> ## Documentation Index
> Fetch the complete documentation index at: https://docs-staging.centuari.finance/llms.txt
> Use this file to discover all available pages before exploring further.

# Trade Positions

> Exit lending positions early by trading CBT

## Overview

CBT is fully tradeable. If you need liquidity before maturity, sell your CBT on the order book instead of waiting for redemption.

## Why Trade Positions?

Common reasons for early exit:

* Need liquidity unexpectedly
* Better opportunities elsewhere
* Market rates increased (want to re-lend higher)
* Changing investment strategy

## Exit Options

### Limit Order Sale

Set your desired price and wait for a buyer.

<Steps>
  <Step title="Access Position">
    Go to your position in the dashboard
  </Step>

  <Step title="Click 'Sell CBT'">
    Select limit order option
  </Step>

  <Step title="Set Price">
    Enter minimum acceptable price per CBT

    <Info>
      View theoretical fair value and current market bids to inform your price.
    </Info>
  </Step>

  <Step title="Submit">
    Order enters the book
  </Step>

  <Step title="Wait for Match">
    Receive stablecoins when buyer matches
  </Step>
</Steps>

**Pros**: Control over exit price
**Cons**: May take time to fill

### Market Order Sale

Exit instantly at current market price.

<Steps>
  <Step title="Access Position">
    Go to your position in the dashboard
  </Step>

  <Step title="Click 'Sell CBT'">
    Select market order option
  </Step>

  <Step title="Review Price">
    See the price you'll receive
  </Step>

  <Step title="Confirm">
    Instant execution
  </Step>
</Steps>

**Pros**: Immediate liquidity
**Cons**: May get worse price in thin markets

## Pricing Your Exit

### Theoretical Value

Fair value based on rate and time remaining:

```
CBT Fair Value = $1 / (1 + Rate × Time Remaining)

Example: 8% APY CBT with 180 days remaining
Fair Value = $1 / (1 + 0.08 × 0.493) = $0.962
```

### Market Price

Actual trading may differ from fair value:

* **High sell pressure**: Price below fair value
* **High buy pressure**: Price at or above fair value
* **Low liquidity**: Wider bid-ask spread

### Checking Before Exit

Before selling, review:

* Theoretical fair value
* Best current bid
* Spread between bid and fair value
* Market depth

## Partial Exits

Sell any portion of your CBT:

```
Your position: 10,000 CBT

Options:
- Sell all 10,000 (full exit)
- Sell 5,000 (50% exit)
- Sell 2,000 (partial exit)

Remaining CBT continues to maturity or can be sold later.
```

## No Collateral Required

<Warning>
  Unlike new borrowers who need collateral, CBT sellers don't need anything extra. The CBT itself is your position.
</Warning>

When you sell CBT, you're transferring your lending position to a new lender. They take over your claim on the borrower's repayment.

## Tax Considerations

<Info>
  Early exit may have different tax treatment than holding to maturity. The gain/loss is realized at sale, not maturity. Consult a tax professional.
</Info>

## Exit Strategies

<Tabs>
  <Tab title="Urgent Exit">
    **Need cash now**

    Use market order. Accept current bid for instant liquidity.

    Cost: Potential 0.5-2% below fair value in normal markets.
  </Tab>

  <Tab title="Patient Exit">
    **No rush**

    Use limit order at fair value or slightly below. May take hours/days.

    Benefit: Maximize exit value.
  </Tab>

  <Tab title="Partial Exit">
    **Need some liquidity**

    Sell portion via market, keep rest earning until maturity.

    Benefit: Balance liquidity with yield.
  </Tab>
</Tabs>

## After Selling

Once your CBT is sold:

* You receive stablecoins in your wallet
* Auto-rollover settings no longer apply (no CBT to roll)
* The buyer inherits the position until maturity

## Example: Early Exit

**Scenario**: You lent \$10,000 at 8% APY for 1 year. After 6 months, you need liquidity.

```
Original:
  Lent: $10,000 USDC
  Received: 10,800 CBT
  Rate: 8% APY
  Maturity: 365 days

At 6 months:
  CBT fair value: ~$0.962
  Position value: 10,800 × $0.962 = $10,390
  Realized gain: $390 (half of expected $800)

Market order exit:
  Best bid: $0.958 (0.4% below fair)
  Receive: 10,800 × $0.958 = $10,346
  Net gain: $346

If held to maturity:
  Would receive: $10,800
  Total gain: $800
```

Decision: Accept $346 gain now vs. $800 in 6 more months.

## FAQs

<AccordionGroup>
  <Accordion title="Is there a fee to sell CBT?">
    Standard protocol fee (0.1% of transaction). No penalty for early exit.
  </Accordion>

  <Accordion title="What if no one wants to buy?">
    Lower your price or wait. Alternatively, hold to maturity and redeem.
  </Accordion>

  <Accordion title="Can I sell CBT on external DEXs?">
    CBT is an ERC-20 token. If there's external liquidity (Uniswap, etc.), you can trade there too.
  </Accordion>

  <Accordion title="What happens to my original position?">
    Fully transferred to the buyer. They receive repayment at maturity.
  </Accordion>
</AccordionGroup>