Terrace Finance

Our platform is a non-custodial investment layer built for the Arc ecosystem and powered by Circle technologies. Inspired by Subak, the ancient Balinese art of perfect distribution, we bring harmony to DeFi.

Like water flowing through rice terraces, our system automatically reallocates stablecoins across lending protocols to capture the highest returns. The result is a seamless, automated flow of capital designed for peak efficiency and superior yield.

Terrace Finance utilizes its native ERC-20 stablecoin - tUSD, and its yield-bearing counterpart -stUSD. Arc blockchain serves as our primary liquidity hub where these assets are held. To ensure maximum security and efficiency, all smart contracts are developed using the Vyper programming language.

There is crucial role of protocol - Operator, which manages liquidity reallocation across multiple blockchains via CCTP infrastructure. While the Operator role is designed to be filled by human, automated bot, or AI agent, the MVP currently handles liquidity bridging through a dedicated UI interface.

By leveraging CCTP v2, we achieve near-instant cross-chain asset transfers while inheriting the robust underlying security provided by Circle.

Security is our top priority. To prevent unauthorized interactions with protocol liquidity, we have implemented the Strategy Registry powered by Merkle Tree. This means that only pre-defined, whitelisted strategies can be executed. These constraints technically prevent the Operator from misappropriating or "stealing" protocol assets.

We define Terrace Finance as a "one-click" platform. To provide a fragmental experience, we utilize the Circle Gateway to unify a user’s USDC balances across different blockchains into a single interface.

Furthermore, users are not required to execute complex manual transactions. By utilizing permits and intents, users simply authorize actions, allowing our backend to handle the execution flow seamlessly.