Renzo Basis

What is Renzo Basis?

Renzo Basis is a market-neutral strategy that earns yield on your USDC. You deposit stablecoins, and Renzo runs a "basis trade" on Hyperliquid on your behalf, directly in your own Hyperliquid account. Your funds and positions stay under your ownership the whole time; Renzo only manages the trades through a trading key that you control and can revoke at any time.

How it works

A basis trade holds two opposite positions of the same size at the same time:

• A long position: buying the asset on the spot market.
• A short position: shorting the same amount of that asset using a perpetual futures contract (a "perp").

Because the two positions are equal and opposite, gains on one side offset losses on the other. If the asset's price goes up or down, your overall position stays roughly flat. This is what "market-neutral" means: you're not betting on price direction.

Where the yield comes from

Perpetual futures use a funding rate to keep their price in line with the spot market. On Hyperliquid, funding is exchanged between traders every hour. When more traders want to be long than short, longs pay shorts. With Renzo Basis, your account holds the short side, so you collect these payments. That funding is your yield.