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Glossary · D
Delta-Neutral
A portfolio or strategy with no net directional exposure to an asset's price movements — gains from price increases in one leg are offset by losses in another. In DeFi, Ethena's USDe maintains delta-neutrality by holding staked ETH (long) while shorting ETH futures of equal notional value. The result is a stablecoin-like position that earns yield without ETH price risk.
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