TLDR: How to Win

Funding rate speculators

1. Deposit Collateral

2. Open a position

   1. Long YU if you think: average funding rate > current implied APR

   2. Short YU if you think: average funding rate < current implied APR

3. Watch your position's health factor and make sure you don’t get liquidated!

YU traders

1. Deposit Collateral

2. Open a position

   1. If you think implied APR is going up (buy low sell high) → Long YU

   2. If you think implied APR is going down (short a falling price) → Short YU

3. Watch your position's health factor and make sure you don’t get liquidated!