Hello community! There have been many questions raised about Elara and what the progress is on the resources being put into the initiative. I’m going to provide some clarity here today, and will be making a larger effort to regularly provide updates and Q&A to the TrueFi Community.
TL;DR: Operational challenges led to resources not being effectively allocated to Elara. We have been on the right track for several months now and are aggressively working towards launch. If you have any questions, please come ask me on the TrueFi DAO Town Hall Twitter Space.
Initially, we had wanted to launch Elara (formally Polaris) in Q1. In our Q1/Q2 DAO Report, we had mentioned that we were planning for a Q2 launch. It is now Q3, and we have some exciting updates - but we have definitely delayed our timelines quite a bit. Please allow me to explain why the delays occurred and where we are currently at.
The Product Specification around the MVP is being actively developed and will be completed within the quarter. We have designed and completed several pieces of key infrastructure (Frontend - Backend - Web3 - Cloud services). But the job is not finished yet. The remaining work involves connecting to deployed smart contracts, handling contract interactions, implementing on-chain data processing and API services, KYC flow, handling blockchain events, and audits.
The team is going to push the fundraise and LP commitments hard as certain components around messaging and product have been finalized in conjunction with MVP progress. Expect a full mainnet launch by the end of the year. The team is adequately resourced, and the core Elara team is fully focused on Elara. We are convinced that we will meet these deadlines.
Q4 2024 was fraught with turbulence within the TrueFi Foundation as we were determining the new scope of the Foundation and what projects we should prioritize and focus on. Initially, the team was split on working on TrueMarkets which pulled a lot of resourcing that should have gone to Elara Product workshopping.
Ultimately, mid-Q1, we decided to pause development on TrueMarkets as there wasn’t a clear and cohesive plan or strategy for that project and strategic planning around TrueMarkets had entirely halted Elara development. There was a team restructuring that went along this. When we finally got to Elara Product workshopping, we decided on a complete pivot of the underlying model from CDP to Centrally Collateralized Stablecoin. The product planning we had done for the CDP had to be scrapped.
Once clear focus on Elara was established in Q1, we reoriented timelines. However, the team is still stewarding the core TrueFi protocol, and that is a priority. In conjunction with Cicada, the Foundation team had partnered very closely with Plume on critical infrastructure for the Nest vaults. Because of this, TrueFi smart contracts needed to be fully deployed on Plume day 1. When our team began porting over the codebase, we realized that it needed significant critical upgrades. All engineering resources from Elara were pulled away to work on this for a month and a half between Q1 and Q2. This occurred twice for different Plume launch timelines, in January and May.
In addition, before serious programming could occur, we wanted to ensure one hundred percent legal compliance on our product specification. Our mission at Elara is to build an institutional-grade product and in order to make the product palatable to institutions, compliant infrastructure is a necessity. We spent much of Q2 going back and forth with a full legal team to ensure that every single, small product decision was in line with a broader legal compliance framework. This delay in product engineering was important, as it will pave the way for us to grow with institutional capital once we launch.
Over the last couple months, we had been heads down building - which is why you haven’t heard from many of the folks spearheading the Elara initiative. The MVP is nearly complete and we are working to have VC funds to allow Elara to operate effectively and LP commitments to bootstrap TVL on the protocol. The loan agreement on the money invested into Elara will be executed once Elara spins out with adequate VC funds, as well.
The stablecoin market cap on Ethereum has reached all-time highs and total value locked (TVL) is now just 6% below its previous peak. With growing institutional interest, the emergence of real DeFi applications, and maturing stablecoin infrastructure, Ethereum is entering a new phase of momentum. These trends strongly validate Elara’s positioning as a dynamic stablecoin—designed for the next generation of on-chain finance.
The wait will certainly be worth it as lots of big announcements are in the oven and will be publicly released soon. Several partnerships have been confirmed (some of the biggest names in DeFi and Crypto) and as we begin our joint-PR pushes, you will learn of the specific names. Please bear with us as we run the last 10 meters over the finish line.
I’ll continue to be here as a resource for the community in case any other questions come up. In addition, as always - I’ll be answering questions in the Quarterly Town Hall about Elara.
Consequences for Elara in the U.S.
Looking Ahead
GENIUS Act is now law (signed July 18, 2025).
Elara’s yield feature puts it in conflict with U.S. law unless restructured or regulated as a security, yes?
you desperate fool 