PiggyBank Unwinds LAB Hedge, Reports Up to 15% NAV Drawdown PiggyBank said it closed a LAB hedge after extreme volatility and negative fund…
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.