Basis Plus Core
The flagship product, three concentrated ranges and two shorts, with the exact composition and hedge rules.
Basis Plus Core (product code 1) splits a deposit between two sleeves. The Alpha sleeve runs two narrow concentrated ranges that open and close on a momentum signal. The DynHedge sleeve runs one wide WBTC/USDC range that is always on. Yield comes from Uniswap V3 trading fees, while shorts on Hyperliquid offset most of the price exposure the ranges carry.
| Deploys as | 3 Uniswap V3 LPs + 2 Hyperliquid shorts |
| Risk label | Balanced |
| Backtest target return | 25-35% net APY (backtest target) |
| Expected drawdown | About 13.6% (backtest target) |
| On-chain policy | Up to 3 open ranges, up to 50% of basis on the hedge venue |
Composition
| Sleeve | Venue | Pair | Share of deposit | Range width |
|---|---|---|---|---|
| Alpha, ETH range | Uniswap V3 | WETH/USDC 0.05% | 27.3% | +/-6% around the entry price |
| Alpha, BTC range | Uniswap V3 | WBTC/USDC 0.05% | 7.7% | +/-6% around the entry price |
| DynHedge | Uniswap V3 | WBTC/USDC 0.05% | 65% | +/-20% around the entry price |
| ETH hedge | Hyperliquid | ETH perpetual short | Margin drawn from the same deposit | Covers the Alpha ETH range |
| BTC hedge | Hyperliquid | BTC perpetual short | Margin drawn from the same deposit | One short covering both WBTC ranges |
The split is 35% Alpha and 65% DynHedge. Inside Alpha the capital goes 78% to the ETH range and 22% to the BTC range, which is where the 27.3% and 7.7% come from. Both WBTC ranges sit in the same WBTC/USDC pool and are told apart by their width.
How the two sleeves behave
Alpha ranges are narrow, so they earn more fees per dollar while the price stays inside them and they leave their range sooner. They open only when the sleeve's momentum filter says so, wait three days between entries, and are given up to 14 days out of range before the engine forces an exit. Each Alpha range carries its own short, sized once at deploy at 40% of the range's liquidity value with 3x leverage. That short is not resized while the range is open, and it closes when the range closes.
The DynHedge range is wide and always on. Its short follows the live BTC exposure of the range, which shifts as the price moves inside it. The target is 80% of that exposure with 2x leverage, and the engine resizes the short when coverage drifts more than 30% away from the target, checked daily. Out of range, the engine waits two days before acting.
One BTC short for two ranges
Basis Plus Core holds two WBTC/USDC ranges but a single BTC short. The tracked model sizes it, and it sizes it for both ranges together, so neither is left uncovered. Making that shared short smaller is never automatic: shrinking it to fit one range would uncover the other, so a reduction is confirmed by an operator rather than executed by the engine on its own.
What the vault enforces
The product policy is written into the vault at deployment and the keeper cannot exceed it:
- at most 3 open ranges on the position,
- at most 50% of the position's basis moved to the hedge venue at any one time,
- every range in an allowlisted USDC-paired pool, every swap through an allowlisted aggregator.
Strategy decisions (which ranges, when, how large a short) live off-chain in the Tuo engine. The contracts do not know the strategy; they only bound what the keeper may do with your position. See Roles and admin controls.
Hedged is not neutral. Both sleeves keep some directional exposure by design, and a hedge reviewed once a day is not exact at every moment. The full list is on Market and strategy risk.