How Does Delta Hedging an Options Position Relate to the Rebalancing Action of an AMM?

Delta hedging an options position involves continuously buying or selling the underlying asset to maintain a neutral delta (directional exposure). This is analogous to an AMM's rebalancing.

When the price of an asset in a pool changes, the AMM automatically "sells" the asset that has risen in price and "buys" the one that has fallen to maintain the constant product. Both processes involve automated, counter-directional trades to manage exposure or maintain an invariant.