Double Boost vault employs a funding rate-based trading strategy on Drift protocol's perpetual swaps. The strategy takes long positions when the funding rate drops below a certain negative threshold (-43 bps) and enters short positions when the funding rate exceeds a positive threshold (32 bps). Positions are managed with predefined take-profit and stop-loss levels.

The strategy is built on a smart contract, meaning funds cannot be withdrawn by anyone but you.

Funding Rate Volatility Risk

Double Boost vault is exposed to funding rate volatility risk. Rapid and large movements in the funding rate can impact the strategy's ability to enter or exit positions at desired levels. High funding rate volatility can lead to unexpected position entries or exits, potentially reducing the strategy's profitability.

Counterparty Risk

Double Boost vault faces counterparty risk when trading on Drift protocol. If the protocol experiences issues, such as liquidity problems, technical glitches, or smart contract vulnerabilities, the vault's positions and funds may be at risk. The strategy relies on the stability and reliability of Drift protocol for executing trades and managing positions.