What Is Lorenzo Protocol? On-Chain Asset Management Explained
A clear breakdown of how Lorenzo combines institutional finance, DAO governance, and tokenized investment products.
Lorenzo Protocol: Institutional Asset Management, On-Chain
Lorenzo Protocol is an institutional-grade on-chain asset management platform designed to bring traditional financial strategies into DeFi with full transparency.
Users deposit assets such as stablecoins or Bitcoin into smart contract vaults. Through its Financial Abstraction Layer (FAL), capital is allocated into diversified strategies including quantitative trading, structured yield, and managed futures. In return, users receive tokenized positions known as On-Chain Traded Funds (OTFs), which represent ownership in the underlying strategy and can be used across DeFi.
Governance is handled by a DAO powered by the BANK token and its vote-escrow version, veBANK. veBANK holders vote on risk limits, asset allocation frameworks, fee structures, and treasury management. Governance is supported by specialized committees, mirroring institutional oversight while remaining fully on-chain.
Insight: Lorenzo aims to combine financial discipline with decentralized transparency.
#LorenzoProtocol @Lorenzo Protocol $BANK #Write2Earn
Protocol overview and governance explainer
Disclaimer: Not Financial Advice
