Meet Tenet: A Blockchain Powered by Liquid Staking Derivatives
Tenet is a layer-1 DeFi blockchain solution designed to make your crypto life easier. Built using the versatile Cosmos SDK, Tenet brings a novel approach to improving network security and using Liquid Staking Derivatives (LSDs) in a way that's more secure than traditional methods.
There's a compelling reason why the spotlight in the DeFi and blockchain sector is veering towards Tenet (website). Constructed with the Cosmos SDK, Tenet has emerged as a contender in the realm of layer-1 DeFi blockchains, incorporating innovative elements that position it significantly ahead of its competitors. Primarily, the adoption of the Diversified Proof of Stake (DiPoS) is a notable innovation. This consensus model empowers not only Tenet's native token, TENET, but also the Omni-Chain tLSD token, to ensure robust network security. By employing Liquid Staking Derivatives (LSDs), Tenet’s DiPoS architecture furnishes a smart contract network that surpasses Ethereum in terms of security, amplifying its appeal for users and investors alike.
Moreover, the deft integration of a native stablecoin supported by a diversified basket of LSDs offers an extra layer of reliability. But the benefits don't stop there. The DeFi ecosystem within Tenet empowers users with a rich suite of options, from minting a stablecoin to providing liquidity or engaging in leverage trading with their LSDs. Furthermore, the governance of this intricate ecosystem is steered by veTenet, delivering an astute, reliable control system. Also, it's worth noting the multi-chain AI-powered web3 wallet, Eva, that provides advanced transaction assistance and user-friendly yield optimization strategies, further enhancing the user experience.
Tenet is an innovative layer-1 blockchain protocol crafted to function as a hub for LSDs. Its objective is to offer additional liquidity and yield prospects for LSDs, by providing users with the ability to re-stake their assets within the network and actively participate in Tenet's comprehensive DeFi ecosystem. As a testament to its effectiveness, Tenet has recently ventured into the Asian market via collaborations with Conflux and Qtum.
On top of these strategic partnerships, Tenet has also joined forces with Ankr, a trailblazer in the staking infrastructure realm. This alliance has facilitated the launching of LSD initiatives for its partnered layer-1 blockchains, thereby propelling their development further. Tenet's network paves the way for users to create projects and tokens, which will now be integrated with the LayerZero technology. This key integration enables interoperability and exposes users to a broader DeFi ecosystem across a plethora of smart contract blockchains.
The profound transformation of Tenet's LSDs into truly omnichain tokens, aided by LayerZero, is a breakthrough achievement. These tokens now possess the capability to be transferable, usable, and redeemable across all networks that are supported by LayerZero. As part of Tenet's commitment to drive greater utility for LSDs from various chains, they have developed a unique consensus model named DiPoS.
Stepping into the layer-1 DeFi blockchain sphere, Tenet deploys DiPoS and harnesses LSDs to establish a trustless stablecoin that is natively usable on EVM Libraries at the scale of Cosmos. The creation of DIPoS by Tenet leverages LSDs to provide a more secure smart contract network compared to Ethereum.
Notably, Tenet's DeFi ecosystem empowers users to mint a stablecoin, contribute liquidity, or conduct leveraged trading using their LSDs. The system's governance layer is fueled by veTenet, a powerful entity with the ability to direct the ecosystem. Tenet's multichain AI-powered web3 wallet acts as a welcoming entry point for non-technical individuals from around the globe to access the world of crypto. For the developers, the wallet opens up possibilities to create third-party applications.
As a DeFi-focused ecosystem, Tenet aims to provide liquidity and yield products for liquid staking derivatives. Its network security's genesis stake was designated to ETH, ATOM, BNB, MATIC, ADA, and DOT. In essence, Tenet is designed to establish a hub for LSDs and proffer additional liquidity and utility. The exciting trajectory of Tenet certainly indicates a promising future for the DeFi ecosystem and for the broader blockchain technology landscape.
At the helm of Tenet is the CEO Greg Gopman. Alongside him, Dan Peterson, the COO. These two provide invaluable strategic direction, fostering operational efficiency within the organization. While the exact size of the Tenet team remains undisclosed, their collective effort to drive innovation in the DeFi sector is palpable and laudable.
