Risk Framework

Introduction to Delta Money Risk Framework

Introduction to Delta Money’s Risk Architecture

Delta Money is built on a comprehensive and institutionally aligned risk management framework, designed to ensure the stability, solvency, and long-term credibility of its native USD-pegged digital dollar, DUSD. In a complex and evolving financial landscape, the protocol integrates diversified collateralization, dynamic risk mitigation tools, and prudent capital management to deliver consistent performance and preserve the value of DUSD under a wide range of market conditions.

Overview of Delta Money (DUSD)

DUSD is a fully collateralized, USD-pegged tokenized dollar structured to provide stability and reliability across both traditional and decentralized financial systems. Unlike algorithmic or under-collateralized designs, DUSD anchors its value through a resilient portfolio of high-quality assets and risk-adjusted strategies. The result is a stablecoin designed to maintain its 1:1 peg with the U.S. dollar, while supporting the needs of both retail and institutional participants.

Multi-Layered Collateral Composition

Delta Money’s stability model is grounded in a diversified collateral base that combines traditional financial instruments with digital asset exposure. The current composition includes:

1

Fiat Currencies

Primarily U.S. dollars, complemented by select non-USD currencies — including those from emerging markets such as the Brazilian Real (BRL) and Kazakhstani Tenge (KZT) — to broaden liquidity and manage global foreign exchange exposures.

2

Government Bonds

U.S. Treasuries and global sovereign bonds offer yield stability and capital preservation.

3

Digital Assets

Exposure to leading cryptocurrencies such as BTC, ETH, BNB, and SOL, which are actively managed and hedged to reduce volatility and support capital efficiency.

4

Derivatives

Structured positions used to hedge directional risks, ensuring that volatility in underlying assets does not destabilize the DUSD peg.

This globally diversified approach ensures a well-balanced and resilient collateral foundation that can adapt to varied macroeconomic environments, supporting DUSD’s long-term price stability.

Designed for Liquidity and Resilience

The interplay between traditional financial instruments, hedged digital assets, and emerging market currencies enables Delta Money to effectively manage liquidity and volatility risk across geographies. By integrating safe-haven assets alongside growth-oriented instruments — and reinforcing them with derivative hedging — Delta Money achieves a structurally sound portfolio that is both conservative and scalable. This strategic asset allocation enhances the protocol’s ability to maintain peg fidelity and capital efficiency, even during periods of heightened market uncertainty or volatility in emerging markets.