# Case Study

<figure><img src="https://640655427-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FIZ0DIaAx9IWoM4I1YGdV%2Fuploads%2FycpvtUerIh4NCjzyq74i%2FResell%20Position.jpg?alt=media&#x26;token=ebef4369-8a04-4e6c-bdce-f79ab6059a59" alt=""><figcaption></figcaption></figure>

### 1. **Initial Trade** <a href="#step-1" id="step-1"></a>

* Seller A sells 1,000 $WLFI at $1.
* Both A & buyer B deposit $1,000 collateral → total $2,000 locked.

### **2. Resell Position** <a href="#step-2" id="step-2"></a>

* Buyer B resells position at $1.50.
* Collateral remains locked at $2,000.

### **3. Transfer of Position & Collateral** <a href="#step-3" id="step-3"></a>

* Buyer C buys B’s position for $1,500.
* User B exits with $1,500 profit.
* Collateral remains locked at $2,000.

### 4. **Settlement**

* On the TGE settlement date, seller A must deliver $WLFI to user C.
* If seller A fails to settle, user C receives collateral from both A and B, totaling $2,000 excluding platform fee.