What is TrueFi? We are very familiar with borrowing and lending projects in the traditional financial market. It plays a huge role in promoting economic development. So, how to connect the traditional financial market with Defi (Decentralized Finance)?
Let’s find out details about this project!
What is TrueFi?
TrueFi is a project in the Credit Protocol segment. Here lenders can earn sustainable profits by providing loans to the protocol’s Pool. For borrowers, assets can be borrowed from the platform without collateral.
Mechanism of Action
- Step 1: Lender (Lender) provides his assets into the project Pool, here there are 2 options:
- 1. Provide Stablecoins such as: USDC, USDT, TUSD… into the Lending Pool and receive a reward of TRU Token. If the assets are not fully borrowed, TrueFi DAO will provide liquidity on Curve.
- 2. Provide assets into Permissioned Pools – This is the Pool of other organizations, there are some Pools where lenders must KYC to lend.
- Step 2: Borrower (Borrower) registers for a loan, filling in all the information required by TrueFi.
- Step 3: Passing TrueFi DAO censorship depends on the votes of TRU Token holders. If the percentage of “Yes” votes is higher than “No”, the loan will be approved. The loan will be in TrueUSD (TUSD).
Project Highlights
- Lender (Lender): There will be a steady stream of profits because assets do not stay in one place. If there are no borrowers, the project smart contract will automatically provide liquidity on Curve to earn rewards.
- Borrower (Borrower): Borrow money without collateral.
Core Team
The TrueFi development team is the TrueUSD (TUSD) Stablecoin development team. A quite famous Stablecoin in the Crypto market.
Rafeal Cosman: Chief Executive Officer & Co-Founder
- He graduated in computer science from Stanford University.
- He has many years of experience in the field of technology and AI. Used to work for Google as AI Research.
Alex de Lorraine: Chief Operations Officer & COO
- He has many years of experience in the business field.
- Having worked at Google for more than 7 years, he was responsible for revenue and service management activities.
Investor
- August 5, 2021: TrueFi announced a successful call for $12.5M invested by A16z-Andreessen horowitz, BlockTower Capital, Founders Fund, Alameda Research and several other investors.
Tokenomics
Overview information about TRU Token
- Name: TrueFi
- Ticker: MINUS
- Blockchain: Ethereum
- Contract: 0x4c19596f5aaff459fa38b0f7ed92f11ae6543784
- Total supply: 1,198,450,773
Token Allocation
- Private Sale: 28.5% for Private round investors.
- Future Team: 4.5% for future developers.
- Team & Management: 18.5% for Team and project management.
- Incentive Distribution: 39% is for the community, users, and Incentive programs of the project.
- Grants/Company: 9.5% subsidy for Startups, development projects around TrueFi.
Token Use Case
TRU is used for the following purposes:
- Project management.
- Staking: Staking users have the right to Vote (Vote) for loans. If Vote is correct, they will receive TRU Reward from the project.
Exchanges
Currently TrueFi (TRU) is being traded on most large and small exchanges such as: Binance, Coinbase, Kucoin, MEXC…
Project Information Channel
- Website: https://truefi.io/
- Twitter: https://twitter.com/TrueFiDAO
- Discord: https://discord.com/invite/Yx7J4jZ
- Blog:
Summary
TrueFi is a very noteworthy project in the Credit Protocol puzzle. They also attract many famous investment funds in the market. However, the Project has not had many breakthroughs in the past year. How to design tokenomics also has many issues that need to be discussed.
Follow the development of this project with Weakhand!