# Liquidity Risk When minting USDh, Hermetica has to make sure that there is enough liquidity in the futures market to execute a delta-neutral trade. If for any reason Hermetica is not able to source enough liquidity to either increase or unwind a derivative position, it will not be able to either mint or redeem USDh tokens. Naturally this will lead to a loss. #### **Mitigation** In order to avoid any liquidity issues,Hermetica reserves the right to restrict minting of new USDh if it deems derivative markets to be too iliquid to absorb more short open interest. We have conducted extensive analysis of historical liquidity data across the largest derivative exchanges to measure the liquidity risk effectively. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.hermetica.fi/usdh/risk-disclosures/liquidity-risk.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.