When ETH pumps, we feel like geniuses. When it dumps, we wish we had stablecoins. But holding USDC in a wallet earning 0% is a crime. This contribution analyzes the best "Delta Neutral" strategies to earn 20%+ APY on stables. We are looking at:
-
Ethena (USDe): The funding rate arbitrage play. It offers high yields but comes with exchange counterparty risk.
-
Aave/Compound Loops: Borrowing stables against stables (lower risk, lower reward).
-
Curve Pools: Being an LP for major stable pairs (e.g., 3pool). This section is crucial for risk management. We need to