FAQ
What is SHRED? SHRED is a high-yield stablecoin savings protocol built on Hyperliquid. It allows anyone to earn a sustainable 15% APY on USDC and USDT using delta-neutral arbitrage strategies.
Why does it matter? Most savings today either underperform inflation (TradFi savings accounts, bonds, treasuries) or come with complexity and risk (DeFi farms, synthetic stablecoins). SHRED changes that by:
Delivering one of the safest ways to outperform inflation.
Offering sophisticated strategies in a simple, one-click savings account.
Focusing on real yield, not token emissions.
Providing a foundational, stable product that outperforms stocks, real estate, or gold on a risk-adjusted basis.
How does it work? Earning yield is simple:
Visit shred.fi.
Connect your wallet.
Deposit USDC or USDT.
Watch your balance grow — withdraw anytime.
What’s your vision? Our mission is to build the default savings layer for the internet of money. SHRED will expand from Hyperliquid to a multi-chain protocol, creating the most scalable, reliable savings product in crypto. The long-term goal is to make shUSD, our receipt token, one of the most trusted collateral in DeFi.
YIELD & STRATEGY
Where does the yield come from? Yield comes from funding fees paid by perpetual traders on Hyperliquid and other perp DEXs. Unlike many protocols, we do not rely on inflationary token incentives — only real, sustainable revenue from perps markets.
Is the yield fixed or variable? We target a fixed 15% APY. Our buffer fund absorbs short-term fluctuations to stabilize returns, though in rare prolonged negative markets, yield may adjust lower.
Is SHRED safe? Yes. SHRED is:
Over-collateralized.
Monitored 24/7 by automated risk bots.
Built by the Mars Protocol team (0 hacks, 0 bad debt across years of DeFi).
Supported by a buffer fund designed to smooth volatility.
What assets are supported? Currently USDC and USDT (fully backed stablecoins). In the future, we may expand to USDe, USDH, and other high-quality stables.
Does the strategy APY change over time? Funding rates vary, but SHRED targets 15% APY net to users. Returns may fluctuate slightly depending on execution costs, market volatility, and rebalancing activity.
What is a delta-neutral arbitrage strategy? It’s a market-neutral trade where long and short positions cancel out price exposure (delta = 0). Profit comes from supply and demand dynamics of funding rates, not market direction. This strategy is widely used by professional hedge funds to generate stable returns on USD assets.
DEPOSITS & WITHDRAWALS
How do I deposit into SHRED?
Visit shred.fi.
Connect your wallet.
Click “Deposit” and approve the transaction.
Can I withdraw anytime? Yes. Most withdrawals are instant. Very large withdrawals may be queued for 24–48 hours to ensure stability.
What are the deposit caps? To scale safely, SHRED enforces dynamic TVL caps. These grow over time as liquidity capacity increases and risk parameters are validated.
Which networks are supported? SHRED is live on Hyperliquid/HyperEVM and will expand cross-chain to other major L1s.
Why is my withdrawal amount slightly different than my dashboard? Due to execution of the strategy, slight differences between balances and final withdrawal amounts may occur, usually from spread, slippage, order sizing, rounding, etc.
COSTS & FEES
What are your fees?
No fees on deposits or withdrawals.
No performance fee on user principal.
Around ~1% price impact may apply when exiting a strategy.
How is yield distributed?
~20% → Strategy performance
15%* → Target to users
1% → Operational costs
1%+ → Buffer fund (to smooth returns)
3%+ → Variable rewards & incentives
Note - This is a target yield for users, but final results could differ due to market conditions.
PERFORMANCE
How can I track my performance? All deposits, withdrawals, and yield are displayed in real time on your SHRED dashboard.
What separates SHRED from other similar products?
Target APY (15%) vs. variable yields (Ethena, Pendle).
Real stables only (USDC/USDT) vs. synthetic risk (sUSDe).
Cross-chain scalability vs. single-chain capacity limits.
Proven Mars team with flawless track record.
How can I maximize my yield? Stay deposited long term. Frequent withdrawals and redeposits trigger rebalancing costs. SHRED is designed as a “set-and-forget” savings account, compounding best over time.
TOKENOMICS
Will you have a points campaign? Yes. SHRED will launch an official points program with our public release (Q1 2026).
What do I get for joining early? Early depositors will be rewarded with:
Extra points multipliers.
Bonus allocations at TGE.
Long-term loyalty boosts for holding through early phases.
TECHNOLOGY
How is your system built? A hybrid of audited smart contracts and automated monitoring scripts that continuously manage positions, rebalance, and protect against risk. Failures trigger alerts for manual intervention.
Why build on Hyperliquid? Hyperliquid offers unmatched perp liquidity, fast execution, and native infrastructure for funding rate arbitrage at scale.
What’s your team’s track record? We are the Mars Protocol team — veterans of DeFi with 0 hacks, 0 bad debt, and years of experience managing over $300m at peak in TVL and over 4 years across multiple chains.
What’s the roadmap?
Q4 2025 → MVP live
Q1 2026 → Public launch + Points Campaign
Q2 2026 → Token launch + variable rewards
Beyond → shUSD collateral adoption + multi-chain vaults
Has the project been audited? All contracts will undergo a full third-party audit before launch. Reports will be published publicly.
RISKS
How is risk managed?
SHRED employs continuous monitoring, conservative leverage, delta-neutral balancing, and emergency protocols. Rebalancing is automated with safeguards for slippage, spreads, and liquidation thresholds.
How do you handle extreme volatility?
Emergency rebalancing procedures.
Buffer fund deployment for stability.
Batch execution to minimize slippage.
What if funding rates go negative?
Temporary negatives are absorbed by the buffer fund.
Long-term negatives could lower APY but are historically rare.
The strategy has been back-tested across multiple cycles.
Is liquidation possible? Yes, but highly unlikely. We use low leverage and conservative thresholds. In rare extreme cases, partial liquidation may occur — as is true for all protocols in this category.
What are the risks I should know about?
Stablecoin de-peg risk (USDT/USDC).
Prolonged negative funding rates.
Infrastructure or bridging failures.
Unexpected rise in operational costs.
REFERRALS
Do you have a referral program? Not yet, but we will introduce referral incentives, rewarding users for bringing friends into the platform.
SUPPORT
How can I get support?
Telegram: t.me/SHREDfi
X (Twitter): x.com/SHREDfi
Email: [email protected]
What if I encounter a bug or issue? Reach out via Telegram or email us directly. Our team monitors reports and responds quickly.
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