GMD Protocol on Arbitrum
  • 🟦GMD Protocol Overview
    • GMD Protocol
    • How GMD Protocol Works
    • #RealYield Revenue Sources
    • Earning Strategies
    • GM DAO Voting
  • 💲GMD Tokenomics
    • $GMD Tokenomics
    • Mint and Supply
    • Launch
    • Yield
    • RP for Stakers
    • esGMD
    • esGMD Seed Rounds
  • 💰Delta-Neutral Vaults
    • Delta-Neutral Vaults
    • Working Mechanism
    • Vaults Capabilities
    • Vaults Limit
    • APY and Deposit Fees
    • Vault Migration
  • 👾GMD Delta-Neutral Strategy
    • Market Volatility Risks
    • Pseudo-Delta-Neutral Strategy
    • Delta-Neutral Ratio
    • Manual Rebalancing of Deposits
    • Protocol's GLP Reserve (The Reserve)
  • 🛣️Protocol Roadmap
    • Up-to-date Roadmap
    • Initial Roadmap
  • 🔗Protocol Links
    • Dapp
    • Treasury and Multisig
    • Contracts
    • Audits
    • Socials
Powered by GitBook
On this page
  • Pseudo-Delta-Neutral Ratio
  • Satisfying Pseudo-Delta-Neutrality
  1. GMD Delta-Neutral Strategy

Delta-Neutral Ratio

Pseudo-Delta-Neutral Ratio

Utilizing Pseudo-Delta-Neutral Ratio means the deposited single-stake assets (USDC, ETH, or BTC) will be allocated and adjusted to the exact same weight as GLP’s composition for USDC, ETH, and BTC.

=> These 3 assets (USDC, ETH, and BTC) will be used to mint $GLP and earn yields from $GLP yields.

Satisfying Pseudo-Delta-Neutrality

For instance, excluding the value of smaller assets (Link, Uni...), GLP consists of about 50% stables, 33% ETH, and 17% BTC.

=> In that case, a vault of $1,000,000 in asset value will consist precisely of $500,000 USDC, $330,000 worth of ETH, and $170,000 worth of BTC.

=> This would satisfy our pseudo-delta-neutral ratio.

PreviousPseudo-Delta-Neutral StrategyNextManual Rebalancing of Deposits

Last updated 2 years ago

👾