Protocol Philosophy
Own Protocol Philosophy: Real-World Impact Through Onchain Finance
Core Vision
Own isn’t just another synthetic derivatives protocol. The foundational vision is to build a decentralized, permissionless, tokenized stock infrastructure — one where onchain activity translates into real-world economic impact.
At its core, Own enables the creation and trading of asset-backed tokens that reflect the economic performance of real-world assets like stocks. But unlike purely synthetic systems, Own focuses on systems where tokens are fully backed, offering greater trust, transparency, and sustainability.
Why Not an Over-Collateralized Synthetic Model?
Traditional perpetual derivative models rely on over-collateralization and internal system debt, which:
Are capital inefficient
Can be zero-sum, where one party's gain is another's loss
Lack real-world economic impact — the onchain asset exists is just a derivative.
Own takes a different approach:
Tokens are fully backed off-chain by LPs
Every token issued can be tied to actual demand and supply dynamics in traditional finance
This enables:
Tangible off-chain asset demand through onchain usage
Real-world hedging and pricing arbitrage
Sustainable Scalability
Role of Sell-side LPs
Sell-side Liquidity Providers (LPs) in Own:
Commit capital and hold the real-world asset off-chain
Remain delta-neutral by mirroring synthetic exposure with real asset positions
Earn yield through floating interest and market-making spreads
This creates a system where LPs are incentivized to offer real asset backing while users gain seamless access to exposure.
zk-Proof-Based Asset Verification
To increase trust and composability, Own in the future will introduce:
Optional zk-proof verification for LP asset holdings
Especially useful for institutional-grade pools.
Why This Matters
The aim is not to simply replicate TradFi instruments onchain, but to create a bridge between them, where:
Onchain positions lead to real-world demand
Tokenized assets are not just speculative, but economically significant
Own wants to blur the line between DeFi and TradFi — responsibly.
Guiding Principles
Real World Alignment — onchain should reflect real demand & exposure
Permissionless by Default — anyone can LP or gain exposure
Sustainable Yield — based on interest and utility, not emissions
Interoperability — tokens can be traded, composed, and integrated across DeFi
Final Thought
We believe it’s critical to build systems that don’t just mirror finance, but shape it — with protocols that produce real, measurable economic outcomes, not just synthetic speculation.
Own is that protocol.
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