Opyn Squeeth wallet

What is Opyn Squeeth (OSQTH)?

oSQTH is a long position in Squeeth, Opyn's power perpetual that tracks the square of the price of ETH rather than the price itself. Because the exposure is squared, it gains convexity: moves in either direction are amplified, and the position reacts more strongly the further ETH travels from where you opened it.

That convexity is not free, and the way it is paid for is the single most important thing to understand about holding oSQTH. Funding is charged continuously through a normalisation factor applied inside the contract. Your token count does not move, but the amount of ETH squared each token represents drifts down over time. Hold it through a flat market and it decays; the payoff is designed to be earned by volatility, not by patience. This is a position with a clock in it, not an asset to forget about.

Mechanically it is an ERC-20 like any other, so a wallet shows one number and transfers cost ETH for gas. The short side of the same market is not this token at all, so anything you read about vaults, collateral and liquidations applies to the short, not to oSQTH in your wallet.

Since the decay happens inside the contract rather than to your balance, there is nothing for you to sign, roll or maintain while the position runs. A Tangem wallet reads the current state from the network when you open the app, and the card only comes out when you decide to close or move something. Custody that stays idle while the position does the work suits an instrument like this.

Supported networks in Tangem (1): Ethereum.