🍵Welcome to Protocol Cha

Protocol Cha is a project based on chai.money and MakerDAO. By introducing a Wormhole bridged version of CHAI on other EVM-compatible chains, we are able to bring DSR profits to networks beyond Ethereum.

We not only offer users the basic DSR annual yield, but we also partner with collaborators like AAVE and Balancer to construct a comprehensive incentive ecosystem, allowing users to opt for higher yields on top of the base profit.

As a DAI-based savings project, our vision is to better introduce MakerDAO to other chains, enabling our users to engage within the whole ecosystem and also to enhance the utilization of DAI on other networks.

In terms of DSR savings innovation, CHA is at the forefront of the entire ecosystem. We strive to provide users with higher yield rates without compromising security, simultaneously bringing enhanced liquidity to the whole protocol:

Introducing CHAI to other chains via Wormhole, leveraging the security model of Wormhole's Guardian Network, while avoiding the issue of not being able to obtain real-time prices due to the sDAI model.
Introduce an arbitrage mechanism on Balancer, encouraging users to actively participate in the arbitrage process.
Permitting users to directly invest using bridged USDC, earning the positive spread between USDC and DAI.
When liquidity is sufficient, users could withdraw directly without paying the exorbitant transaction fees on the ETH mainnet.

In summary, by integrating DAI and CHAI, CHA is a deposit protocol that offers users a variety of deposit options in an innovative manner.

Protocol Cha是一個基於chai.money和MakerDAO的項目。通過在其他EVM兼容鏈上引入Wormhole橋接版本的CHAI，我們得以將DSR收益帶到除以太鏈以外的網絡上。

我們不僅為用戶提供基礎的DSR收益年化，同時我們也與我們的合作夥伴例如AAVE、Balancer一起構建一套完整的激勵生態，在基礎收益的基礎上使得用戶可以選擇更高的收益率。

作為一個基於DAI的儲蓄項目，我們的願景是能夠將MakerDAO更好地帶到其他鏈上，幫助我們的用戶參與到整個生態系統中來，同時也能夠提升目前DAI在其他網絡上的利用率。

就DSR儲蓄創新而言，CHA走在整個生態系統的最前沿。我們在儘可能不妥協安全性的情況下為用戶帶來更高的收益率，同時也為整個協議帶來更好的流動性：

CHAI通過Wormhole引入其他鏈上，利用Wormholed的Guardian Network安全性模型，同時避免因sDAI模型導致無法即時獲取價格的問題。
在Balancer上引入套利機制，促進用戶主動參與套利過程。
允許用戶直接使用橋接USDC進行投入，賺取USDC/DAI正差價。
在流動性足夠時，用戶可以直接進行退出，無需支付ETH主網上高昂的手續費。

總而言之，通過結合DAI和CHAI，CHA是一種以創新式的方式為用戶提供多種存款選擇的存款協議。

Introduction to Protocol Cha

Our team members often hear complaints in the community about the exorbitant Gas fees on ETH, to the extent that they want to deposit some DAI but realize the costs vastly overshadow the anticipated future returns. Based on market research, we decided to leverage our existing projects to introduce Ethereum's DSR to other cost-effective chains. This allows users to be free from the high transaction fees, enabling them to save and manage their funds in a much more flexible manner.

CHAI is a DSR interest-bearing token on the Ethereum chain, with its price appreciating over time accumulating DAI deposit rewards. By introducing this token to other chains via the Wormhole cross-chain bridge, we can rely on its intrinsic pricing model for accruing interest, making the interest accumulation process smoother and more reliable.

The Role of CHA

We've returned ownership to the users.

Compared to the sDAI solution, we expand the benefits of DSR to other EVM-compatible chains with the security provided by Wormhole. Users can choose to exit at any time. Compared to centralized solutions like exchanges, our advantage is even more apparent. We adopt a permission-less solution, so users can use their CHA for mining or even collateralized loans (not yet launched), enhancing utilization while retaining ownership of funds.

