dETFs are designed to provide diversified portfolio exposure through a single onchain token.
Each dETF represents a predefined basket of assets grouped around a specific theme, strategy, or asset class. Instead of managing multiple positions, users hold one token that reflects the underlying portfolio.
Portfolio composition
Every dETF has a defined composition determined at the product level.
A portfolio may include:
- crypto assets
- yield-bearing onchain tokens
- other onchain instruments
The exact assets and weightings depend on the specific dETF and are set according to its intended exposure.
Onchain representation
dETFs are issued as standard onchain tokens.
Holding a dETF token provides exposure to the underlying portfolio without requiring users to manage individual assets. dETFs can be held, transferred, or traded like any other onchain asset.
Rebalancing and updates
Portfolios may be adjusted over time to reflect changes in composition or strategy.
Rebalancing and updates are handled at the product level and do not require action from users. How and when these adjustments occur can vary between different dETFs.
Liquidity and usage
dETFs are designed to function as first-class assets within DeFi.
Because a dETF is a single onchain token, it can be:
- traded on secondary markets
- used as collateral in lending protocols
- integrated into structured products or other onchain strategies
This allows users to maintain diversified exposure while keeping capital active onchain, rather than locking it into static portfolios.
Availability of specific integrations depends on the dETF and the protocols that support it.