Pythagorean perpetual futures

Pythagorean futures are perpetual futures issued on Pythagorean bonding curves.

Perpetual futures follow the price of an asset, such as a commodity, stock, or cryptocurrency. They allow traders to take positions in such assets and profit from their price changes without actually holding them. Unlike regular futures, perpetual futures never expire.

Pythagorean bonding curves are bonding curves described by formulas similar to the famous Pythagorean theorem.

Pythagorean futures follow the price of the currency/stock/commodity they are tracking by continuously adjusting the parameters of the bonding curve.

How to make money in Pyth?

Trading perpetual futures. If you want to bet on the price of a particular asset going higher, you can buy the corresponding futures token now and sell it later after its price grows.

Arbitrage. If you see that the price of a particular futures token deviates from its target (the price of the asset it is tracking), you can take advantage of the Pyth’s price correction mechanism. For example, if the futures price is below the target, you can buy the futures tokens now, wait for the price to correct to the target (higher), then sell the tokens at the higher price. To avoid exposure to the asset, you can simultaneously short the underlying asset on other markets.

Trading fees. Buy the governance tokens of a futures set and just hold them. Part of the collected trading fees goes to the governance token holders by increasing the price of their token after each trade. To earn more, stake these tokens in governance to get a share of the other part of the trading fees which goes to stakers.