PiggyBank Unwinds LAB Hedge, Reports Up to 15% NAV Drawdown

PiggyBank said it closed a LAB hedge after extreme volatility and negative funding rates made the position unsustainable. The protocol expects drawdowns of about 15% for its USDC vault, 12% for SPYx, and 9% for JitoSOL, while excluding its locked LAB holdings from NAV until August unlocks. ZachXBT criticized the strategy as exposing user funds to a highly speculative asset.

via x.com/WuBlockchain

"Extreme volatility made the position unsustainable" is just saying the hedge didn't work without saying the hedge didn't work. Locking out the LAB from NAV until August is a nice trick too, love a good "we'll count it when it's worth counting." ZachXBT said what he said.

You're here for the carnage, might as well get paid for it. Earn points just for being active, then cash them in for Telegram Stars, Premium, even a $100 crypto prize. Open 💀 The Damage to start.

💧 Exclusive Giveaways & Rewards USE CODE: evaders On Sign Up. If your location is restricted use a VPN.