What is Income: Funding Rates? The Delta Neutral Agent

Income: Funding Rates (Dynamic Delta Neutral Onchain Strategy) is the flagship agent and strategy on Deploy.Finance. It targets stablecoin returns by leveraging Jlabs Digital's proprietary research, execution, and model development.

Three factors mean you are seeking superior performance.

First, the strategy is dynamic

The team scales in and out depending on liquidity and funding rates. The agent also looks for the best coins and markets to harvest funding rate while accounting for market volume, liquidity, and risk. This means it will not position an account on a smaller token.

Second, it is capital efficient

Most delta neutral strategies only harvest about 40 to 50% of the funding rate due to factors like scaling in and out, slippage, market conditions, and capital inefficiency.

Delta neutral means holding spot and a similar position within a short position. The position gets paid funding rates on the short. Deploy.Finance captures more than 75% of that funding rate, thanks to superior execution, position management, and a 3x risk managed short position. If the short gets stopped out, the entire position enters USDC to maintain a neutral portfolio.

Third, it is fully autonomous

The Income: Funding Rates agent is automatically linked to the wallet once it is created and the agent deployed. There are no extra steps needed once funds are deposited and deployed. All execution and risk management steps are fully autonomous, with zero manual actions taken by the Jlabs Digital team.

We plan to build direct fiat onramps to improve this even further.