Who is Cyan?
Cyan, a lending platform utilizing NFT technology, aims to position TrueFi as a premier RWA Stablecoin platform amidst the imminent $10 trillion TAM influx.
Cyan was established in early 2022 and has a team of 4 dedicated professionals. The team comprises a visionary and project manager, a senior blockchain developer, a senior full-stack developer, and a junior full-stack developer. We offer the Cyan Wallet, a unique smart contract wallet escrow solution that no other lending platform provides. Cyan is also the first protocol to introduce the “Buy Now, Pay Later” (BNPL) concept to NFTs.
To date, Cyan has facilitated close to $25 million in loan volumes, with vaults returning yields between 25-40%. Our protocol has been safely running for 1,142 days and has been audited by Quantstamp, Certik, 0xQuit, and other independent auditors. We were among the first to offer RWA loans, with the first proof-of-concept being Pokémon cards.
Cyan has spent the past three years building a robust lending protocol for an asset class affected by hype and unfortunate timing. As the narrative for RWAs grows, NFTs will regain importance. The team identified TrueFi as an ideal partner, given the project’s strong reputation and impressive community. By working with Cyan, TrueFi will benefit from proven vault and lending technology.
State of TrueFi:
2024 was a challenging year due to a lack of liquidity and overall risk aversion. However, 2025 has seen a reversal of this trend with the general awareness of cryptocurrency in developed nations, David Sar as cryptocurrency head in the US, and the SEC dropping many cases related to accusations of projects being securities. Market participants and VCs are now deploying capital into infrastructure in anticipation of traditional finance migrating to the blockchain.
The landscape for credit financing has also changed drastically, with many RWA protocols backed by established institutions entering the market. New protocols such as Ondo Finance, Ethena, Alloy by Tether, and Usual DAO demonstrate a growing appetite for decentralized and transparent stablecoins backed by real-world instruments and strategies.
TrueFi is well-positioned to be a leader in an industry it has helped shape. With the protocol’s strong reputation and smart community, TrueFi deserves to be at the forefront of DeFi.
How Cyan’s Development Fits with TrueFi:
Cyan was established in early 2022 by an ex-hedge fund manager and an ex-Googler. As the protocol grew, the team built an NFT lending platform that offered better risk rewards for both the borrower and the lender. Since launching v2, a smart contract wallet was integrated to allow borrowers to control assets while on loan, but not be able to sell or transfer them out.
The protocol is well-suited to facilitate RWA loans through ERC-20, ERC-721, and ERC-1155 onchain assets across mainnet and multiple layer-2s. The benefit is the immediacy of execution by leveraging Cyan’s protocol into TrueFi to create a leading protocol for RWA stablecoins.
RWA stablecoins are a significant movement, with Ethena having $3.5 billion in TVL and the rise of major players like Usual DAO. The potential for RWAs is projected to reach $10 trillion by 2030, with institutions like BlackRock and Fidelity already deploying proofs of concept and dedicated funds. Many RWA protocols are building on top of established non-fungible technologies, which Cyan is well-suited to integrate.
The industry is advancing around ERC-20 technology and will integrate non-fungible solutions (ERC-721, ERC-1155) for financial products in the future. TrueFi, known for its Credit Vaults, is set to benefit from this trend but needs additional yield strategies and a method to back RWA stablecoins to attract more liquidity. Cyan can bridge this gap with its vault technology and smart contract escrow solution.
Moreover, the introduction of Bitcoin ETFs and Ethereum ETFs is rapidly bringing the masses to blockchain, a trend that will continue as traditional finance migrates to on-chain solutions. TrueFi deserves to be at the forefront of this significant shift, capitalizing on these opportunities. To stay relevant and not become obsolete despite its historical success, TrueFi must adapt to these evolving market demands and integrate innovative solutions to maintain its competitive edge.
Proposal:
We request 275,000 USD equivalent in TRU to fund the merge and maintenance of the Cyan protocol into the TrueFi protocol for the next 6 months. The funding would come from minting new TRU tokens.
Cyan would like to build the following into the TrueFi dapp:
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Integrate Cyan’s protocol to bridge credit funding to RWAs as NFTs (ERC-721 & ERC-1155). This will bring new lending opportunities to assets outside of financial instruments, including but not limited to collectibles such as Pokémon cards, Patek Philippe watches, Birkin bags, and more.
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Rebrand and rebalance the existing Cyan vaults, denominated in USDC, ETH, and APE, into TrueFi to start earning 20%+ yields on existing Cyan lending flow.
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Maintain vaults and grow TVL to boost activity in the TrueFi community with incentives to stakers.
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Potentially work with lenders and borrowers to build new collateralized or uncollateralized vaults on non-legacy technology and know-how, leveraging Cyan’s knowledge base of debt vault infrastructure.
