Understanding Tenet in one article: Focus on LSD, Cosmos-based EVM new public chain

Original: "Tenet: A New Public Chain for LSD"

Author: Leo

With the rise of LSD narrative, LSD track innovation mechanisms are also emerging one after another, such as frxETH V2, such as Pendle, but today I will introduce a new LSD protocol, which is also a Layer 1 blockchain designed for LSD - Tenet Protocol.

Tenet Protocol is an EVM-compatible Layer 1 blockchain-level protocol based on Cosmos. It uses LayerZero to cross-bridge LSD assets and bring LSD to the chain level. Next, we will briefly introduce the unique features of this project.

Tenet Features

Tenet has two major features. One is the innovative consensus mechanism, which is called Diversified PoS (Diversified Proof of Stake). In short, Tenet is PoS, and its "Diversified" innovation is that it can not only maintain the network through its own native token TENET, but also protect the network through Omni-Chain tLSD token, which allows assets on one chain to be pledged to another One chain, rather than a single token, maintains network security, thereby establishing a mutually beneficial economic cooperation relationship and increasing the security of its network, and Omni-Chain is also a mainstream trend in the future encryption in the eyes of most people;

The second is that it launched its own decentralized stable currency LSDC (LSDC stands for Liquid Staking Dollar), which is supported by LSD tokens, currently including: ETH, BNB, ADA, ATOM, and will continue to increase in the future. Users can use over-collateralized LSD mint stablecoin, as a decentralized stablecoin, the reserve certificate is completely transparent and can be viewed on the chain.

Users can use their own LSD assets to borrow LSDC at zero interest, earn extra income from Tenet DeFi Dapp; add LSDC to the stable pool and get rewards from liquidation or Native Gauge voting. Currently, LSDC can target various LSD asset mints such as stETH, rETH, and ankrBNB.

In addition, Tenet Protocol also launched its own wallet Eva at the end of May. Eva was designed with retail investors in mind. This is a keyless wallet designed for people with zero encryption knowledge. It can also be commanded through AI commands The wallet operates on the chain. In addition, Eva also provides On/off-ramp fiat and pledge in the wallet, similar to the previous Sui wallet, the official download link (

Tenet token

Tenet's native token is TENET, which also serves as the base layer gas of the Tenet chain to pay transaction fees.

In addition, when users pledge TENET, they will receive a TENET LSD named tTENET. The token model of TENET comes from veTokenomics, and users can lock tTENET to generate veTENET. veTENET represents voting escrow TENET, which means that the longer tTENET is locked, the more veTENET will be received. Like the traditional veToken model, veTENET can vote on protocol governance and reward standards. The shortest time to lock tTENET as veTENET is A week is up to a year. The following are the criteria for locking tokens to obtain veTENET:

Holding veTENET can get rewards from various levels:

• TENET Authenticator
• TENET Stablecoin Protocol
• TENET money market
• TENET DEX

Tenet's Stablecoin Lending

Tenet Stablecoin Protocol provides zero-interest lending, and has higher capital efficiency than other lending systems (that is, less collateral is required for the same loan amount), and allows users to mortgage assets that have already generated income by participating in Tenet node verification. Users can use the protocol to lock up LSD, borrow LSDC, and then repay the loan on the due date, instead of selling these mortgaged assets to obtain liquidity.

One of the better things about Tenet is that users can do Matryoshka operations, by using yield collateral as a loan and exchanging LSDC for more yield collateral, getting more funds and depositing them in CLIP to use leverage. Additional liquidity can be obtained from already yielding assets that users wish to hold for the long term, allowing them to continue to have exposure to assets to earn yield.

CLIP stands for Collateralized Liquid Interest Position, and its concept is similar to Vaults or CDPs. Each CLIP is bound to a Tenet address, and each address can only have one CLIP of each collateral type.

CLIP includes: mortgage assets and LSDC-denominated debt. Users can change the amount of CLIP at any time by adding collateral or repaying debt, and the CLIP collateral ratio will change accordingly.

Tenet Team and Partners

The Tenet team includes veteran talents in the DeFi and AI fields, core team members or contributors from companies such as Ankr, Lido, Blockdaemon, and even Open AI. They are:

-CEO Greg Gopman - 前 Ankr CMO

-CPO Alex Cheng - Former Tendermint and Composable Finance Product Manager

-CTO Dan Lashin - Former Minter CTO, developed Cosmos DEX and wallet

-BD and DeFi Partner- Owl Ventures

Currently its partners have announced ankr and LayerZero, and other partners will be announced in the future.

Introduction and interaction of LSD Pad launched by Tenet

As mentioned earlier, the LSD narrative is in the hot stage, or the mainstream of the next bull market. Tenet also recently launched the LSD Pad, the industry's first launchpad built specifically for LSD-focused projects. LSD Pad is built on Tenet and aims to launch key LSD-related projects on the Tenet chain. It is also supported by the Tenet Foundation. The launchpad supports LSD DeFi, LSD Game, and LSD incentive products.

LSD Pad is the first launchpad dedicated to LSD key projects. Backed by Tenet, the Tenet community naturally has the opportunity to experience the LSD ecological projects on Tenet and other chains first. The native token of LSD Pad is LSDP. The operation mode of LSD Pad is different from other launchpad is similar:

• Pledge LSDP

-Participate in IDO

-Purchase and confirm IDO allocation

Basically the more you put in, the more shares you get, and to celebrate the launch of the LSD Pad, the Tenet team is conducting a Fairdrop with a total of 20% of the LSDP supply, which will be airdropped to:

• Stakers in Tenet Mainnet

• LSD stakers (including Ankr, Stader and Lido's LSD)

However, the snapshot time and specific airdrop rules have not been announced yet. Users can still go to the LSD Pad to pledge and interact. The steps are very simple, as follows:

-Enter the pledge official website

• Obtain TENET, which can currently be purchased through the following four trading platforms, or through Uniswap, and then bridge TENET from other networks to the TENET mainnet through Multichain.

-Enter the amount and click Stake to pledge (the pledge token draw is currently being carried out to obtain NFT raffles, which can be deposited into the Eva wallet in the future for "Trade2Earn")

Conclusion

Tenet integrates LSDfi, L1 blockchain, Omni-Chain, native wallet, Fiat on-ramp, native token, native stablecoin and AI. For now, the LSD track is hot, and it is not difficult for Tenet to become the next LSD giant. Of course, Tenet’s shortcoming is that it relies too much on LSD. If the LSD narrative disappears, then Tenet will also die.