Security Information of the TriAngle Protocol

Hello, TriAngle fam!

Since the Mainnet launched on November 24:

• The total value locked in TriAngle Protocol has hit $4M (total of 14.6M of $CFX)
• $1.7M AUSD has been issued
• More than 120 banks have been opened

Thank you to everyone for your confidence and support!

We’ve received lots of feedback from the community since the launch. This helps us to continuously optimize and improve the product services. We would like to share some updates on some of the issues that the community is most concerned about.

Smart Contracts Audit

Smart contracts security has been top of mind since we started working on TriAngle Protocol. The core of TriAngle V1 is derived from the Liquity Protocol, and we have made some optimizations and innovations based on the source code. Contract auditing is already in the works. Due to the high volume of audit requests, it will take some time for the audit firm to complete the contract code auditing for TriAngle Protocol. We are planning a full audit report for TriAngle, and the report will be announced at a later time.

Contracts Verification

We are working closely with the Conflux Network to complete the verification of TriAngle Protocol’s smart contracts on the Conflux scan. Most of them have been verified, while others will be verified very soon.

CFX Price Feed

TriAngle Protocol aims to create a fully decentralized product service. Therefore, it integrates the price feed from the decentralized oracle network to get the price of CFX instead of getting the price from the centralized exchanges. The price feed from the decentralized oracle network is a bit delayed from those of the centralized exchanges. On one hand, it avoids flash loans by adopting rolling averages. On the other hand, it takes time for miners to package transactions. We are continuously working with Witnet, the decentralized oracle, to improve price accuracy and frequency of price updates.

Gas Fee Sponsorship Mechanism

Conflux Network has introduced a contract sponsorship mechanism to subsidize the usage of smart contracts. We really like Conflux Network, but TriAngle has some other ideas. TriAngle Protocol has not joined the contract sponsorship mechanism and does not plan to in the future for the following reasons:

1. The Conflux Foundation introduced a sponsorship program that provides the subsidy for gas consumption on Conflux Network. Thus, a new account with zero balance is able to call smart contracts as long as the execution is sponsored. The goal is to attract more projects and users to the Network. Conflux Network already has much lower gas fees compared to other blockchains which is why we chose to launch there. Also, TriAngle believes the gas fees should never be an issue blocking users from using DeFi’s services.
2. Gas fees are necessary to process transactions on the blockchain. This is fundamental to DeFi. It is only fair that every participant pays the gas fee for their personal activities on the blockchain network. TriAngle DAO’s strongly believes in the value of fairness. Therefore, the responsibility to pay the gas fee for interactions (transactions) is on the users who have full ownership of their assets in the world of blockchain. We feel the sponsorship mechanism goes against the spirit of using the blockchain by paying for the users interaction.
3. To be clear, neither the Conflux Foundation, a nonprofit organization, nor TriAngle is responsible for paying the gas fee on behalf of its users. TriAngle shares 100% of the protocol revenue with its users. It is essential that we hold true to our belief in the fairness of DeFi. We feel the gas fee is already so low on the network that it should not prohibit participants from using our service.
4. We are aware of some problems the sponsorship mechanism has caused. Transaction spamming is one example. This spam leads to network congestion. It encourages meaningless interactions and increases the burden on the chain.

Price of TAD

We have just announced the TAD token allocations. We see many of you are concerned about the price of TAD.

TriAngle DAO believes that the price of the tokens can be speculated but not the value. TAD’s worth is supported by the total value generated over the long-term operation of the protocol and the equity of the future DAO governance. We expect to grow and share the TriAngle Protocol with all TAD holders over the long-term. Over-speculation on the token price will hamper the future long-term value by stunting the growth of the protocol. TAD holders, please pay attention to risk management.

Thank you to every TAD holder who recognizes the importance of DAO and your trust in the protocol. TriAngle DAO wants to build this together with you.

We hope the information shared above can help ease some apprehensions. Please continue sharing your concerns. This feedback helps us make a better service for everyone.

Thank You,

TriAngle DAO