Better to have this conversation now than later, curious how the @initia core team thinks about the -3,-3 situation? There's already an early sign where the INIT funding rate has gone negative recently. If we look at the funding history of BERA, it's been very negative (-50% or more) most of the time, even at today's price, likely due to many delta neutral farmers farming BGT and shorting BERA. How can Initia prevent (or stop) this negative feedback loop?
Initia has been live for two months and we haven't seen too many organic activities, although VIP is much more conservative than POL on incentivizing idle liquidity, plus the VIP reward is locked for 1 year, and Cabal's sxINIT is not liquid yet, it's still reasonable for the community to worry why INIT will not run into the same issue BERA ran into.
@ItsAlwaysZonny @sinitias
Now it is necessary for the Initia team to publicly discuss how INIT can avoid the negative cycle situation that BERA encountered? Although VIP is much more conservative than POL, with fewer useless incentives, the rewards are locked, and Cabal's (Initia's infrared) LST is not yet circulating, but what other angles are there?
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