TRC-484:TRON liquidity staking and resource market

[raymondliu0711]

tip: 484
title: Smart Contract Standard for TRX liquidity staking and resource market 
author: raymondliu0711
discussions-to: https://github.com/tronprotocol/tips/issues/484
status: Draft
type: Standards Track
category: TRC
created: 2022-11-28
requires: TIP-271, TIP-467

Simple Summary

This post proposes a standard for smart-contracts to implement TRX-staking and resource-rental markets after the adoption of TIP-271 and TIP-467. With this standard, this kind of markets could be integrated by other DeFi protocols.

Abstract

When TRX is frozen to participate in on-chain governance, it is not liquid and cannot be combined with ecosystems of smart contract, which greatly limits the usage scenarios of TRX freezing, and discourages TRX holders from freezing TRX and voting to participate in TRON governance.

With the adoption of TIP-271 and TIP-467, freezing, voting and delegating resource operations can be implemented with smart contracts. Furthermore, smart-contracts can be build to provide TRX liquidity staking and resource rental. This kind of market would increase the flexibility and improve the revenue of TRX staking, and allow the community to regulate the price of energy and bandwidth resources in a more flexible way.

So, We propose a standard for smart contract to implement this market. Adopting the same specification facilitates the integration of other Defi protocols.

Motivation

Currently, TRON’s DPoS scheme is only implemented natively by the chain, and the TRX in stake cannot be transferred to others, which is not liquid and cannot be integrated with the contract ecosystem. Users need to unfreeze TRX and wait for a delay before they can transfer these TRX. During the unfreezing period, users do not hold their original voting revenue and free resources.

Staking TRX into TRC-20 tokens, where the staked TRX can share in the SR voting revenue, solves these problems. Users of the tokens share voting revenue during the staking period and can transfer the directly when transferring assets, without the need to unfreeze TRX. At the same time, the tokens also comply well with TRON’s existing ecosystem.

In addition, the TRON network currently provides only 27 free energy for 1 staked TRX, and 518 TRX to get the 14,000 free energy needed for a standard TRC20 transfer, which means a lot of TRX needs to be staked for users with the consistent need of large amounts energy, and it is inconvenient for transient users with needs of small amounts energy to stake and unstake TRX frequently. As you can see from the actual data, TRON has a very high percentage of burning TRX in its transactions.

After tokenizing staked TRX, it will also get free resources (energy/bandwidth), and if they implement a resource leasing mechanism in it, anyone can lease energy from it, and the energy pricing can be flexibly and dynamically adjusted according to the chain and ecology.

Staking TRX Tokenization Combined with the energy market would reduce the obstacle of TRX staking and help to increase the TRX staking rate of TRON; it would also achieve self-balancing of energy supply and demand and help to promote the development of the TRON ecology.

Therefore, it is necessary for us to provide a standard for such contracts, as TRC-484, so that their implementations can be integrated by other DeFi protocols in the community.

Specification

We propose a standard, TRC-484, for decentralized TRX liquidity stake and resource rental market that consists of the following main points.

1. stake tokenization, and the token can be combined into TRON ecology.
2. provide an automatically adjustable resource rental market.
3. any TRX holder can participate in TRON governance by depositing TRX through the standard, instead of on-chain staking.

The standard TRC-484 is as follows.
TRX holders deposit TRX to obtain a corresponding number of pass-through TRC-484 tokens. TRC-484 tokens are freely circulating and convertible with TRX, and can participate in other ecology of the TRON as a standard TRC-20 token.

Holders of TRC-484 tokens share the revenue, which comes from two sources: on-chain frozen TRX voting rewards and revenue from resource rental.

The implementation should be governed by the DAO composed of TRC-484 token holders, and the behavior should include: electing SRs to vote for, adjusting the price strategy of resource rental, etc. The DAO governance will enable the flexible adjustment of resource prices on the chain.

The specification below is just a simple draft and it needs further discussion. We are working on improving it, and all kinds of opinions are welcome.

