The operational logic of delta-neutral strategies on certain DeFi protocols is often misunderstood. Many people think that the profit is just betting on the direction, but the actual mechanism is much more sophisticated. These protocols hedge market direction risk by simultaneously going long and short—regardless of how prices fluctuate, the positions offset each other. The real profit comes from the continuous interest generated by the funding rate and the basis. Some stablecoin products operate this way; even during significant market volatility, the mechanism can continuously accumulate profits. This is why profits can be made without relying on price increases.