There are indeed people bringing traditional finance concepts into Web3. TreeHouse @TreehouseFi, in collaboration with FalconX @FalconXGlobal, "the world's largest integrated brokerage for digital assets," has just launched the first Ethereum staking rate forward contract, the "TESR FRA." This is the first time in DeFi history that a forward rate agreement (FRA) / interest rate swap (IRS) has been introduced. ❓ What is this complicated Ethereum staking rate forward contract "TESR FRA"? ❓ Aren't there enough things to play with in decentralized finance (DeFi)? Why introduce something like this? With these two questions in mind, as a former worker in traditional finance, let me give you an example to explain. First, let's look at the FRA (Forward Rate Agreement). In traditional finance, an FRA is a financial derivative contract that allows both parties to agree on interest settlement for a nominal principal at a fixed rate over a specific future period. Essentially, it is a tool for...
🌳 A Major Milestone in DOR Adoption
@FalconXGlobal has executed the first tradable Ethereum Staking Rate Forwards (FRAs) referencing TESR, the benchmark staking rate published by Treehouse.
Institutional participants include Edge Capital, Monarq, Mirana & more.
Read on. 🧵👇
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