Treehouse Brings Fixed Income to DeFi

What it is:

Treehouse Protocol is creating DeFi’s fixed-income layer, introducing products that mirror traditional finance bonds and benchmarks:

• tAssets (e.g., tETH): Tokens that lock in predictable yield.

• DOR (Decentralized Offered Rate): An on-chain equivalent to LIBOR/SOFR — a benchmark lending/borrowing rate.

Why it matters:

• Institutional adoption: Traditional finance runs on fixed income; bringing it on-chain opens DeFi to banks, hedge funds, and corporates.

• Stability: Unlike variable DeFi yields, Treehouse offers predictable returns, making it more attractive to risk-averse investors.

• Growth: Already over $300M in TVL and 30,000+ wallets since late 2024, showing strong traction.

Implications:

Treehouse is building the “bond market of DeFi”. If it succeeds, we’ll see capital inflows from institutions that were previously hesitant to enter volatile crypto lending markets.

Final Takeaways

• Treehouse → First true fixed-income system in DeFi, institutional bridge.