Providing critical insight and guidance to Tenet are esteemed advisors such as OpenAI fellow Andrew Carr and Camyar Matini, who serves as the Director of Growth Strategy at Blockdaemon. These seasoned professionals bring extensive industry knowledge and a valuable perspective, fostering strategic growth and progressive development within Tenet.
The backbone of Tenet's expansion and growth strategy is its key partnerships. Notably, Tenet has succeeded in establishing significant alliances with major layer-1 chains, a move that has facilitated its recent foray into the Asian market. Its collaborations with Conflux and Qtum, eminent players in the blockchain industry, testify to this strategic expansion.
Moreover, Tenet's partnership with Ankr, a top-tier staking infrastructure provider, exemplifies its commitment to fostering LSD initiatives across its partner layer-1 blockchains. This alliance not only enhances Tenet’s stakeholder value but also contributes significantly to the blockchain industry's broader growth.
Tenet's network now integrates LayerZero technology, enabling users to create projects and tokens with enhanced interoperability. This integration opens the door to a more expansive DeFi ecosystem across multiple smart contract blockchains, marking a significant stride in the evolution of the DeFi landscape.
In the evolving world of blockchain technology, Proof of Stake (PoS) has become a preferred choice due to its lower transaction costs, enhanced scalability, and a significantly smaller carbon footprint. However, the introduction of Tenet's innovative DiPoS is set to revolutionize the sector, adding an unparalleled layer of security and setting new standards for consensus models.
DiPoS achieves consensus through a diverse array of validators staking different assets, which reduces the risk of single-asset domination and network attack. This basket includes high-performing assets such as ETH, ATOM, BNB, MATIC, ADA, DOT, and the native token, TENET. This strategic mix of assets not only enhances network security but also makes it exponentially difficult for potential attackers to gain significant market control. Consequently, TENET emerges as one of the most secure blockchain networks right from its inception.
In the realm of decentralized finance, Tenet introduces an innovative Stablecoin Protocol that transforms the way we view interest-free loans. Based on the proven Liquity model, the Tenet Stablecoin Protocol allows for the issuance of LSDC, a USD-pegged stablecoin, against collateral composed of yield-bearing assets. LSDC, standing for Liquid Staking Dollar, can be redeemed at any point for its face value, against the underlying collateral, further reinforcing its stability and value.
These loans not only maintain an over-collateralized state for system health but are also protected by an LSDC-filled Stability Pool and a collective guarantee from fellow borrowers. This non-custodial protocol is built upon Liquity's codebase but extends its functionality to include a variety of collateral types and a unique, secure governance system.
What sets the Tenet Stablecoin Protocol apart is its decentralization of governance and capital efficiency. This system shields the protocol from governance-based attacks, such as those witnessed at Maker DAO, while avoiding stagnation issues experienced by protocols like Liquity and Reflexer. Unlike other stablecoins like DAI and LUSD, LSDC is minted against Liquid Staking Derivatives of assets staked on Tenet Validators. This means the collateral isn't just static; it bears yield and appreciates in value, providing continuous interest to the owner while offering on-demand liquidity via stablecoin minting.
As for the types of collateral supported, the Tenet Stablecoin Protocol is native to the Tenet blockchain and aims to support all tLSDs minted on its network. At inception, LSDC can be minted against assets such as twstETH, tcbETH, and tankrBNB, offering two sources of yield and making these tLSDs an attractive asset to hold.
The innovative Tenet wallet, Eva, presents a unique approach to addressing the pain points often encountered by newcomers to the crypto world.Eva's most significant shift comes in the form of replacing traditional key management with biometric authentication, aligning it with international banking apps in terms of security and ease of use. This feature eliminates the need for cumbersome keys, providing a safer experience for the user.
Additionally, Eva revolutionizes the user experience by leveraging AI to transform the typical crypto learning curve. With Eva, voice and text commands can directly translate into on-chain actions, dramatically simplifying the process for those just starting on their crypto journey. Finally, Eva integrates easy-to-use fiat rails into its system, allowing for seamless interactions between crypto and fiat currencies. With these features, Eva transforms the crypto experience from a daunting task to an accessible journey for all.
