Tren AI Protocol
  • Get Started
    • What is Tren AI Finance?
      • LP Tokens
      • Money Market Deposits
      • Concentrated Liquidity Positions
      • PT Tokens
  • Protocol
    • Protocol Design & Risk Management
    • Isolated Modules
    • Liquidations
    • Asset Risk
    • Proof-of-Liquidity
  • Tokens
    • TREN & veTREN
Powered by GitBook
On this page
  1. Tokens

TREN & veTREN

TREN is a fixed-supply value accrual token architected on the principles of the ve(3,3) model

PreviousProof-of-Liquidity

Last updated 4 months ago

What is TREN?

TREN is the token for Tren Finance, with 90% of protocol revenue directed towards TREN . The token supply is designed to diminish over time through , and starts at a fixed initial supply of 1 billion tokens. As the cornerstone of our ecosystem, TREN plays a crucial role in aligning incentives among stakeholders and fostering the development of a sustainable hybrid DAO-governed protocol.

What is veTREN?

veTREN stands for "vote-escrowed TREN," a modification of the model prevalent in DeFi that encourages long-term governance participation and investment. Unlike regular TREN tokens, veTREN cannot be transferred and is used to gauge the voting power and economic commitment of users who choose to lock their TREN tokens for a specified duration.

Through veTREN, Tren Finance not only ensures robust governance and fosters long-term engagement, but also aligns holder incentives with the overall success and profitability of the platform. By enabling veTREN holders to capture a significant portion of the protocol's full economic activity, it underscores a superior model for value accrual compared to traditional lending platforms. This strategic approach enhances governance effectiveness and ensures that committed stakeholders have a substantial impact on the protocol’s direction and financial health.


veTokenomics

Token Lockup and Voting Power

Users commit their TREN tokens to obtain veTREN, with the lockup period ranging from one week to a maximum of 4 years. veTREN works nearly identical to Curve's model. The duration of the lockup significantly influences the user's voting power and potential yield, embodying the principle: the longer the lock, the greater the influence and rewards. veTREN is designed so that even users with low TREN holdings can still have a significant impact on the ecosystem through locking.

value accrual
buybacks
TREN burns
veTokenomics
veCRV