Composition of CHA

CHA is a yield-bearing token consisting of two main components.

Firstly, users' DAI deposits. This part is easy to understand. Users deposit DAI into the protocol, which becomes part of a Vault. To maximize utilization and improve the overall APY, we invest these funds in well-audited and reputable protocols like AAVE to earn lending yields, sharing these profits with all CHA holders. Due to incidents like Euler.Finance, which showcased the inherent risks in the Web3 world, we'll periodically analyze and assess to decide whether to withdraw or deposit user funds into other reputable protocols.

Secondly, the CHAI component. CHAI is an ancient and practical DSR interest-bearing token. We chose it because it's been around for almost four years, and our thorough checks found no potential vulnerabilities. Its implementation is very native-like, giving us more flexibility in writing smart contracts.

These two components together form the CHA token. Users will earn from both these tokens. Periodically, we'll synchronize funds, cross-chain any unutilized DAI in the contract to deposit into the DSR protocol, and bring back CHAI to place in the Vault contract.

有關CHA的詳細介紹

我們的團隊成員經常在社群中聽到有人抱怨ETH的Gas費過於高昂，以至於他們想要存入一些DAI卻發現花費遠大於未來預期收入的言論。通過調研市場需求，我們決定以已有項目作爲基礎，將以太鏈的DSR引入其他低成本的鏈上，從而使得用戶不再受到高昂手續費的約束，將資金以更爲靈活的方式進行儲蓄與組合。

CHAI是一個位於以太鏈上的DSR計息收益代幣, 基於EIP-5115實現，其價格會隨著時間積纍DAI的存入獎勵，這也是我們協議的名字來源。通過將該代幣通過Wormhole跨鏈橋引入其他鏈上，我們可以依賴其本身的價格模型進行計息，從而使得利息積纍過程變得更爲平滑和可靠。

CHA的作用

我們將自己的所有權重新交還給了用戶。

相對於sDAI的解決方案來説，我們通過Wormhole的安全性得以將DSR的收益拓展至其他EVM兼容鏈上，用戶可以隨時選擇退出。而相對於交易所等中心化解決方案來説，我們優勢則更爲明顯，我們整體采用無需許可的解決方案，因此用戶可以使用他們的CHA來進行挖礦甚至是抵押借貸(目前尚未推出)，以此在保留資金所有權的情況提升自己的利用率。

CHA的組成

CHA是一個打包收益代幣，其由兩個主要組成部分構成。

首先是用戶的DAI存款。這部分非常容易理解，用戶將DAI存入協議，這部分存款將會作爲Vault的一部分。爲了盡可能提高自己利用率，提升協議的整體年化，我們會將這部分資金投入AAVE等經過多輪審計且信譽良好的協議中賺取借貸收益，同時將這部分收益分享給所有的CHA持有人。由於Euler.Finance事件已經證明了Web3世界隱含的危險性，因此我們將會不定期進行分析與評估，以決定是否將用戶資金進行取出或存放于其他信譽良好的協議中。

其次則是CHAI部分。CHAI是一個古老且實用的DSR計息打包代幣。我們選用它的原因首先是其已經存在了接近4年時間，同時在我們全面且細緻的檢查中并未發現任何潛在漏洞；其次是它的實現非常近似於原生，這使得我們在編寫智能合約上擁有更好的自由度。

這兩部分共同構成了CHA代幣。用戶將同時從這兩種代幣中賺取對應的收益，我們也將會不定期完成資金的同步過程，將合約中所有未被使用鎖定的DAI經過跨鏈后存入DSR協議并將CHAI跨鏈回來放入Vault合約中。

FAQ

General

Are my deposit returns instantaneous?

Once you deposit DAI into the protocol, earnings start to accumulate immediately without any extra waiting period. Due to the native cross-chain bridge of some chains possibly having a dispute period of up to 7 days, there might be a situation where earnings remain at 0 during the first week after the protocol is launched. Thus, we'll implement measures to reduce the cross-chain time early on to enhance the return rate during this period.

