❔FAQ

Frequently Asked Questions

  1. What is Delta-Neutral Strategy? It’s the strategy that employs delta-heding to fully offset linear price risk.

  2. What blockchain are you on? We aim to integrate all EVM-compatible networks, currently work on Polygon & Optimism.

  3. How do you create delta-neutrality?

    We create β€œshort” price exposure, borrowing volatile tokens, that are then deposited to pool.

  4. How does the rebalancing mechanism work? When token amounts in pool change with price move, we repay debt or borrow more for debt to equal assets in pool.

  5. Why do you call yourself a market maker when you are already using AMM-based strategies? Providing liquidity using Automated Market Makers is not set-and-forget case: range management, hedging and controlling risks has a lot of parallels with traditional market making.

  6. Is your protocol decentralized? Cetra is open source and fully decentralized protocol. Everyone can participate in farming and rebalancing.

  7. Can my position be liquidated? Theoretically β€” yes. For this scenario asset prices should rise or drop by 10x in a short period of time.

Last updated