Delta-Neutral Funding Rate Strategy
Cutwater expands beyond ETH and BTC to capture premium funding rates from carefully selected altcoins. Our multi-asset approach delivers 15-25% APY while maintaining strict delta neutrality.
Growth of $1
Total Return
Why Cutwater
While competitors focus on 2 assets, Cutwater captures premium funding rates across 15-20 carefully selected cryptocurrencies.
Cutwater vs Competitors
Our expanded asset universe delivers significantly higher yields while maintaining the same delta-neutral risk profile.
By allocating 30-50% to carefully selected altcoins with higher funding rates, Cutwater achieves 5-10% higher annual yields compared to ETH/BTC-only strategies like Ethena.
How It Works
Deposit stablecoins, receive USDi, and start earning. All complexity is handled by the protocol.
Provide USDC, USDT, or whitelisted crypto. Receive USDi tokens on a 1:1 basis.
Protocol allocates to spot holdings across BTC, ETH, and selected altcoins based on funding rates and staking rewards.
Corresponding short perpetual positions opened across multiple exchanges for delta neutrality.
Funding rate payments collected every 8 hours. Yields distributed monthly with auto-compounding.
Risk Management
Rigorous position limits, exchange diversification, and continuous monitoring keep your funds safe.
1:1 hedge ratio maintained at all times. +/-5% delta tolerance with automated rebalancing. Real-time monitoring across all positions and exchanges.
Maximum 40% on any single exchange. Distributed across Binance, OKX, Bybit, and others. Only Tier-1 venues with proof of reserves.
15-20 diversified funding sources with low correlation. Reserve fund for negative periods. Dynamic rotation to positive-funding assets.
Max 15% in any single altcoin. Max 5% of daily volume per position. Min 30% in BTC/ETH as stability anchor. Quarterly asset reviews.
Mint USDi and access multi-asset delta-neutral yields that outperform ETH/BTC-only strategies.