uniswap.

8- There is a buyback, which means, the profit is used to rebuy the OvOa back every day. That makes the price goes up.

9- The investors earn because the price of the token goes steadily up, as long the bybit bot can generate steady profits.

10- There is the normal price variance, but the overall amount of OvOa to ETH available on uniswap aways decrease, as the system is closed. So the price always has an uptrend.

11- Investors can withdraw anytime by selling part or all of their share, by using Uniswap for selling some of the OvOa tokens they have on their Ethereum wallet.

Last updated