USDe's design philosophy rests on two fundamental mechanisms: overcollateralization and delta-neutral hedging.

Here's how it works. When you mint USDe, the protocol locks up collateral—think ETH or BTC. But here's the twist: that spot exposure doesn't just sit there naked. It gets paired with short perpetual futures positions.

What does this mean? Price movements get neutralized. If your collateral pumps, your short position bleeds—and vice versa. The net effect? Stability, even when markets go haywire.