ElyPerpsInsurance and $ELYP
Staking
$ELYP is the insurance capital. Stakers earn 40% of every perp fee, paid in HYPE. Each payment sits in the vault for 7 days as first loss before it can be claimed. Unstaking takes a 7-day cooldown during which the stake stays slashable, so nobody leaves just before a crash. Holding without staking earns nothing directly; 30% of every fee buys $ELYP and burns it.
The bad-debt waterfall
A slash takes up to 30% of staked $ELYP per event and sells it for HYPE on the $ELYP pool to pay what the vault could not. Any $ELYP slashed beyond what was needed is burned. Only then does auto-deleveraging close the most profitable opposite positions, cutting their profit by the remaining deficit.
The skew it backs
Each market may hold a skew of 10% of the vault's HYPE. With no stakers yet, the stakers' 40% of fees stays in the vault as backing, so the vault grows from the first trade.