How does 3m SOFR affect digital asset trading?

1 answers

• May 09, 2022 · 3 years ago
  At BYDFi, we closely monitor the impact of the 3m SOFR on digital asset trading. The 3m SOFR is an important factor that influences borrowing costs and interest rates in the market. Higher 3m SOFR rates can increase the cost of borrowing, which may discourage traders from leveraging their positions. Conversely, lower 3m SOFR rates can make borrowing cheaper, potentially incentivizing traders to take on more leverage. It's important for traders to consider the impact of the 3m SOFR when formulating their trading strategies and managing risk in the digital asset market.
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