Every TRC-484 compliant contract must implement the TRC484 and TRC20 interfaces

interface TRC484 /* is TRC20 */ {
    
    /// @dev Deposit `msg.value` TRX to the contract and receive `amount` of TRC484 token.
    function deposit() public payable returns (uint256 amount);
    
    /// @dev Exit `_value` TRC484 token and receive `trxAmount` of TRX.
    function exit(uint256 _value) public returns (uint256 trxAmount);
    
    /// @dev Exit for exact `_trxValue` TRX and pays `tokenAmount` of TRC484 token.
    function exitExact(uint256 _trxValue) public returns (uint256 tokenAmount);
    
    /// @dev Rent `_type` resources of `_amount` TRX for `_period` time units and pays `msg.value` TRX for the rent, and an id `rentId` is assigned to the rent for redeem.
    function rentResources(uint256 _type, uint256 _amount, uint256 _period) public payable returns (uint256 rentId);
    
    /// @dev Repay the rent of `_rentId`, the return value `success` indicates if it is success.
    function repayResources(uint256 _rentId) public returns (bool success);
    
}

Backward Compatibility

There are no backward compatibility issues.

Implementation

There is no detailed implementation so far, but the basic concepts and components of the standard can be indicated in the figure below.

TRX holders can deposit TRX to the TRC-484 contract and get TRC-484 token, meanwhile, TRC-484 token holders can exit TRX with TRC-484 token from it. TRC-484 token holders compose the DAO and govern the contract, they can also participate in the TRON ecosystem as TRC-484 token can serve as a standard TRC-20 token.

The TRC-484 contract freezes the deposited TRX, votes for SRs, provides resources to and collects rent from resourceUsers, and distributes the voting and rental rewards to TRC-484 token holders.

[otakuinny]

@raymondliu0711, in other words you had an idea to make money off of tron resource rental market and you want to change the entire current resources model to fit your needs, right? 😆

This is easily one of the worst proposals I have heard to fit the business need of one individual. The current resources model can use some flexibility but not by further tokenizing TRX. For god's sakes stop creating tokens on top of tokens. The tip #467 already is working on changing the resources model and it has a few changes that addresses almost all of your concerns above.

Please go through existing tips before creating new ones.

[raymondliu0711]

@otakuinny I noticed that the resource model has been adjusted in #467 and some instructions have been added to the TVM to allow contract accounts to perform some of the operations in the new stake system as well as EOA accounts.
However, these are only upgrades and innovations in the chain itself. The TRON network does not provide stake tokenization and liquidity design for the old and new stake systems. This is the main problem that this proposal is trying to solve.
The discussion is open and we welcome your opinions.

[zhaohong]

@raymondliu0711, in other words you had an idea to make money off of tron resource rental market and you want to change the entire current resources model to fit your needs, right? 😆

This is easily one of the worst proposals I have heard to fit the business need of one individual. The current resources model can use some flexibility but not by further tokenizing TRX. For god's sakes stop creating tokens on top of tokens. The tip #467 already is working on changing the resources model and it has a few changes that addresses almost all of your concerns above.

Please go through existing tips before creating new ones.

The TRC is to implement a decentralized energy market (DAPP) based on the idea of #467 , that anyone can implement such a market.

[otakuinny]

@otakuinny I noticed that the resource model has been adjusted in #467 and some instructions have been added to the TVM to allow contract accounts to perform some of the operations in the new stake system as well as EOA accounts. However, these are only upgrades and innovations in the chain itself. The TRON network does not provide stake tokenization and liquidity design for the old and new stake systems. This is the main problem that this proposal is trying to solve. The discussion is open and we welcome your opinions.

I'm so sick and tired of hearing about resource rental market. Renting out tron resources is a by-product of an address being able to delegate resources to another address. Too much attention is being paid to the resource rental process. Instead of encouraging it with peoposals like these, we should be discouraging it. Renting resources prevents users from burning trx which contributes to trx inflation which results in lower price. It is actually healthy for TRON to burn trx. This will decrease the circulating supply and the resultant price increase will attract more people to the chain. And another thing, right now the majority of daily transactions are just spam and/or scam transactions. All these scammers rent energy which is why they are able to make so many transactions. I don't understand why you want to make it even more easier for scammers to send more scam transactions while at the same time pushing the price of trx lower on account of not burning any trx for transactions.

There is already a vibrant rental Markey and every Tom, Dick and Harry sells their energy on Telegram and other places. There's no need to make it any more easier for scammers to rent energy than it is right now.

Please stop with proposals like these that hurt tron and try to think about how you can make TVM better. Seeing a lot of errors lately.