TENET, the native token of the Tenet blockchain, plays a central role in facilitating transactions and securing the blockchain. Required for transaction execution as a gas token, TENET forms the very foundation of the Tenet blockchain's usability. Moreover, TENET is essential in sustaining the security of the blockchain, with the token being stakable in a Validator through Tenet's pioneering DiPoS mechanism.
This staking process produces a LSD of TENET known as tTENET. This LSD, once further staked with the appropriate Staking Provider, generates validation rewards for securing the blockchain. tTENET represents an example of the various LSDs that form a critical part of the Tenet Network, contributing to existing liquidity on Tenet's DeFi protocols.
The veTokenomic model of TENET aims to incentivize participation in the Tenet DeFi ecosystem and its governance. By implementing this model at the base layer of the blockchain, TENET promotes an inclusive and diverse DeFi environment.
In terms of its initial distribution, Tenet conducted a token raise via the Daomaker Launchpad IDO platform, from May 10 to May 23, 2023. The total token supply amounted to 1.2 billion TENET, with 120 million TENET available for sale. Despite the hard cap being set at 2.4 million USD, the raise accumulated 840,000 USD.
The token distribution was methodically planned: 30% block reward, 20% staking, liquidity, market making, and incentives, 10% each for team and grants & ecosystem development, 8% for marketing, acquisitions, and partnerships, 6.5% for the public sale, 6% each for partners, advisors, consultants, and reserve, and finally, 3.5% for Key Opinion Leaders.
As of now, the price of Tenet stands at 11 cents, commanding a market cap of 12.5 million dollars, with a circulating supply of 108 million tokens. Thus, the TENET token serves not only as the lifeblood of the Tenet blockchain but also a potent incentive for participation and growth within the Tenet ecosystem.
Currently, Tenet is experiencing considerable traction in the blockchain and decentralized finance sector. Its unique consensus mechanism, the Diversified Proof of Stake, has sparked industry interest, and strategic partnerships have cemented its position as a formidable player in the competitive Layer 1 EVM blockchain space. Significant growth in the DeFi sector, along with the rising adoption of blockchain technology in various industries, implies a promising future for platforms like Tenet. The integration of cross-chain capabilities and liquid staking derivatives has the potential to attract more users, thereby expanding the ecosystem and driving value for the native TENET token.
This detailed exploration into Tenet sheds light on the unique innovations and potential it offers in the rapidly evolving DeFi and blockchain sector. Tenet, built with the Cosmos SDK, stands out with its groundbreaking dPoS consensus model, liquid staking derivatives, and an all-inclusive DeFi ecosystem, setting it significantly ahead of many Layer 1 EVM blockchains. Key takeaways from this analysis are Tenet's dPoS consensus model, which offers superior network security by utilizing a diverse array of assets including its native token TENET and the Omni-Chain tLSD token. It is also noteworthy that the Tenet network allows users to actively participate in its DeFi ecosystem and provides additional liquidity and yield prospects for LSDs.
Tenet's forward-thinking approach is further exhibited in its strategic partnerships with major Layer 1 chains and its expansion into the Asian market. Its alliance with Ankr and the integration of LayerZero technology in its network enhances its operational capabilities, showcasing its commitment to fostering LSD initiatives across partner blockchains and creating a more expansive DeFi ecosystem. The introduction of its innovative stablecoin protocol and the AI-powered wallet, Eva, signals Tenet's commitment to user experience and security. The stablecoin protocol allows for interest-free loans backed by yield-bearing assets, while Eva revolutionizes the crypto experience by using AI to simplify processes for newcomers.
Lastly, the TENET token forms the backbone of the Tenet blockchain, playing a vital role in securing the blockchain and facilitating transactions. Its utility and strategic distribution provide strong incentives for participation and growth within the ecosystem. While the future of Tenet remains speculative, the current traction and potential it displays in the DeFi and blockchain sector is impressive. Its commitment to technological innovation and strategic growth provides a promising outlook for its future, with the potential to significantly impact the DeFi ecosystem and the broader landscape of blockchain technology. However, as with any investment, it's crucial to conduct thorough research and consider market volatility and unpredictability.
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