Best Yield Farming in Crypto: Delta-Neutral Strategies

Yield farming is one of the most popular ways to earn passive income in the crypto space. With the right strategies, you can earn returns on your crypto without actively trading. But with so many options, how do you choose from the yield farming crypto strategies?

In this blog, we will go through some of the best strategies used in crypto farming and take a look at one of our favourite strategies.

Topics covered:

• Top crypto farming strategies

• Why use stablecoins in delta-neutral strategies?

  • Contango Arbitrage

  • Spot-Perpetual Arbitrage

• Multipli: Making Yield Farming Smarter

• Conclusion

Top Yield Farming Strategies in Crypto:

• Staking: Lock your tokens and earn rewards.

• Lending: Lend out assets to earn interest.

• Liquidity Pools: Provide liquidity on DEXes and share trading fees.

• Delta-Neutral Strategies: Use long and short positions to generate yield regardless of price direction.

Every strategy has its pros and cons - staking might lock your assets, LPs expose you to impermanent loss, and lending depends on market demand.

But we feel that delta-neutral strategies using stablecoins are a combination that offers stability and lower exposure to market volatility while guaranteeing returns.

Why Use Stablecoins in Delta-Neutral Strategies?

Stablecoins like USDT or USDC are pegged to real-world currencies. This means they don’t fluctuate wildly like other cryptocurrencies. This makes them a great base for farming strategies that rely on capital stability. Combine that with delta-neutral strategies which aim to remove market direction risk - you’ve got a solid setup for consistent yield.

Let’s dive into two delta-neutral strategies that stand out:

Contango Arbitrage

In a contango market, the futures price of an asset is higher than its spot price. Traders can:

• Go long on the asset in the spot market

• Go short (sell) in the futures market

• Pocket the difference as the trade closes

The result? A market-neutral strategy that earns yield from pricing inefficiencies.

Spot-Perpetual Arbitrage

This strategy involves:

• Buying the asset on the spot market

• Shorting the same asset on the perpetual futures market

If the funding rate on the perpetual market is positive, the short position earns a fee, which becomes your passive yield. Again, this strategy doesn't rely on price movements—just on market mechanics.

Learn more about Contango and Spot-Perpetual Arbitrage!

Multipli: Making Yield Farming Smarter

Platforms like Multipli are leveraging these delta-neutral strategies to offer stable returns without asset lock-ups or excessive risk. Instead of managing complex positions manually, users can access delta-neutral yields with ease.

Multipli’s focus on stablecoin-based strategies means less exposure to volatile assets and more consistency in returns. By combining smart execution with battle-tested arbitrage methods, Multipli is helping users farm crypto yields the smarter way.

Conclusion

While there’s no such thing as a risk-free strategy, delta-neutral methods using stablecoins offer a compelling option for anyone looking to earn consistent rewards. Explore the landscape, understand your risks, and consider tools like Multipli to make the most of your crypto farming journey.