📈Trading & Arbitrage
As a trader
Volatility farming by definition:
Pools are designed to drift from their peg during market activity. When price discrepancies emerge:
Traders perform arbitrage to restore parity.
Every arbitrage action incurs a small protocol fee.
The arbitrage engine becomes a yield-generation mechanism, not just a price stabilizer.
This is where Leveraged Volatility Farming (LVF) enters: protocols and advanced users can stack volatility exposure to earn amplified fees when price activity spikes.
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