TREN
The governance token of Tren Finance
What is TREN?
TREN, serving as the governance token for Tren Finance, is designed with an initial fixed total supply of 1 billion tokens, a supply that will gradually diminish over time. This token plays a central role in our ecosystem, functioning as the core element that aligns incentives among stakeholders, fostering the development of a sustainable DAO-governed protocol.
Business Model
Tren Finance stands out from traditional protocols like AAVE, Compound, and Silo by taking on the exclusive role of the protocol's lender, responsible for minting trenUSD. In addition to this, the project introduces its own liquidation bot, with profits benefiting the project rather than the founding team. This unique functionality enables Tren Finance to secure the entire supply side interest yield and liquidation profits among other revenue streams, directing them towards TREN buybacks for staking real yield and burns to amplify value accrual. Token holders directly partake in the advantages of the protocol's revenue streams, including liquidation fees, returns from the liquidation bot, borrowing fees, borrowing interest, and performance fees. The business model is intricately designed to reward stakeholders providing the most value to TREN, such as users engaging in liquidity provision and staking, receiving greater rewards compared to those who simply hold the token.
Protocol Revenue Streams
Liquidation bot profit
Liquidation fees
Borrowing fees
Borrowing interest
Performance fees
Governance
Just as equity ownership grants decision-making power in a business, holding TREN tokens provides governance participation. While governance itself is not novel, the unique aspect lies in the presence of an AI board member. The Tren DAO members play a crucial role in approving or rejecting Tren AI proposals, ensuring the protocol's sustainable development. Additionally, they have the authority to propose modifications to the current protocol. Governance extends the ability to suggest new asset listings on Tren or where trenUSD should be minted. It even allows proposals for expanding Tren Finance to a new blockchain and more.
Tokenomics
Token Allocation
Token Release
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