Can I withdraw my assets immediately?

If you hold CHA, due to our protocol's implementation principles, we need to lock this portion of your tokens when you apply to withdraw DAI. You won't be able to withdraw assets instantly. While waiting for the cross-chain synchronization, holding CHA will continue to accrue earnings. After completing the cross-chain sync process, you can withdraw your assets anytime.

If you hold CHAI, you can exchange your CHAI tokens for DAI anytime as liquidity allows. If the current protocol DAI cannot meet your withdrawal requirements, you can also request a withdrawal from the protocol. CHAI holders will also continue to earn during the cross-chain synchronization period. After the sync process, you can withdraw anytime.

Please note that regardless of the assets you hold, once the cross-chain sync process is complete, you won't earn any returns, so don't forget to withdraw your assets promptly.

How long does the cross-chain synchronization operation take?

Cross-chain synchronization is divided into two parts: deposit and withdrawal.

For deposits, we withdraw the unlocked portion of DAI that users deposit into the protocol, transfer it to the Ethereum chain to deposit as CHAI, and then bring the CHAI back to the original chain's protocol. Since each chain's native bridge verification time varies, this can take several hours to a week.

For withdrawals, we extract the corresponding CHAI from the protocol, take it out on Ethereum to retrieve as DAI, and then transfer the DAI back to the original chain's protocol. Since Ethereum requires about 96 confirmations to reach the FINALITY state and considering operation execution time, it takes about 30 minutes.

Initially, we will use third-party cross-chain bridges or even centralized exchanges to save on deposit operation time, aiming to guarantee the protocol's annualized return rate. We expect the execution cycle to range from 12 hours to a day. Over time, or when deposits stabilize, we'll gradually transition to native cross-chain bridges to ensure the protocol's security.

Can I convert CHA tokens to CHAI?

You can choose to convert your CHA tokens to CHAI at any time. However, this conversion requires a full cross-chain sync cycle, which might take over 7 days. You can also use the emergency withdrawal feature to take out your CHA in corresponding proportions of DAI and CHAI.

When liquidity allows, you can redeem your held CHAI in the form of DAI and then reinvest to convert your original CHAI to CHA. We recommend selling through Balancer at a better price to earn the price difference.

Why is the displayed yield different from the APR provided by DSR?

Due to our protocol's reliance on cross-chain synchronization, even though we've adopted methods to reduce cross-chain time and improve fund utilization, we still can't offer an APR consistent with DSR itself. Therefore, the actual yield might be slightly lower.

Are CHA and CHAI the same on each chain?

Note that, due to our implementation, CHA token prices and contract addresses on each chain are different. Do not attempt any cross-chain interactions, as we are not responsible for any losses.

CHAI tokens, other than those on Ethereum, are minted and redeemed by Wormhole Bridge. Essentially, they're the same thing with consistent pricing, redeemable at the same ratio. Due to liquidity concerns, market sale prices might differ.

Providing Liquidity

Earnings from Providing Liquidity

By providing CHA/CHAI liquidity on Balancer, you can earn swap fees on top of the basic earnings from holding CHA and CHAI. You can act as a potential arbitrageur, selling CHAI at a premium to users who want to instantly convert from CHA to CHAI to get the full return rate. Thus, in theory, you might even earn more than the DSR itself.

Do I need to pledge LP to earn?

We're committed to giving users more choices and control. You don't need to stake LP tokens in any protocol. However, we're exploring partnerships with other protocols to introduce LP lending or even yield in the future, possibly requiring you to deposit LP in other protocols for additional earnings.

Security

Security is the lifeline that determines the survival of every protocol. Therefore, at Cha.Money, we place great emphasis on contract security. Since our protocol is not yet live, we cannot display any audit reports. However, we will implement measures to ensure the overall security of the protocol.

