Throughout its development, DeFi has proven its strength by bringing diverse decentralized financial products: from lending/borrowing, DEX, yield farming to derivative products. However, a crucial piece for this market to mature and attract significant capital inflows from traditional investors is still missing – fixed income.

In traditional finance (TradFi), the bond market and fixed income products are worth tens of trillions of US dollars, playing a key role in building a safe investment portfolio that provides predictable returns and mitigates risks. In contrast, DeFi so far has largely relied on fluctuating interest rates – causing many cautious investors, especially institutions, to hesitate to participate.

Treehouse Protocol – The solution for DeFi

@Treehouse Official through Treehouse Labs is developing Treehouse Protocol – a decentralized protocol designed to provide fixed income on the blockchain.

Important distinguishing point:

  • Users can lock digital assets or stablecoins for a specified period.

  • Receive a committed fixed return right from the start.

  • Avoiding unusual market fluctuations and unstable yield farming models.

This means that instead of relying on continuously fluctuating APY, investors will have a guaranteed return, similar to how bonds operate in traditional financial markets.

Implications for DeFi development

  1. Attracting institutional capital: Investment funds, banks, and traditional financial institutions require stability and predictability. A fixed income market on DeFi is the key to unlocking this capital flow.

  2. Stabilizing the ecosystem: With a layer of fixed assets, the DeFi market reduces reliance on floating interest rates, contributing to long-term sustainability.

  3. Expanding the user base: Not only venture capitalists, but also individuals or organizations prioritizing risk management can confidently participate.

TREE – The foundation of a mature decentralized financial system

Treehouse is not simply creating a fixed income product. They are laying the groundwork for a new generation decentralized financial ecosystem, where stability, transparency, and efficiency coexist with the openness and innovation of blockchain.

If DeFi wants to become a truly competitive option against traditional financial systems, the emergence of fixed income solutions like TREE is an inevitable step.

♡𝐥𝐢𝐤𝐞💬 ➤ @Treehouse Official #Treehouse $TREE