Borrow Fee

• Purpose:

  • Prevents liquidity reservation abuse (equal long/short positions)

  • Incentivizes liquidity provision when utilization high

• Calculation: Based on pool utilization percentage

• Fee Direction:

  • More longs than shorts → longs pay fee

  • More shorts than longs → shorts pay fee

• Rate Display: Real-time rate shown in interface, updates based on utilization

• Continuous Accrual: Accumulates while position open, applied on close