here 2 months later after variational announced 32% for airdrop and i have to say you were spot on sir, and this is also very helpful in general the funding rate thing, came here looking for ur article from last year but this one covered all i need. one thing though,, what do you think about arcus,
Glad to know it's helpful! I don't have many thoughts on Arcus, tbh. I know a lot of people who are farming it, but personally I haven't started yet. The main perps airdrops I am farming now are Variational, Lighter Robinhood, and Extended.
1. I manage them manually. To reduce potential losses when closing a position due to slippage/market volatility, I close them in multiple smaller trades. e.g. If I need to close a $50k BTC delta-neutral position, I'll close $5k on each exchange one after another until the whole position is gone.
2. I use DEXs mainly because I want to also farm points. But you could apply this strategy to CEXs as well.
Interesting breakdown of the strategy and the factors that can influence perps farming outcomes. A dex trading platform needs strong liquidity and reliable execution for strategies like these to work effectively. The ability to swap tokens across blockchains could also open up more opportunities as liquidity becomes increasingly fragmented.
here 2 months later after variational announced 32% for airdrop and i have to say you were spot on sir, and this is also very helpful in general the funding rate thing, came here looking for ur article from last year but this one covered all i need. one thing though,, what do you think about arcus,
thanks again.
Glad to know it's helpful! I don't have many thoughts on Arcus, tbh. I know a lot of people who are farming it, but personally I haven't started yet. The main perps airdrops I am farming now are Variational, Lighter Robinhood, and Extended.
Thanks man appreciate!
Appreciate the guide! I'm more into trading, but I'm interested in Funding Rate Arbitrage as well. I have a few questions:
1. Do you manage all the positions manually or you use bots? If you don't open and close your positions at the same time, you can suffer losses?
2. Why you don't use CEXs? I have seen that in your proposed website you have also CEX opportunities. CEX-DEX cross arbitrage?
1. I manage them manually. To reduce potential losses when closing a position due to slippage/market volatility, I close them in multiple smaller trades. e.g. If I need to close a $50k BTC delta-neutral position, I'll close $5k on each exchange one after another until the whole position is gone.
2. I use DEXs mainly because I want to also farm points. But you could apply this strategy to CEXs as well.
Interesting breakdown of the strategy and the factors that can influence perps farming outcomes. A dex trading platform needs strong liquidity and reliable execution for strategies like these to work effectively. The ability to swap tokens across blockchains could also open up more opportunities as liquidity becomes increasingly fragmented.
Check : https://perps.dexlyn.com/