In the crypto world, everyone is chasing 'higher yields,' but fixed income products have always lacked breakthrough progress. The Treehouse protocol precisely addresses this pain point, proposing two brand new primitives—tAssets and decentralized quoted interest rates (DOR)—bringing a fresh breeze to on-chain finance. The core supporting this is its native token, TREE 🌱.

🌟 What exactly is the TREE token?

In simple terms, TREE is the 'fuel' + 'voting rights' + 'margin' of the Treehouse protocol. Its role is mainly reflected in several aspects:

  • 💰 Payment of fees: All references wishing to use DOR data must pay with TREE.

  • 🛡️ System security: Panel members must stake TREE to participate in interest rate predictions, and submitting incorrect data will result in penalties.

  • 🗳️ Governance voting: TREE holders can decide important parameters and future directions of the protocol.

  • 🎁 Incentive distribution: Panel members and delegators who predict accurately will receive TREE rewards.

In summary: TREE is not just a token, but the 'blood circulation system' of the entire Treehouse protocol. 🚀

📊 Token economics: both stable and flexible

The total supply of TREE is 1 billion tokens. The distribution design takes care of the team and investors while leaving a large share for the community and ecosystem:

  • Strategic investors: 17.5%

  • Team: 12.5%

  • Community rewards: 20%

  • Airdrop related (community + future): 15.75%

  • Ecosystem fund: 10%

  • Treasury: 12.5%

  • Others (liquidity, exchange cooperation, etc.): small proportion of support

What does this mean? 👉 On one hand, the team and investors have sufficient motivation to stay in the long run; on the other hand, the community and ecosystem receive a larger share, which can promote user growth and application landing of the protocol.

Looking at the release mechanism again, it is quite reasonable: both investors and the team need to undergo a lock-up period of six months to a year, and then gradually unlock; community rewards and ecosystem funds will be evenly released over 4 years. This design allows the supply curve of TREE to remain relatively stable, avoiding short-term sell pressure. 📈

🌐 The practical uses of TREE

TREE is not merely a 'governance token'; its actual application scenarios are quite rich:

  1. The 'pass' to access DOR data 🔍

    References must pay TREE to access DOR.

  2. The 'margin' of panel members ⚖️

    Must stake TREE before submitting predictions to avoid data misreporting.

  3. The medium of reward distribution 🎯

    Those who predict accurately receive TREE rewards, while those who are not accurate may face penalties.

  4. The certificate for governance voting 🗳️

    TREE holders can decide the development direction of the protocol.

To put it bluntly, TREE is not a dispensable 'decoration' in Treehouse, but a genuinely useful tool.

🚀 Why is TREE worth paying attention to?

Treehouse's core innovations have two points:

  • tAssets (like tETH): Enhance returns above PoS through arbitrage, truly a 'LST 2.0'.

  • DOR: A decentralized benchmark interest rate system that can replace LIBOR and SOFR in traditional finance.

In this system, TREE is both a tool for economic incentives and the foundation of governance. As the Treehouse protocol gradually expands to more L1 and L2, the demand for TREE will naturally rise. 🌊

🔮 Future outlook

According to the roadmap, what Treehouse is going to do next is very imaginative:

  • Launch more tAssets on other public chains like BNB, Solana 🌐

  • Bringing tETH to L2, raising the user access threshold

  • Building an OTC market for ETH staking rate forward contracts (FRA)

  • Promoting the application of DOR in CeFi audits and benchmark interest rates

This indicates that the application boundaries of TREE will continue to expand, moving from on-chain DeFi to a broader financial world.

🎯 Summary

The Treehouse protocol opens up a new track in the DeFi fixed income field, with TREE being the 'key gear' driving this track. 🌳

For investors, TREE is not just a token, but an opportunity to participate in building a decentralized interest rate system. As the Treehouse ecosystem gradually grows, the long-term value of TREE may also be recognized by more people.

In the future DeFi world, fixed income may no longer be a luxury but an infrastructure. And TREE is a key part of this infrastructure.

#Treehouse @Treehouse Official $TREE