Going Long

A user looking to execute a long position regarding an asset would be similar in nature to going short, though there are opportunities for more complex strategies. Users could start by depositing their ADA into a Strategy Vault where half of the funds would be used to mint the strategy’s iAsset. The minted iAsset alongside the remaining ADA could then be paired to provide liquidity in a DEX to accrue DEX rewards until the strategy’s exit parameters are met. The Strategy Vault could then exit the position, burn iAssets to unlock the underlying ADA and any rewards accrued back to the user.

Alternatively, a strategy that is not exposed to impermanent loss (from providing liquidity in a DEX) is possible where all the initial ADA is used to mint the iAsset, which is then held in the strategy vault until the exit parameter is met.

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