WHAT IS LORENZO PROTOCOL? A CLEAN, SIMPLE BREAKDOWN
Lorenzo Protocol brings traditional financial strategies on-chain through tokenized products, giving users and institutions access to structured yield without building complex systems themselves.
It takes strategies like quant trading, arbitrage, and volatility portfolios — normally requiring high-level tools and constant oversight — and packages them into easy-to-use on-chain products.
Its Financial Abstraction Layer handles allocation, execution, tracking, and yield distribution behind the scenes.
HOW LORENZO WORKS
1. Deposits & Allocation
You deposit assets into a vault.
The vault issues LP tokens that represent your share.
Lorenzo’s Financial Abstraction Layer routes funds into one or multiple strategies based on the vault’s rules.
2. Strategy Execution
Approved managers and automated systems run off-chain strategies through secure custody setups.
Performance results are pushed on-chain, updating NAV, portfolio allocation, and your returns — fully transparent.
3. Yield & Withdrawals
Returns may come through NAV growth, claimable rewards, or fixed-maturity payouts.
When you withdraw, LP tokens are burned and assets are settled back to your wallet after off-chain reconciliation.
Lorenzo allows wallets, apps, and RWA platforms to offer yield products in a standardized way — while giving users a direct path to diversified investment strategies.
@Lorenzo Protocol $BANK
