The hedge book

Every backed coin's pool is margin on a real market. The hedge book is that, added up — the account all the pairings amount to, stated the way an exchange states one.

It is public, at /hedge.

One position per tracker, not per coin

A tracker carries a single position, and the tracker's vault is the account that holds it on Nado, Ink's order-book perpetuals exchange — one vault address, one Nado subaccount, one market. Every coin bonded onto NVDAx5 puts its backing behind the same Nvidia exposure, so the book sums their backing before it computes anything:

margin(u)   = sum of the backing of every coin on tracker u
size(u)     = margin(u) · leverage / entry
notional(u) = size(u) · mark
PnL(u)      = size(u) · (mark − entry) · (+1 long, −1 short)

Each row opens to show which coins are behind it and what share of the position each one owns — split pro rata on backing, because a pooled position carrying one averaged entry has no other honest way to attribute itself.

What each column means

The account behind each row

Each tracker's vault is its own Nado account. The vault deposits its USDT0 into its own subaccount — the vault's address followed by the name default — and the keeper trades that subaccount through a key the vault links as its signer. The venue decides what that key may do: place and cancel orders, and withdraw, but only back to the vault. It cannot send the collateral anywhere else.

The account is cross-margined: one USDT0 balance backs the position, and leverage is simply notional divided by equity. Keeping the multiple is therefore a matter of trading the difference — when the position gains, the keeper buys a little more; when it loses, it sells a little down — rather than closing and reopening anything.

Liquidation

Nado liquidates an account when its maintenance health falls below zero: the USDT0 in the account plus the position valued at the market's maintenance weight. With E the entry, L the leverage and w the maintenance weight (a little under 1 for a long, a little over 1 for a short), a single position reaches that point at:

long    P_liq = E · (1 − 1/L) / w_long
short   P_liq = E · (1 + 1/L) / w_short

The size cancels out entirely, which is why a leg's liquidation depends only on its entry, its leverage and its market — and why adding backing at a new mark moves it, through the averaged entry.

These are moves from entry before funding and fees, for a position nobody rebalances. The keeper de-levers long before that point, at any hour.

Why the account leverage is not exactly the stated multiple

Notional is divided by equity, and equity moves with unrealised PnL. A book losing money carries more leverage than it opened with, and the number goes up — which is precisely the thing worth seeing. A book showing a flat 5× through a drawdown would be hiding it.

Checking an account yourself

The book is checkable against the venue directly, because the account is the vault:

LTVault.hedgeSubaccount()                → the vault's Nado account id (vault address ++ "default")
LTVault.hedgeQuoteBalanceX18()           → its USDT0 on the venue, read from Nado's engine on chain
LTVault.hedgePerpBalanceX18(productId)   → its position on the market, read the same way
LTFactory.venueRouting(lt)               → (productId, trader) — the trader is the vault itself

Nado's public gateway serves the same account from the venue's side, with no key: https://gateway.prod.nado.xyz/v1/query?type=subaccount_info&subaccount=<account id> returns its balances and health, and …/query?type=linked_signer&subaccount=<account id> shows the one key allowed to trade it (send an Accept-Encoding: gzip header). The hedge book lists every vault's account id for copying and links each vault on Ink Explorer.

Live, and honestly so

Marks are Nado's oracle price, refreshed every few seconds, so the book moves as the market moves. The positions themselves — margin, size, entry — are re-read from the chain every few seconds, because they only change when someone trades a coin.

Stocks, indices and commodities trade around the clock on Nado — priced from Pyth during market hours and from a median of other round-the-clock venues outside them — so the book keeps marking through nights and weekends. A market the venue pauses cannot be resized until it resumes. When a market the venue cannot quote appears, its leg says so and is left out of the totals rather than counted as flat. An unknown price is not a zero.