[raymondliu0711]

@otakuinny I noticed that the resource model has been adjusted in #467 and some instructions have been added to the TVM to allow contract accounts to perform some of the operations in the new stake system as well as EOA accounts. However, these are only upgrades and innovations in the chain itself. The TRON network does not provide stake tokenization and liquidity design for the old and new stake systems. This is the main problem that this proposal is trying to solve. The discussion is open and we welcome your opinions.

I'm so sick and tired of hearing about resource rental market. Renting out tron resources is a by-product of an address being able to delegate resources to another address. Too much attention is being paid to the resource rental process. Instead of encouraging it with peoposals like these, we should be discouraging it. Renting resources prevents users from burning trx which contributes to trx inflation which results in lower price. It is actually healthy for TRON to burn trx. This will decrease the circulating supply and the resultant price increase will attract more people to the chain. And another thing, right now the majority of daily transactions are just spam and/or scam transactions. All these scammers rent energy which is why they are able to make so many transactions. I don't understand why you want to make it even more easier for scammers to send more scam transactions while at the same time pushing the price of trx lower on account of not burning any trx for transactions.

There is already a vibrant rental Markey and every Tom, Dick and Harry sells their energy on Telegram and other places. There's no need to make it any more easier for scammers to rent energy than it is right now.

Please stop with proposals like these that hurt tron and try to think about how you can make TVM better. Seeing a lot of errors lately.

Now freezing to get energy is much cheaper than burning. Spam apps basically come from resource markets, but the current resource markets are normally p2p model, which is not flexible for price adjustment.

The most critical point of this proposal is to propose a standard how to how to implement a resource rental market with smart contract, that make TRX liquidity staking can be tokenized. The resource market is just a by-product of it. Also, the standard resource market can be integrated with DeFi applications. After this kind of resource market supports energy renting, the standard smart contract can adjust price more reasonably than current p2p ones. Energy renting will also promote a more prosperous ecology which can make TRON better.

[otakuinny]

@otakuinny I noticed that the resource model has been adjusted in #467 and some instructions have been added to the TVM to allow contract accounts to perform some of the operations in the new stake system as well as EOA accounts. However, these are only upgrades and innovations in the chain itself. The TRON network does not provide stake tokenization and liquidity design for the old and new stake systems. This is the main problem that this proposal is trying to solve. The discussion is open and we welcome your opinions.

I'm so sick and tired of hearing about resource rental market. Renting out tron resources is a by-product of an address being able to delegate resources to another address. Too much attention is being paid to the resource rental process. Instead of encouraging it with peoposals like these, we should be discouraging it. Renting resources prevents users from burning trx which contributes to trx inflation which results in lower price. It is actually healthy for TRON to burn trx. This will decrease the circulating supply and the resultant price increase will attract more people to the chain. And another thing, right now the majority of daily transactions are just spam and/or scam transactions. All these scammers rent energy which is why they are able to make so many transactions. I don't understand why you want to make it even more easier for scammers to send more scam transactions while at the same time pushing the price of trx lower on account of not burning any trx for transactions.
There is already a vibrant rental Markey and every Tom, Dick and Harry sells their energy on Telegram and other places. There's no need to make it any more easier for scammers to rent energy than it is right now.
Please stop with proposals like these that hurt tron and try to think about how you can make TVM better. Seeing a lot of errors lately.

Now freezing to get energy is much cheaper than burning. Spam apps basically come from resource markets, but the current resource markets are normally p2p model, which is not flexible for price adjustment.

The most critical point of this proposal is to propose a standard how to how to implement a resource rental market with smart contract, that make TRX liquidity staking can be tokenized. The resource market is just a by-product of it. Also, the standard resource market can be integrated with DeFi applications. After this kind of resource market supports energy renting, the standard smart contract can adjust price more reasonably than current p2p ones. Energy renting will also promote a more prosperous ecology which can make TRON better.

