# Short Selling

*Markets & Instruments — Finicade finance glossary*

Betting a price will fall: borrow the asset, sell it now, and buy it back later — hopefully cheaper — to return it. The gain is capped but the loss isn't, because a price can rise without limit.

**Also known as:** shorting

**Related terms:** [Stock (Equity)](https://finicade.com/glossary/stock), [Hedging](https://finicade.com/glossary/hedging), [Arbitrage](https://finicade.com/glossary/arbitrage)

Source: https://finicade.com/glossary/short-selling
