Launched DeFi protocol Tranchess supported by 3AC to track Bitcoin performance

Su Zhu, CEO of Three Arrows Capital, announced the launch of Decentralized Finance (DeFi) protocol Tranches.

Twitter On Thursday, Zhu described Tranchess as a “tokenized asset management and derivatives trading agreement.”

Although the project aims to become a multi-chain, multi-asset DeFi protocol, its design goal is to become a Decentralized autonomous organization, The first iteration of Tranchess focused on Bitcoin (Bitcoin).

Tranchess 1.0 provides relevant access to the BTC price performance tracker. Since the initial launch of the project is on the Binance Smart Chain, users will need to own BTCB, the BEP-2 version of Bitcoin.

According to the project white paper, Users exchange BTCB in exchange for QUEEN-the main native token. Alternatively, investors can use dollar coins (USDC) Supported exchanges.

The ownership of QUEEN tokens enables users to participate in protocol sub-funds or batches. In keeping with the chess theme, the sub-funds are called BISHOP and ROOK. Investors only need to split their QUEEN tokens into BISHOP and ROOK at a ratio of 50-50.

According to Zhu’s tweet, farming on Tranchess allows single-asset bets in response to Impermanent loss“If you hold BTC, please create Queen tokens. If you hold USDC, please create Bishop tokens,” the head of 3AC added in a Twitter post.

In addition to agriculture, you can also choose to enter a leveraged long position in Bitcoin through ROOK tokens. However, as Zhu pointed out, “There is no compulsory liquidation, and there is no soaring capital cost.”

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Exchanging BTCB for QUEEN is called the “creation” step, and Tranches users can also go in the other direction by exchanging their QUEEN tokens for BEP-2 bitcoin-the “redemption” step. Before that, users must merge BISHOP and ROOK tokens back into the entire QUEEN “coin”.

Back in July, Tranches Guaranteed $1.5 million in seed funding from well-known backers such as 3AC, Spartan Group, IMO Ventures, LongHash Ventures, and Binance Labs.