In today's thriving Decentralized Finance ( DeFi ) landscape, a key issue is gradually coming to light: this emerging market lacks a unified interest rate benchmark. In the traditional financial system, the Central Bank plays the role of the "interest rate helmsman," while the DeFi world has always been lacking such an entity.

The emergence of the Treehouse project may change this situation. The project is not aimed at issuing tokens, but is dedicated to building an "Interest Rate Navigation System" for the entire on-chain financial system.

The core concept proposed by Treehouse is TESR (Treehouse Effective Stablecoin Rate). This metric aims to become the "interest rate compass" in the DeFi space. The calculation of TESR is based on the DOR (Decentralized Oracle Rate) mechanism, which takes into account data from multiple nodes and institutions, as well as actual on-chain transaction data, including staking yields, swap prices, and liquidation situations. This approach is expected to produce a more objective and reliable "consensus interest rate."

Currently, the interest rate situation in the DeFi market can be described as chaotic. Each platform calculates independently, leading to extreme fluctuations in the annualized yield (APY), with even the risk of manipulation. The lack of a recognized benchmark makes the entire market feel like a vegetable market without a scale to rely on. This situation is unimaginable in the TradFi market.

The goal of Treehouse is to bring order to this chaotic market. With TESR as the benchmark, there may be futures based on standardized interest rates, interest rate-linked stablecoins, and more reliable clearing mechanisms in the future. This will transform DeFi from a collection of disparate "wild paths" into a mature market with unified standards.

Treehouse's ambition goes beyond issuing a new token or creating another Decentralized Finance protocol. Its goal is to establish a "central console" for the entire on-chain financial system. Just as Uniswap redefined decentralized trading and Aave changed the lending model, Treehouse aims at the foundation of the Decentralized Finance ecosystem: a reliable interest rate benchmark.

The emergence of Treehouse may mark an important turning point in the DeFi world. It is not simply following trends but attempting to establish new rules and standards for the entire industry. If successful, this will be an important step for DeFi towards a more mature and regulated market.