Tranchess.com is a yield-enhancing asset tracker platform on the Binance Smart Chain with varied Risk-Return solutions. As for now, the platform has a TVL of $1.5 billion. The idea mainly comes from tranches funds, which are financial products that were very popular in the 1990s. In particular, Tranchess.com offers asset-backed funds: one backed by BTC and the other backed by ETH (as for now, the team behind tranchess is planning to add more assets in the future). Each of these two funds is made of three subfunds:

  1. one tracking BTC/ETH (called QUEEN token),
  2. the second tracking USDC (called BISHOP token),
  3. and the third tracks BTC/ETH with variable leverage up to 2x (called ROOK token).

This allows investors with different risk-appetite to use the platform how they best see fit.

  1. Someone who is holding BTC or ETH can deposit their assets on the platform to earn yield in $CHESS tokens.
  2. Risk-averse investors can deposit their USDC and earn up to 30% APR on their assets without the risk of Impermanent Loss (single asset deposit!)
  3. Crypto degenerates can go long on BTC or ETH without forced liquidation while at the same time earning some passive interest in $CHESS.

The platform is able to provide leverage without forced liquidation through a mechanism called rebalance that automatically adjusts the leverage of the tokens according to the total collateral. Once a day, tranchess' swap closes down for 45 minutes so that the protocol can evaluate whether the system is over-leveraged. I think it is basically the same system that binance is using for their leveraged tokens (I'm not entirely sure, please correct me if I'm wrong!).

What impresses me about tranchess is the amount of effort the developers have put into securing the protocol. First of all, they removed the risks of Oracle exploits by adopting a Time-weighted Average Price (TWAP). Indeed, when decentralized exchanges get hacked is often due to the oracle being exploited. What malicious users do is basically feed the oracle with false information (for example BTC=$1) so that they can buy assets at discounted prices. In order to exploit an exchange that utilizes TWAP, hackers would need to feed false information to the Oracle for 45 minutes straight (in the case of tranchess), which is far more difficult than flashing a fake price for a few seconds.

Two other aspects that make me very confident about the platform are that you can get insurance coverage for your funds on insurace.io and that there is a bug-bounty program through immunefi with up to $200k in rewards.

Not to mention that tranchess won binance's Most Valuable Builder prize in August and has been listed on binance under the innovation sector.

I've been using the platform for about 3 months now and I had a problem with a deposit once. The admins have been very fast in answering my questions and figuring out the problem. 10/10

Let me know what you think of it or if you've found any other similar platform, peace!

submitted by /u/Efficient-Ad-6818
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