Introduction
Since the beginning of the TAC Summoning Campaign, Treehouse has been partnering with TAC to bring the tAssets product suite to a broader group of users on Telegram, expanding adoption and usability of tETH and related products.
As such, following TAC’s mainnet launch, the Treehouse team has been collaborating with the TAC team to develop a bridging solution for tETH. As part of this effort, Treehouse partnered with Chainlink to integrate tETH with Chainlink’s Cross-Chain Interoperability Protocol (CCIP), enabling tETH to be bridged to TAC in the ERC-20 token standard.
However, Chainlink oracle feeds are not yet deployed on TAC, which presents a blocker for setting up key DeFi integrations such as Curve pools. Without reliable price feeds, tETH liquidity and DeFi adoption on TAC could be constrained.
To address this gap, this proposal seeks approval for the protocol to deploy its own tETH/wstETH Fundamental Exchange Rate Feed directly on TAC. This feed will update with the same frequency as tETH, ensuring accuracy and resilience while removing the reliance on Chainlink’s infrastructure timeline.
Motivation
As Treehouse expands tETH to TAC via Chainlink’s CCIP bridging solution, establishing a dependable exchange rate feed becomes critical for ecosystem growth. Chainlink’s oracle feeds are not yet live on TAC, creating a gap that limits integrations such as Curve pools and other DeFi primitives. Relying solely on Chainlink’s deployment timeline could delay tETH’s adoption and liquidity.
By deploying a protocol-owned fundamental exchange rate feed, the protocol ensures that:
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tETH/wstETH pricing is transparent, accurate, and updated with the same cadence as tETH.
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DeFi partners can safely integrate tETH on TAC without waiting for external oracle infrastructure.
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The protocol maintains sovereignty over critical infrastructure, reducing external dependencies and aligning with long-term resilience.
Specification
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Feed Pair: tETH/wstETH
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Methodology:
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The feed will query the underlying exchange rate directly from the tETH ERC-4626 contract on ETH Mainnet using the convertToAssets function.
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The resulting exchange rate will then be written to the oracle smart contract deployed on TAC.
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Updates will occur at the same frequency as tETH does its PnL accounting, ensuring consistency.
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Deployment:
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The oracle will be deployed on TAC and controlled by protocol-owned multisig.
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Upgradeability and parameter changes will remain subject to DAO governance.
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Implementation Plan
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Development: Core engineering team to build the oracle contract.
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Audit: Once built, the smart contract will be sent for audits
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Deployment: Deploy the tETH/wstETH feed on TAC, controlled by protocol multisig.
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Monitoring & Maintenance: Ongoing monitoring, with any necessary updates or improvements subject to DAO approval.
Estimated timeline: 5 weeks post-approval. (4 weeks of development + 1 week of audit)
Next Steps
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Gather community feedback on this proposal.
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Submit proposal for formal DAO vote.
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Upon approval, begin development and deployment on TAC.