> The index of every page is at https://docs.nova.markets/llms.txt. The complete documentation in one file is at https://docs.nova.markets/llms-full.txt.

# FAQ

Address: https://docs.nova.markets/#/faq
Section: Reference

## Getting started

**Q: Why does Nova exist?**

There are 10x more capital markets that should exist onchain than actually do. Deciding which markets exist has always been committee work; Nova turns it into a market process that measures demand with real capital and lists what wins. Conviction Markets is the new primitive for market formation.

**Q: What do I need?**

An EVM wallet and USDC. Minimum deposit 5 USDC, flat 0.20 USDC fee. Your X account gets you the leaderboard and the whitelist.

**Q: Is Nova a different exchange from Hyperliquid?**

Yes, they are two different exchanges. You trade both on Nova's Trading Terminal, and both count towards Conviction Points. Markets on Nova that see great volumes graduate to Hyperliquid and take their Conviction Tokens and traders with them.

**Q: Why trade here rather than on Hyperliquid?**

Your volume works twice. Execution is the same, but every trade on Nova earns Conviction Points, points decide what lists next, and backing a listing pays a lifetime share of its fees. On Hyperliquid alone your volume is just volume; on Nova it compounds.

**Q: No margin, but my balance is not empty.**

Your funds are in spot rather than perps, or on the other venue. See [Deposits and transfers](https://docs.nova.markets/get-started.md).

## Costs

**Q: What does Nova add on Hyperliquid fees?**

A builder code of 3.5 bps. The rest is Hyperliquid's own fee.

**Q: What does a Nova market cost, all in?**

An opening fee and a closing fee, the same rate, set per market by asset class: 3.5 to 6 bps for crypto, 3 to 5 bps for stocks, indices and commodities, 1.2 bps for forex. Spread and price impact on the execution price, and holding fees while the position is open: a borrowing fee to the pool, and funding between traders, which can also pay you. Every number is in the trade panel before you confirm.

**Q: Can I edit a position after opening it?**

Yes: add or remove collateral, adjust leverage, or close part of it. Take profit and stop loss can be attached at entry or added later.

**Q: What happens during a liquidation?**

Every position shows its liquidation price up front. If the oracle price crosses it, the position is closed automatically and the remaining collateral, minus the liquidation fee, goes to the pool. Your take profit and stop loss fire first if their prices come first. See [Fees and funding](https://docs.nova.markets/fees.md).

**Q: Do I pay funding to Nova?**

No, funding is paid between traders.

## Conviction Points

**Q: How do I earn them?**

By trading Nova’s markets or Hyperliquid through Nova’s Trading Terminal, by depositing in the Conviction Pool, and through referrals: 10% of what your referrals earn comes to you, and they earn 5% extra.

**Q: What are the rates?**

Set by Nova and adjusted regularly. What applies today is in the app.

## Conviction Markets

**Q: Can I see how the Drop is going?**

No, and neither can anyone else, until the Drop.

**Q: What if my market does not win?**

You still receive the new market's Conviction Token, pro rata. The winner's backers get a boosted share; skipping the Drop receives nothing. And your candidate is not gone: losers stay, and can run again.

**Q: Can I change my backing?**

You can always add more, to the same candidate or another, and you can split across the slate. You cannot withdraw points already spent.

**Q: What does proposing cost?**

Nothing. If it lists, the proposer receives a 10% share of its Conviction Tokens.

## Earn

**Q: Which one do I use?**

The [Conviction Pool](https://docs.nova.markets/conviction-pool.md) is the counterparty to Nova's markets, and it is the one that earns Conviction Points. The [NLP Vault](https://docs.nova.markets/nlp-vault.md) does market making on markets listed on Hyperliquid.

**Q: How fast can I get out?**

Getting in is instant; getting out is not. Pool withdrawals wait 1 to 3 epochs, 3 to 9 days depending on the pool's health; the vault takes up to 7 days.