Q So Aaron, sorry, you got to dumb that down, right? So hedging risk right now, right? So there's, there's two currencies. People want to do business together. Explain to us specifically what hedging risk is. Why do people hedge that risk on currency?
A In a very simple manner, when you have an importer, for example, that is, uh, buying, uh, some, some type of an inventory, uh, for example, an importer from the U S that is buying, uh, for example, inventory, which is wine. Okay. From Europe. So he's a dollar based. He's selling his wines in dollars, but he's paying for his, uh, uh, you know, wines in euro. So the exposure between the euro and the dollar is affecting him. So if he's buying it in euro, for example, and you know, he is actually purchasing it, the euro is going, you know, uh, increasing versus the dollar, then he can lose a lot of money basically by paying more. So what we are doing here is we're providing him with a hedge. That he can fix his euro dollar rate at the, uh, let's say the inception of his, uh, of his order. And that's the, that, that way he knows how much he paid in dollars. Okay. For something that he will be receiving two months time. Okay. Uh, and then he knows, you know, what, uh, will be the price for his, uh, end clients in the U S that would pay for this price. And then the actual profit, it will be the, the amount he paid for the specific wine. And, uh, and, uh, basically the price that he sold the wine at dollars as well. So it's dollar versus dollar and not dollar versus euro.
AI assessment note: “he can fix his euro dollar rate at the, let's say the inception”