dTRINITY Launches Subsidized Stablecoin Lending Protocol on Fraxtal L2

Singapore, Singapore, December 18th, 2024, Chainwire dTRINITY, a next-generation stablecoin liquidity protocol, has announced its mainnet debut

A new subsidized stablecoin lending protocol has just hit mainnet on Fraxtal L2. Named dTRINITY, the protocol aims to lower interest expenses and improve yields for stablecoin users, addressing a key challenge in DeFi today.

At its core, dTRINITY features a protocol-native stablecoin (dUSD) that acts as the unified liquidity layer between its money markets (dLEND, an Aave v3 fork) and external liquidity pools (e.g., Curve). dUSD is backed 1:1 by an on-chain collateral reserve consisting of stablecoins like USDC, FRAX, and DAI, as well as yieldcoins such as sFRAX and sDAI. Exogenous yields from the reserve are redirected to fund ongoing interest rebates for dUSD borrowers on dLEND, based on their outstanding debts, which reduces the effective borrowing cost. This mechanism not only stimulates borrowing demand but also drives more sustainable utilization and yields for dUSD lenders.

dTRINITY is launching on Fraxtal as its genesis network in a strategic collaboration with Frax to optimize ecosystem liquidity and user incentives. Fraxtal is an EVM-equivalent rollup with a scalable smart contract platform and efficient execution environment powered by the OP stack. Users can take advantage of Fraxtal’s fast transaction speed, low gas fees, robust network security, and unique blockspace rewards, further enhancing their benefits.

In the near future, dTRINITY plans to expand to Ethereum and other emerging blockchains, strengthening cross-chain liquidity and interoperability with Fraxtal as the network scales.

Key Features of dTRINITY:

dTRINITY’s core contributors include the co-founders of Stably. The project has been in development since Q2 2024 and secured 1st place at both the ETHVietnam and Fraxtal Hackathons earlier this year. Strategically, dTRINITY is advised by the co-founders of Frax, Convex, Sky (formerly MakerDAO), Coin98, and Promontory Partners, bringing a wealth of experience from leading stablecoin and DeFi pioneers to the protocol’s development.

For more information, users can visit dtrinity.org and follow @dTRINITY_DeFi on X.

About dTRINITY

dTRINITY is the world’s first subsidized lending protocol, designed to reduce borrowing costs and enhance yields for stablecoin users in DeFi. The protocol is powered by dUSD, a decentralized stablecoin backed 1:1 by an on-chain yieldcoin reserve. Exogenous yields from the reserve are used to fund ongoing interest rebates for dUSD borrowers, lowering their effective borrowing rates. dTRINITY is now live on the Fraxtal L2, and it will be expanding to Ethereum plus other networks in the future.