Bro, do you even realize what you are saying. p2p is the best kind of system anyone in decentralized world can hope for. It is literally one of the core ideologies of crypto currencies. You are saying we should create a centralized standard smart contract to regulate energy rental price (no doubt by TRON foundation) instead of letting TRON users trade with each other directly. This statement is so over the top in its anti-crypto sentiment that I don't even know how to respond to it 😧

Also, what do you mean by "the current resource markets are normally p2p model, which is not flexible for price adjustment"? Flexible for who?? Anyone who wants to sell energy can sell at any price they want. That is about as flexible as it gets. It sounds like you are not happy with how people are freely trading energy with each other in an open market setting and want to regulate it so only a select few can make money from it. Lol, we have seen this movie before and we know who the usual culprits are 😆

And, you say "Energy renting will also promote a more prosperous ecology which can make TRON better", well, duh! that is what's happening right now where everyone has the freedom to sell energy to anyone. You are proposing a system to regulate it and make it more restrictive by unnecessarily tokenizing staked trx. Not a good idea.

[raymondliu0711]

@otakuinny I noticed that the resource model has been adjusted in #467 and some instructions have been added to the TVM to allow contract accounts to perform some of the operations in the new stake system as well as EOA accounts. However, these are only upgrades and innovations in the chain itself. The TRON network does not provide stake tokenization and liquidity design for the old and new stake systems. This is the main problem that this proposal is trying to solve. The discussion is open and we welcome your opinions.

I'm so sick and tired of hearing about resource rental market. Renting out tron resources is a by-product of an address being able to delegate resources to another address. Too much attention is being paid to the resource rental process. Instead of encouraging it with peoposals like these, we should be discouraging it. Renting resources prevents users from burning trx which contributes to trx inflation which results in lower price. It is actually healthy for TRON to burn trx. This will decrease the circulating supply and the resultant price increase will attract more people to the chain. And another thing, right now the majority of daily transactions are just spam and/or scam transactions. All these scammers rent energy which is why they are able to make so many transactions. I don't understand why you want to make it even more easier for scammers to send more scam transactions while at the same time pushing the price of trx lower on account of not burning any trx for transactions.
There is already a vibrant rental Markey and every Tom, Dick and Harry sells their energy on Telegram and other places. There's no need to make it any more easier for scammers to rent energy than it is right now.
Please stop with proposals like these that hurt tron and try to think about how you can make TVM better. Seeing a lot of errors lately.

Now freezing to get energy is much cheaper than burning. Spam apps basically come from resource markets, but the current resource markets are normally p2p model, which is not flexible for price adjustment.
The most critical point of this proposal is to propose a standard how to how to implement a resource rental market with smart contract, that make TRX liquidity staking can be tokenized. The resource market is just a by-product of it. Also, the standard resource market can be integrated with DeFi applications. After this kind of resource market supports energy renting, the standard smart contract can adjust price more reasonably than current p2p ones. Energy renting will also promote a more prosperous ecology which can make TRON better.

Bro, do you even realize what you are saying. p2p is the best kind of system anyone in decentralized world can hope for. It is literally one of the core ideologies of crypto currencies. You are saying we should create a centralized standard smart contract to regulate energy rental price (no doubt by TRON foundation) instead of letting TRON users trade with each other directly. This statement is so over the top in its anti-crypto sentiment that I don't even know how to respond to it 😧

Also, what do you mean by "the current resource markets are normally p2p model, which is not flexible for price adjustment"? Flexible for who?? Anyone who wants to sell energy can sell at any price they want. That is about as flexible as it gets. It sounds like you are not happy with how people are freely trading energy with each other in an open market setting and want to regulate it so only a select few can make money from it. Lol, we have seen this movie before and we know who the usual culprits are 😆

And, you say "Energy renting will also promote a more prosperous ecology which can make TRON better", well, duh! that is what's happening right now where everyone has the freedom to sell energy to anyone. You are proposing a system to regulate it and make it more restrictive by unnecessarily tokenizing staked trx. Not a good idea.

The TRC is decentralized and it is a smart contract standard like TRC-20 that anyone can implement.

Also, there may be a problem that p2p trading needs to guarantee the interests of both parties while transactions on resource market with standard is open and transparent. Standard resource markets can coexist with p2p and people have the freedom to choose among them.

[musknuibility]

Anyone can stake TRX to the contract and rent energy from contracts, right?

[otakuinny]

Anyone can stake TRX to the contract and rent energy from contracts, right?

You can't stake TRX to a contract address. In order to rent energy from a contract, the contract has to have TRX in it. Also, contracts can't delegate resources yet.