If approved, our engagement will formally begin on July 1, 2025, and last until December 31, 2025. The TrueFi protocol may choose to extend the contract upon a community vote and a new proposal from the Cyan team.
The 275,000 USD in equivalent TRU tokens would be allocated as follows:
- 4,167 USD per month for vault TVL level maintenance (25,000 USD total)
- 41,667 USD per month for the development and management of the protocol (250,000 USD total)
The token payments will be made with an upfront payment of 20% of the contract (55,000 USD) worth in TRU, and the remainder to be a Sablier Stream. As with other contract proposals for TRU, Cyan also requests a 20% buffer for price fluctuations of TRU.
Deliverables:
Here is the schedule for deliverables:
- July 2025: Beta version of a new Cyan interface rebranded as TrueFi NFT
- August 2025: Start of airdrop incentive for Vault token holders
- September 2025: Determine PMF and develop a call-overwriting vault
- September ~ November 2025: Extend support for RWA assets and protocols
- December 2025: Review of deliverables, raise a new proposal to continue
What We Intend to Accomplish:
If approved, we will immediately start rebranding activities with the existing engineering headcount at Cyan. The focus of this proposal is on the growth and launch of new products to TrueFi to bring the protocol into the RWA and NFT business.
The Cyan protocol has the potential to provide stable revenues every month as long as TVL is maintained. The estimated monthly revenues could reach 10,000 USDC if utilization rates are near 100% at the current TVL of near 700,000 USDC. Revenues will accumulate into the TrueFi Timelock Contract.
Tasks are listed below and are also available in an easier-to-digest Google Sheet, which will be available to the community.
| Task | Effort | Description |
|---|---|---|
| Support wind-down or restructuring of non-core legacy assets | BEST EFFORT | Continue to support the resolution of legacy assets including restructuring, liquidation, or other measures with borrower/partner engagement. |
| Maintain reporting infra for legacy assets | SURE | Maintain and improve internal tools to track and report on performance, valuation, and statuses of legacy assets. |
| Support TrueFi DAO in decision-making on legacy assets | BEST EFFORT | Provide assessments and recommendations on legacy assets to support DAO governance and tokenholder alignment. |
| Maintain bug reporting and security response process | SURE | Continue current bug bounty and patch processes; coordinate with Archblock as needed. |
| Merge Cyan Vaults into TrueFi | BEST EFFORT | Develop and execute a plan to unify Cyan Vaults into the broader TrueFi protocol, simplifying architecture and branding. |
| Build and deploy Call Overwrite Vault | BEST EFFORT | Design, develop, and launch a Call Overwrite Vault product under TrueFi to diversify offerings and revenue streams. |
| Maintain documentation and demos of new and existing TrueFi products | SURE | Documentation overhaul with additional demo and instructional videos. |
| Maintain Dune Analytics dashboards | SURE | Continue to maintain and build upon TrueFi’s presence on Dune Analytics. (example: https://dune.com/truefi/truefi-overview) |
| Make dapp accessible without having to sign in | SURE | To improve UX for new users, make the dapp visible to users who haven’t logged in through a wallet. |
Team:
Cyan is already equipped with a team of 4 experienced professionals from finance, engineering, blockchain, and consumer products, who will dedicate the next 6 months to TrueFi development. With the acceptance of this proposal, the engineering team will solely focus on merging Cyan into TrueFi. For details on the team, please follow this link.
The budget will not cover other overhead expenses as we do not have an office, cover travel expenses ourselves, and have an established legal structure in place. The proposed monthly budget for the team is quoted at cost, with no premium added.
Reporting Expectations:
Cyan will post bi-weekly updates on the TrueFi Discord server. A detailed update will be provided every quarter on the multiple epics being developed and KPI data around deliverables.
The Google Sheet will serve as a page community members can use to keep up to date on progress.
The Cyan team is available 24/7 to answer any questions on Telegram and Email.
Out of Scope:
Cyan’s proposal does not cover the following:
- TrueFi DAO/Foundation legal, compliance, and accounting expenses
- Marketing (e.g., conference sponsorships, X, Discord) or PR expenses
- Core services used by TrueFi DAO, like hosting services, Github, Infura, etc
We are planning to post updates on Telegram to engage with the community at TrueFi.
Next Governance Steps:
As the proposal does not fall under the simplified governance exemptions, the proposal will require the following steps:
- Forum Posting: A 72-hour posting period on the forum to allow the community to provide feedback.
- Snapshot Vote: A 48-hour Snapshot vote will be conducted with the options, “OK to vote on Tally,” “Not OK to vote on Tally,” and “Abstain.” At least 5% of staked TRU must participate in this Snapshot vote to meet the quorum.
- Amendment Period: If the 5% quorum is met, with a majority negative vote, a 72-hour period will follow to allow for any amendments or discussions before the proposal is posted to Tally.
- Tally Vote: Otherwise, the proposal will be posted to Tally for the final vote.