PiggyBank, after hitting Drift, also incurred significant losses from hitting LAB, causing pbUSDC price to plummet from 1.1 to 0.94 in one day.


Simply put, if you invest 10k yuan, you could go from earning 1,000 yuan in a day to losing 600 yuan. 😂
Therefore, Delta Neutral strategies, which involve funding rate arbitrage, also carry risks, especially in markets subject to extreme manipulation.
DRIFT-0.46%
LAB41.12%
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