When interest rates become the benchmark, TREE aims to pave a foundational path for DeFi
In the crypto market, narratives are often impulsive: one token surges due to hype, while another token plummets due to changing trends. Yet amidst this noise, what is truly lacking is the 'foundation' that allows the market to operate stably. TREE emerges in this context, not to tell a new story, but to fill a gap.
1. Why interest rates
Interest rates are the price of funds. Without a unified interest rate benchmark, the flow of funds resembles a water level gauge without markings, with different numbers shouted by each platform. The result is a chaotic lending market and ambiguous risk pricing. For DeFi that strives for long-term development and aims for mainstream acceptance, this is undoubtedly a significant hidden danger.
2. TREE's solution
$TREE provides two key mechanisms:
• tAssets, allowing staked assets to automatically optimize returns across platforms, helping users achieve more efficient returns without increasing complexity.
• DOR, which generates credible on-chain interest rates through decentralized consensus. It allows different predictors to shape the benchmark collectively with their own judgments, making interest rates no longer arbitrary slogans, but rather the result of market consensus.
3. The significance of TREE
$TREE tokens are not just an investment target; they are a bond for governance, staking, and incentives. They enable participants to truly enter this system and contribute to the formation of interest rates. More importantly, they extend the purpose of the token's existence from 'speculation' to 'construction'.
4. What it aims to prove
Beyond the surges and falls in the market, @Treehouse Official aims to prove: DeFi can be more than just an investment playground; it can also be a gradually improving financial system. The attempt at establishing a benchmark interest rate may become the cornerstone of the future.