Timelock

For every proxy contract and essential control function, we will use a time-lock contract that lasts up to 7 days. If users notice any anomalies, they can invoke the Emergency Withdraw function to directly withdraw the corresponding proportions of DAI and CHAI from the Vault.

Multisig Wallet

Our team members come from Moe.Finance; therefore, we will continue to use our 3-5 multisig wallet for management. This approach will minimize the chances of malicious actions caused by a portion of our staff.

Operator

By separating protocol governance from cross-chain sync operators, we can perform cross-chain synchronization in a more flexible manner during the early stages of the project. Operators will only be allowed to extract the unlocked portion of DAI from the protocol and apply for the redemption of a portion of CHAI tokens. At the same time, operators will use a cross-chain multisig wallet. Even in the worst-case scenario of multiple EOA (Externally Owned Accounts) performing malicious actions simultaneously, users can use the Emergency Withdraw function to retrieve the remaining locked portions of DAI and CHAI tokens from the protocol.

Guardian

To prevent subsequent users from depositing assets into the protocol after an operator has carried out malicious actions, leading to even greater losses, we have introduced external guardians. We plan to delegate this authority to MakerDAO, allowing them to execute the Emergency Pause function during the timelock waiting period. This action will disable all functions except for Emergency Withdraw, minimizing potential losses.

Oracle

The core functionality of Cha.Money does not rely on external oracles. However, considering that we might need to integrate with external partners and provide price feeds for the redemption operation that directly converts CHAI to DAI, we are currently in talks with Axelar.Network to safely and reliably obtain the exchange ratio between CHAI and DAI.

常見問題

一般

我的存款收益是即時的嗎？

一旦您將DAI存入協議，收益將會即時開始纍積，不會有額外的等待時間。由於部分鏈的原生跨鏈橋可能要等待長達7天的爭議期，因此在協議剛上綫的一周時間内，可能會出現收益一直為0的情況，因此在協議初期我們將采取一些措施來縮短跨鏈時間，來提升這部分時間内的收益率。

我可以立即取出我的資產嗎？

如果您持有CHA，受限于我們的協議實現原理，我們需要在申請取出DAI時鎖定您的這部分代幣，同時您將無法即時取出存入資產。在等待我們完成跨鏈同步的這段時間内，您持有CHA仍將繼續積纍收益，在我們執行完跨鏈同步流程後，您將可以隨時在時候的時間内取出您的資產。

如果您持有CHAI，您將可以隨時在協議流動性允許的情況下將您的CHAI代幣兌換為DAI。如果當前協議中的DAI無法滿足您的取款需求，您也可以向協議發出取款請求。在等待我們完成跨鏈同步的這段時間内，您持有CHAI也仍將繼續積纍收益，在我們執行完跨鏈同步流程後，您將可以隨時在時候的時間内取出您的資產。

請注意，無論您持有何種資產，一旦跨鏈同步流程完成，您將不會積纍任何收益，因此請不要忘記及時提取您的資產。

跨鏈同步操作需要多久時間？

跨鏈同步操作分爲兩個部分，存入和取出。

在存入操作中，我們會將用戶存入協議中的未鎖定部分DAI取出，跨出到以太鏈上存款為CHAI，并將CHAI跨入原鏈的協議中。由於每個鏈的原生橋所需要的驗證時間并不相同，因此大約需要數小時至一周不等的時間。

在取出操作中，我們會將協議中的對應部分CHAI取出，跨出到以太坊上取出為DAI，並將DAI跨入原鏈的協議中。由於以太坊需要大約96個確認才能到達FINALITY狀態；考慮到操作執行時間，因此需要花費大約30分鐘完成。

在協議開放的初期，我們將會使用第三方跨鏈橋甚至中心化交易所來節約存入操作所需的時間，以此保障協議的年化收益率，預計執行周期大約在12小時到一天不等。在協議開放一段時間或存款比較穩定的情況下，我們將會逐漸過度到原生跨鏈橋，以此保障協議本身的安全性。