# Shorting Induction **Shorting Introduction** In order to give further play to the composability of defi, Organix added shorting function to provide users with another method to gain profits. Shorting also can be used as a hedging tool. In traditional markets, assets can be borrowed and sold to obtain reverse price exposure. The borrower has a legal obligation to repurchase assets and return them in the future. Organix relies on over-collateralization to short in the absence of legal enforcement. Through the over-collateralization, users can borrow and sell synthetic assets. In order to retrieve the collateral, the user needs to buy back and return the assets that have been shorted. In the Organix system, shorting assets will be automatically sold by the system at the price fed by oracle, and the obtained oUSD will be automatically added to the user's balance. When users reduce short positions or close positions, they need to purchase the corresponding amount of short assets before operation. **Why does the i-class synthetic asset mechanism should be improved?** The current i-class synthetic assets mechanism provides inverse price exposure but has limitations. * Purging and resetting i-class synthetic assets involves a significant amount of manual labour and owner risk. It also requires token holders to reset their positions and new rewards contracts to be deployed. * The cost of buying a unit decreases as the price approaches the upper limit, which can be abused by front runners. * The i-class synthetic assets cannot be used productively outside of the system. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://organix-ogx.gitbook.io/organix-help-english/shorting/shorting-induction.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.