Collateral Pool

Resolv maintains a collateral pool consisting of the following positions:

• ETH inventory, including staked ETH, hedged by short futures positions on ETH;

• BTC inventory hedged by short futures positions on BTC;

• USD-neutral assets: tokens of Superstate USCC fund;

• Stablecoins: USDC and USDT.

For ETH and BTC inventory, hedging positions closely track the quantity of ETH and BTC, so that sensitivity of the collateral pool to changes of ETH and BTC prices is close to zero (the collateral pool forms a delta-neutral portfolio).

Collateral pool is comprised of on-chain and off-chain parts. Off-chain part is required in connection with maintenance of futures positions.

Protocol handles a few aspects of the collateral pool:

• Maintains futures positions

• Manages inventory allocation

• Handles staking and unstaking ETH

• Manages short-term liquidity requirements.

For price estimations of different parts of the collateral, a combination ofthe following price sources used:

• Data from integrated exchanges

• Oracles networks

  • Pyth

  • RedStone