Recently, everyone has been arguing whether extreme funding rates are a reversal or just a continuation of the bubble. My mindset has also "updated": I used to want to be a options buyer, thinking that a quick explosion would turn things around; now I can accept reality better — the time value is deducted daily, in other words, if you do nothing, it still eats away at you. Buyers are betting on "happening soon," and if it doesn't happen, it's chronic blood loss.

As for sellers, it looks like collecting rent, but don’t think of yourself as a stable investment... what you're actually selling is the tail risk of "others might go crazy." The more extreme the rate, the more emotional the market, the sharper that tail becomes. Anyway, my current approach is more straightforward: first, figure out how far the liquidation threshold and margin can withstand, and I’d rather earn less than get pierced by a single needle. Who is the time value eating? Most of the time, it’s those unwilling to admit they chose the wrong rhythm. That’s all for now.