Interest Accrual & Payment
Wasabi settles pending interest on a rolling basis to reward vault depositors faster. On the trading side, this affects how interest is handled on open positions.
How Interest is Paid
When opening or viewing a position, you will see one of the following, depending on the market configuration:
Adds to Principal: Interest accrued will be paid by adding to your principal, effectively increasing leverage over time.
Takes from Collateral: Interest accrued will be paid by taking from your collateral, effectively reducing your collateral over time.
Adding Collateral
Adding collateral - via the Add Collateral button on an open position - at any time will pay off all outstanding interest and reset the accrual clock.
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