Traders

Split lets you take a leveraged directional view on ETH where your maximum loss is the premium you pay. You pick a side, UP if you think ETH rises or DOWN if you think it falls, choose a leverage tile, and confirm. No liquidation, no funding. You can close any time, and the position resolves at an expiry.

Under the hood each position is an on-chain option: UP is a call, DOWN is a put. You never have to think in options jargon to trade, but the precise terms are here when you want them.

Start here

1. What is Split (vs perps), the mental model in 2 minutes.
2. Open UP (call), your first bullish trade, one signature.
3. Open DOWN (put), the bearish trade.
4. Close early, lock P&L before expiry.
5. Auto-exercise at expiry, winning UP positions settle themselves.
6. Read a position, leverage, breakeven, max loss, hedge vs punt.

The three pillars

Pillar	What it means
No liquidation	Your position can never be force closed. A wick against you does not wipe you. You only resolve at expiry, and only down to the premium.
Capped loss	The premium you pay is your max loss. Always. Known before you click buy.
Theta replaces funding	Instead of a perpetual funding rate, you pay time value once, up front, inside the premium.

Key terms

• UP (call): you profit if ETH rises. The long side, collateralized by WETH.
• DOWN (put): you profit if ETH falls. The short side, collateralized by USDC.
• Premium: what you pay, and your max loss.
• Leverage: your exposure per dollar of premium. In the app you pick it from a tile (for example 21x, 58x, 137x).
• Strike: the price your payoff is measured against (under Advanced in the app).
• Breakeven: strike plus premium for UP, strike minus premium for DOWN.
• N: the position token you own, the leg that pays off.

  CALL payoff at expiry                    PUT payoff at expiry
  P/L                                      P/L
   │                 ___/                   │ \___
   │              __/                       │     \___
 0 ├───────────●━━━━──────▶ ETH          0 ├──────────━━━━●───────▶ ETH
   │      premium  breakeven                │  breakeven  premium
   │ (max loss) strike                      │        strike (max loss)

WARNING

Positions expire. If your trade finishes out of the money at expiry it is worth $0 and you lose the premium. That is the capped loss trade. Manage your positions or let winning UP positions auto-exercise on Base.