Tuo docs

Overview

The two Tuo products side by side, with their structure, hedge policy and backtest targets.

Tuo runs two products. Both earn trading fees from concentrated liquidity on Uniswap V3 and hold short perpetual positions on Hyperliquid to offset most of the price exposure that liquidity carries. They differ in how many ranges they run, how each short is sized, and how much of the position may sit on the hedge venue at once.

Basis Plus CoreDelta Hedge Standalone
Product code12
Shape3 Uniswap V3 ranges + 2 shorts1 Uniswap V3 range + 1 short
PoolsWETH/USDC 0.05%, WBTC/USDC 0.05%WBTC/USDC 0.05%
Sleeves35% Alpha (WETH/USDC and WBTC/USDC, narrow ranges), 65% DynHedge WBTC (wide range)100% DynHedge WBTC (wide range)
Hedge legsOne ETH short, one shared BTC shortOne BTC short
Hedge sizingAlpha: fixed at deploy. DynHedge: tracked dailyTracked daily
Maximum hedge margin50% of basis90% of basis
Residual directionSome long exposure by designAbout 20% long BTC by design
Risk labelBalancedConservative
Backtest target return25-35% net APY (backtest target)About 20% net APY (backtest target)
Expected drawdownAbout 13.6% (backtest target)About 16.4% (backtest target)
Minimum deposit2,500 USDC2,500 USDC
Cap per position25,000 USDC during the guarded launch25,000 USDC during the guarded launch
NetworkArbitrum OneArbitrum One
Hedge venueHyperliquidHyperliquid

The return and drawdown figures are backtest targets over past market data. They describe what each strategy aimed for in simulation, not what it will deliver. See Market and strategy risk.

What both products share

  • One deposit, one position. You deposit any allowlisted token. The vault converts it to USDC and mints a position NFT to your wallet. The NFT owner is the only address that can withdraw.
  • The same engine. The Tuo engine reviews every position once a day on closed daily candles and decides when to open, hold, re-centre or close a range, and when to resize a tracked short.
  • The same fee. 30% of realized profit, charged at withdrawal. Nothing on deposit, nothing on withdrawal, nothing on capital. See Performance fee.
  • The same on-chain limits. The product policy is written into the vault at deployment: how many ranges a position may hold and how much of its basis may be moved to the hedge venue. The keeper cannot exceed either.

How they differ

Basis Plus Core is the flagship. It splits capital between an Alpha sleeve of two narrow ranges, which open and close on a momentum signal, and a wide dynamically hedged WBTC range that is always on. It carries two hedge legs and allows up to half of the position's basis to sit on Hyperliquid as margin.

Delta Hedge Standalone is the DynHedge sleeve of Basis Plus Core run on its own: one wide WBTC/USDC range and one BTC short that targets 80% of the range's BTC exposure. It has fewer moving parts and allows up to 90% of basis on the hedge venue, because the single short carries the whole hedge.

Choosing between them

Pick Basis Plus Core if you want the full strategy: diversified across ETH and BTC liquidity, with the momentum-driven Alpha ranges layered on top of the always-on hedged range. Pick Delta Hedge Standalone if you want a single hedged WBTC range with no signal-driven entries and exits, and accept that it keeps roughly a fifth of its BTC exposure unhedged on purpose.

Read the product pages for the exact composition:

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