[otakuinny]

@otakuinny I noticed that the resource model has been adjusted in #467 and some instructions have been added to the TVM to allow contract accounts to perform some of the operations in the new stake system as well as EOA accounts. However, these are only upgrades and innovations in the chain itself. The TRON network does not provide stake tokenization and liquidity design for the old and new stake systems. This is the main problem that this proposal is trying to solve. The discussion is open and we welcome your opinions.

I'm so sick and tired of hearing about resource rental market. Renting out tron resources is a by-product of an address being able to delegate resources to another address. Too much attention is being paid to the resource rental process. Instead of encouraging it with peoposals like these, we should be discouraging it. Renting resources prevents users from burning trx which contributes to trx inflation which results in lower price. It is actually healthy for TRON to burn trx. This will decrease the circulating supply and the resultant price increase will attract more people to the chain. And another thing, right now the majority of daily transactions are just spam and/or scam transactions. All these scammers rent energy which is why they are able to make so many transactions. I don't understand why you want to make it even more easier for scammers to send more scam transactions while at the same time pushing the price of trx lower on account of not burning any trx for transactions.
There is already a vibrant rental Markey and every Tom, Dick and Harry sells their energy on Telegram and other places. There's no need to make it any more easier for scammers to rent energy than it is right now.
Please stop with proposals like these that hurt tron and try to think about how you can make TVM better. Seeing a lot of errors lately.

Now freezing to get energy is much cheaper than burning. Spam apps basically come from resource markets, but the current resource markets are normally p2p model, which is not flexible for price adjustment.
The most critical point of this proposal is to propose a standard how to how to implement a resource rental market with smart contract, that make TRX liquidity staking can be tokenized. The resource market is just a by-product of it. Also, the standard resource market can be integrated with DeFi applications. After this kind of resource market supports energy renting, the standard smart contract can adjust price more reasonably than current p2p ones. Energy renting will also promote a more prosperous ecology which can make TRON better.

Bro, do you even realize what you are saying. p2p is the best kind of system anyone in decentralized world can hope for. It is literally one of the core ideologies of crypto currencies. You are saying we should create a centralized standard smart contract to regulate energy rental price (no doubt by TRON foundation) instead of letting TRON users trade with each other directly. This statement is so over the top in its anti-crypto sentiment that I don't even know how to respond to it 😧
Also, what do you mean by "the current resource markets are normally p2p model, which is not flexible for price adjustment"? Flexible for who?? Anyone who wants to sell energy can sell at any price they want. That is about as flexible as it gets. It sounds like you are not happy with how people are freely trading energy with each other in an open market setting and want to regulate it so only a select few can make money from it. Lol, we have seen this movie before and we know who the usual culprits are 😆
And, you say "Energy renting will also promote a more prosperous ecology which can make TRON better", well, duh! that is what's happening right now where everyone has the freedom to sell energy to anyone. You are proposing a system to regulate it and make it more restrictive by unnecessarily tokenizing staked trx. Not a good idea.

The TRC is decentralized and it is a smart contract standard like TRC-20 that anyone can implement.

Also, there may be a problem that p2p trading needs to guarantee the interests of both parties while transactions on resource market with standard is open and transparent. Standard resource markets can coexist with p2p and people have the freedom to choose among them.

So you are suggesting TRON create a completely new standard TRC-484 just to fit the specific use case of resource rental market? So, if I have an idea for a dapp tomorrow that needs some flexibility on the part of TRX token, can I create a standard TRC-XXX and force TRON foundation to implement it 😆

Also, there may be a problem that p2p trading needs to guarantee the interests of both parties
Not sure what problem you are referring to. Besides, what you are proposing is exactly how the rental market works right now. There are pools (contract in your proposal) that TRON users can join with their TRX and receive the revenue generated from these pools proportionate to the TRX they supplied. Some of these pools are actually way better than what you are proposing because the users don't even have to send their TRX to the pool. They can just give permissions to the pool account to freeze. This is much safer than sending TRX to a contract. No need to create an unnecessary new standard for a specific use case and make TRON look like a laughing stock.

Just because several users are freely trading TRON resources now doesn't mean you have to create an standard for it. There are a lot of ponzi scams on TRON like BSG, TRON Grace, OxCash... Are you going to propose a TRC standard for a ponzi dapp next 😆.

[raymondliu0711]

Anyone can stake TRX to the contract and rent energy from contracts, right?

Yes, as you understand.