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FAQ

Frequently Asked Questions about Tren Finance

chevron-rightWhat are the AI agents used in Tren Finance?hashtag

Tren AI operates through a network of specialized AI agents, each performing a specific function. Read more about each of them herearrow-up-right.

chevron-rightWhat happens if an AI agent makes a mistake?hashtag

Tren AI includes multiple fail-safes to prevent incorrect AI decisions:

  • AI decisions are validated using multiple sources before execution.

  • Emergency governance overrides allow manual intervention if needed.

  • Rate limits on AI adjustments prevent sudden extreme changes in protocol settings.

chevron-rightHow does Tren AI learn and improve over time?hashtag

Tren AI employs machine learning and RAG (Retrieval-Augmented Generation) to continuously refine its models:

  • AI agents track every decision, past risk events, and liquidation records.

  • Reinforcement learning helps AI fine-tune strategies for better capital efficiency.

  • AI retrieves governance history to ensure consistent and optimal decision-making

chevron-rightHow does Tren AI use LangChain and RAG technology?hashtag

Tren AI utilizes LangChain and RAG (Retrieval-Augmented Generation) to process structured and unstructured data:

  • RAG retrieves historical governance, risk events, and liquidation data.

  • LangChain Tools fetch real-time market data, trading volumes, and oracle feeds.

  • AI combines both data sources to make informed, real-time decisions on protocol adjustments.

chevron-rightDoes Tren Finance have redemptions?hashtag

No, Tren Finance does not have redemptions. To see why, please read here

chevron-rightWhat are the use cases and strategies that I can employ with Tren Finance?hashtag

Tren Finance unlocks numerous ways to (re)collateralize idle liquidity. Please read our Use Cases section and detailed explanations of the different Strategies that you can employ.

chevron-rightDoes the protocol use isolated, or cross-collateral pools?hashtag

The protocol uses isolated modules architecture. Read more

chevron-rightHow does XY maintain its peg?hashtag

Tren Finance uses soft peg, and hard peg mechanisms for when XY is above and below its target peg. If XY is below peg for a sustained period of time, a XY buyback and burn program is deployed. Read more

chevron-rightHow does the protocol handle liquidations?hashtag

The protocol primarily relies on the Insurance Pool mechanism for liquidations. Read more

chevron-rightDoes the protocol have revenue sharing mechanisms? How does TREN accrue value? hashtag

90% of protocol revenue goes towards TREN buybacks. Read more

chevron-rightHow does protocol revenue distribution work? hashtag

Protocol revenue allocation is decided by the TrenDAO (veTREN holders). The TrenDAO vote on different Gauges to decide protocol revenue allocation and distribution. Read more

chevron-rightDoes Tren Finance have a token?hashtag

Yes, there are two tokens on Tren Finance. One is TREN, a fixed-supply value accrual token architected on the principles of the ve(3,3) model. The other token is XY, a synthetic dollar debt token backed by overcollateralized loans.

chevron-rightWhat stablecoins are eligible for deposit in the Liquidity Generation Event?hashtag

USDT is currently eligible. We will look to expand the list of eligible stablecoins based on demand.

chevron-rightIs there a way to repay loans / withdraw collateral via smart contracts and not the frontend?hashtag

Yes. Follow the steps outlined here.

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