Glossary

Every term this app uses without stopping to explain it.

Every term this app uses without stopping to explain it, defined in a line each: health, notional, risk units, utilization, sLP, basis points, the execution budget, and the difference between initial and maintenance margin. If a number in the terminal is unfamiliar, the word for it is here.

Basis point (bp): One hundredth of a percent. 500 bps is 5%. Margins and rates are quoted in these.
Base exposure: A position's size in units of the underlying rather than in USDC. Skew and funding are judged on it.
Borrow: The continuous charge for the pool capital a position ties up. Rises with the square of utilization.
Closing fee: A one-off fee at close, taken only out of profit. Lower when the close balances the market, higher when it skews it.
Collateral: What backs one position. Fees and losses come out of it.
Execution budget: The $10 reserved from a new position with a take profit or stop loss, to pay whoever fires it. Returned if the position closes another way.
Funding: The continuous transfer from the side a slow average says is crowded to the other side, with any unmatched remainder going to the pool.
Health: Collateral plus unrealised profit and loss, less borrow, plus or minus funding. What liquidation watches.
Initial margin: The collateral a new position needs, as a fraction of size. Sets the leverage cap.
Keeper: The service that liquidates, fires triggers and settles Vault requests. It cannot open anything.
Liquidation: A position closed against you because its health reached the maintenance margin.
Maintenance margin: The floor health may not fall through. Lower than the initial margin.
Mark price: The oracle price. Settles everything.
Notional: Position size in USDC: collateral times leverage. What you are exposed to, not what you paid.
Open interest: The total notional open on a side of a market.
Perpetual: A futures contract with no expiry. Funding is what keeps it near spot.
Risk units: A position's notional scaled by its market's risk factor. What borrow is charged on and what the pool's capacity is measured in.
Session: A 30-day token from one off-chain signature. Opens chat, following, Telegram and the Faucet claim; never moves money.
Slippage tolerance: How far the mark may move between pressing and landing before an open is rejected. Default 1%.
sLP: The Vault's share token. One share is a claim on a fraction of the pool.
Utilization: Reserved divided by reserved plus idle: the share of the pool's cash currently standing behind open positions.