Welcome to Zhenglong
Welcome to the official documentation for Zhenglong - a decentralized platform for creating and trading synthetic assets.
What is Zhenglong?
Zhenglong is a decentralized platform for creating and trading synthetic assets – tokens that mirror the value of real-world or digital assets without needing direct custody of those assets. It introduces a novel three-token model with 100% collateral efficiency:
- Collateral Tokens: Yield-bearing assets that back the system (e.g., stETH)
- ZHE Tokens (Pegged Assets): Synthetic tokens that track prices of various assets 1:1
- STEAMED Tokens (Leverage Tokens): Tokens that offer protected leverage exposure
The protocol allows users to trade collateral assets to mint pegged tokens or leveraged tokens with 100% collateral efficiency. Pegged tokens can track currencies, cryptocurrencies, stocks, or anything with a reliable price feed, while leverage tokens absorb volatility and offer a long position on collateral vs the pegged token.
To ensure stability, Zhenglong employs on-chain Stability Pools that automatically rebalance the protocol, maintaining system solvency without reliance on off-chain liquidators.
Key Features
- Three-Token Model: Efficiently split risk between stability-seeking and risk-seeking users
- Stability Pools: Maintain system solvency and offer yield opportunities
- Genesis Vaults: Bootstrap new markets with fair token distribution
- STEAM Token: Governance, incentives, and revenue-sharing
- 100% Collateral Efficiency: Maximize capital utilization
- Protected Leverage: No liquidations or margin calls
- Real Yield: Earn returns from yield-bearing collateral
Quick Start
-
Connect Your Wallet
- Visit app.zhenglong.xyz
- Connect your Web3 wallet (MetaMask, WalletConnect, etc.)
-
Choose Your Strategy
- Deposit into stability pools for yield and protocol security
- Mint or trade ZHE tokens for stable 1:1 exposure
- Acquire STEAMED tokens for leveraged exposure without liquidation risk
- Participate in Genesis Vaults to bootstrap new markets
-
Start Earning
- Earn yield from collateral in stability pools
- Receive STEAM rewards for protocol participation
- Lock STEAM for veSTEAM to boost rewards and participate in governance
Core Components
ZHE Tokens (Pegged Assets)
- Synthetic assets pegged 1:1 to reference prices via reliable oracle feeds
- Examples: zheUSD (USD), zheBTC (Bitcoin), zheTSLA (Tesla stock)
- Fully collateralized and redeemable
- Freely usable across DeFi platforms
- Designed to maintain tight pegs through arbitrage and protocol rebalancing
STEAMED Tokens (Leverage Tokens)
- Variable leverage tokens representing residual claims on collateral
- Similar to holding liquidation-protected leveraged positions
- Absorb volatility to protect zheToken stability
- No forced liquidations or margin calls
- Rebalanced automatically during market stress
Stability Pools
- Two types: Collateral Pools and Steamed Pools
- Maintain system solvency through automated rebalancing
- Earn yield from yield bearing collateral (e.g. stETH)
- Earn STEAM incentives
- Transform market downturns, or pegged token price spikes into opportunities for participants
Genesis Vaults
- Bootstrap new markets
- Minimal risk
- Provide immediate liquidity and collateral backing
- Distribute both zheTokens and steamedTokens to participants
- STEAM (or other) incentives for participants
Documentation Sections
- Getting Started - Learn the basics
- Technical Overview - Understand the three-token model
- Stability Pools - Learn about system security and yield
- Genesis Vaults - How new markets are launched
- Trading - Master trading strategies
- STEAM Token - Governance and incentives
- Roadmap - Protocol development plans
- FAQ - Common questions and answers