@Lorenzo Protocol Lorenzo Protocol is an on-chain asset management framework designed to translate established financial strategies into programmable, tokenized products. By abstracting complex portfolio construction into standardized on-chain structures, the protocol aims to make professional-grade strategies accessible, transparent, and composable within decentralized finance.
At the core of Lorenzo’s architecture are On-Chain Traded Funds (OTFs), which mirror the logic of traditional fund products while operating entirely on-chain. OTFs provide users with exposure to diversified strategies without requiring direct interaction with underlying trading infrastructure. Capital is deployed through a modular vault system, consisting of simple vaults that execute individual strategies and composed vaults that aggregate multiple strategies into structured products. This design enables efficient capital routing across quantitative trading, managed futures, volatility-based approaches, and structured yield strategies, while maintaining clear separation of risk and execution logic.
Lorenzo is built to integrate seamlessly with the broader blockchain ecosystem. Its vaults and OTFs are designed to interact with decentralized exchanges, liquidity venues, oracle networks, and execution layers across multiple chains. This interoperability allows strategies to adapt to changing market conditions and liquidity environments, while enabling external protocols to build on top of Lorenzo’s asset management primitives.
The protocol’s native token, BANK, serves functional roles within governance and incentive alignment. BANK holders participate in protocol governance, influencing strategy frameworks, parameter adjustments, and ecosystem development. Through the vote-escrow mechanism (veBANK), users can lock tokens to gain time-weighted governance power and access to protocol incentives, aligning long-term participation with decision-making responsibility. The token’s economic design focuses on coordination and sustainability rather than speculative utility.
Looking ahead, Lorenzo Protocol is positioned to support the continued convergence of traditional financial methodologies and decentralized infrastructure. By emphasizing modularity, interoperability, and transparent execution, the protocol seeks to become a foundational layer for on-chain asset management. Its long-term trajectory centers on expanding strategy coverage, deepening ecosystem integrations, and supporting sustainable adoption as institutional and decentralized finance increasingly intersect.
