CeDeFi Assets (CA) Design Framework

Phase 1: Asset Selection and Regulatory Compliance

Objective: Collaborate with institutional partners to identify high-quality, yield-generating assets (e.g., traditional finance hedge funds, supply chain financing, cash flow loans).

Compliance: Conduct rigorous legal and regulatory evaluations to ensure assets meet CeDeFi standards and regional compliance requirements.

Phase 2: Asset Tokenization via LT-RT Mechanism

Liquidity Token (LT) Issuance: Mint LTs based on the asset’s valuation (LT = V), enabling trading on decentralized and centralized exchanges (DEX/CEX).

Rebase Token (RT) Creation: Generate RTs daily (RT = LT) to represent the yield-bearing component of the asset.

Protocol-Driven Adjustment: Utilize the CICADA Protocol to dynamically manage LT/RT ratios through a buyback mechanism (LT = I / P), where I represents daily net revenue and P denotes the LT market price.

Phase 3: Liquidity Enablement

Market Integration: List LTs on exchanges to ensure robust liquidity, while RTs automatically compound yields via a rebasing mechanism (e.g., RT_holder gains = RT_minted × RT_holder’s stake / RT_total).

Investor Options: Provide flexibility for investors to hold LTs for liquidity or convert to RTs for yield accumulation.

Phase 4: Yield Allocation and Long-Term Viability

Revenue Generation: Distribute yields derived from asset-specific cash flows, such as loan interest or fund dividends.

Golden Shovel Mechanism: Aggregate returns from centralized finance (e.g., Treasury Bills) and decentralized finance (e.g., staking), combining low-risk yields with crypto-native opportunities to enhance sustainability.