# Overview

Ethena's solution has both **Onchain** and **Offchain** composite components & services.

The **Onchain** components include the smart contracts that enable the minting, redeeming, staking, and unstaking of *USDe*.

The **Offchain** components include services that manage the delta hedging positions with respect to deposited backing assets.

<figure><img src="https://596495599-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FsBsPyff5ft3inFy9jyjt%2Fuploads%2FuVAV5EN5BufxVzHdQ7o1%2FMechanics%20of%20Creating%20USDe.png?alt=media&#x26;token=27ca116e-61cd-4471-8e3d-a7edf35b7110" alt=""><figcaption></figcaption></figure>

In order to access the centralized liquidity, explicit trade-offs need to be made for onchain trust assumptions which are detailed in this section.

## Ethena Labs Github

{% embed url="<https://github.com/ethena-labs>" %}

You can read more in the following sections:

* [minting-usde](https://docs.ethena.fi/solution-design/minting-usde "mention")
* [staking-usde](https://docs.ethena.fi/solution-design/staking-usde "mention")
* [backing-asset-custody](https://docs.ethena.fi/solution-design/backing-asset-custody "mention")
* [hedging-system](https://docs.ethena.fi/solution-design/hedging-system "mention")