CORN Project Introduction

CORN is a unique Ethereum Layer 2 blockchain project, with the core feature of using BTC (BTC) instead of Ether as Money Laundering and network security guarantee, and it is also the first super-profit network constructed with BTC at its core.

Specifically, CORN has launched a hybrid tokenization of BTCBTCN as a GasToken, and enhanced the use of BTC in DeFi through the implementation of the Super Yield Farming mechanism and the network-wide Crop Circle, thereby not only better integrating BTC into the Ethereum ecosystem, but also expanding the Liquidity of BTC.

This unique architecture sets CORN apart from many Layer 2 solutions, providing users with an innovative platform that combines the advantages of BTC and the functionality of Ethereum.

CORN Team Background and Financing

In August 2024, Ethereum Layer 2 network Corn successfully raised $6.7 million in seed funding. The round was led by renowned investment firm Polychain Capital, with participation from Binance Labs and Framework Ventures, demonstrating the industry's high recognition of the Corn project.

The founding team of CORN is composed of professionals with rich experience in the field of Decentralized Finance. They have participated in and led several high-profile projects such as Badger, Code4rena, Slingshot, and 0xBow. This background not only lays a solid foundation for the development of CORN, but also sets it apart in the competitive Decentralized Finance market.

Following the seed round of financing, HTX Ventures (Huobi HTX's global investment department) announced a strategic investment in Corn. HTX Ventures has always been committed to discovering and supporting the most innovative blockchain projects globally. The early-stage support from such heavyweight investors reflects the market's strong interest and high expectations for this innovative BTC yield network.

CORN Technology & Operation Mechanism

1. Bitcoin-based Layer 2 network

CORN is an innovative Layer 2 network on the Ethereum blockchain with Bitcoin as its core. It connects the Bitcoin and Ethereum ecosystems, providing new use cases for Bitcoin holders while leveraging the security and scalability of the Ethereum blockchain to drop transaction costs and increase processing speed.

2. Super Reward Network: VeCHAIN

Corn has adopted the veTOKENOMICS model from Curve Finance and constructed an innovative mechanism called Crop Circle to incentivize users, LPs, and developers through yield farming and veTokenomics. The network uses tokenized BTC (BTCN) as fuel tokens and economic incentives, aiming to unlock the potential liquidity of BTC through a super yield mechanism and cultivate a long-term BTCN decentralized finance ecosystem. 01928374656574839201

Its revenue is mainly composed of two kinds of Token:

• $BTCN (fuel fee, generated by network transaction fee): $BTCN is the first hybrid tokenization version pegged 1:1 to the native Bitcoin, similar to WBTC, as the Gas payment method for the Corn network. It is supported by multiple trusted custodians, Smart Contracts, and Cross-Chain Interaction protocol, and can be minted in multiple ways. This design not only enhances the transparency and security of Bitcoin but also adapts to the evolution of Bitcoin storage solutions and Cross-Chain Interaction technology. Users can flexibly choose how to store their native BTC, increasing convenience and choice.
• $CORN (native network issuanceToken): The native governance token of the Corn network, which adopts a veToken model similar to Curve. By staking $CORN Token, users can indicate their support for projects that align with the BTC and Corn network principles. This not only helps maintain the core value of the network but also allows users to earn rewards and generate income from the incentive market. In addition, staking can provide a high Annual Percentage Rate (APR), participate in governance decisions, and influence $CORN reward distribution. This mechanism encourages users to hold $CORN for the long term and actively participate, thus promoting the continuous development and prosperity of the entire ecosystem.

(The picture is from https://blog.usecorn.com/polychain-leads-6-7m-investment-into-corn-the-first-bitcoin-centric-super-yield-network-b063af2cb9ef）

3. CORN 积分系统与激励机制：Kernels

Kernel is a point system, not a token. **Corn officials also stated that they will not launch KERNEL Token, and users need to be alert to fraud. **After joining Cron for early experience, you can take three actions to earn Kernels points: deposit assets, complete Galxe tasks, and invite friends.

3.1 Composition of Points

Kernel积分构成分为：

1）Ineligible account total points = invitation points + Galxe task points + stake points

2. Qualified account total points = invitation points + Galxe task points + stake points + eligibility reward (4.8 million points)

3.2 Qualification Account

• Qualification account reward: If the number of qualification accounts exceeds one million, and any of the conditions in the following table are met, the qualification account will receive a fixed reward of 4.8 million points.
• The following table shows the selection rules for qualified accounts:

(The picture is taken from https://x.com/Ice_Frog666666/status/1829821918343807214)

3.3 Method of obtaining Kernel points

1. Deposit Assets: Earn Kernels by depositing specified assets into the Corn deposit silo. **Every 210 minutes, depositors can earn 1 Kernel for every $1 (or equivalent) deposited. **All deposited assets can be withdrawn at any time without any penalties or fees.

Qualified assets include: - wBTC, wETH, rsETH, USDC, DAI, sDAI, USDe

Some deposit warehouses have additional incentive measures called juice, which can double the normal Kernel acquisition rate.

Qualified recipients of Juice deposits include:

Multiplier: 1.25

• CORN- sDAI Silo (if deposited with DAI, USDC, sDAI, it will be converted to sDAI)
• CORN- weETH 筒仓

1.5 Times:

• CORN- eBTC Silo
• CORN- LBTC 筒仓

2 Multiples:

• CORN-BTCN silo (If stored in WBTC, it will be converted to BTCN)
• LOMBARD- LBTCv (If deposited in LBTC or WBTC, it will be converted to BTCN)

3 multiples:

• PENDLE- solvBTC.BBN Barrel Vault
• PENDLE- LBTC 筒仓
• PENDLE- uniBTC 筒仓
• PENDLE- pumpBTC silo

Juice is a multiplier that can increase the yield of Kernel in the Corn silo by depositing on applications in Corn or its ecosystem partners. The more Juice in the silo, the higher the rate of Kernel (KPH) per hour. Currently, depositing PENDLE can yield up to 3 times the Kernel, and also earn points in other cooperative projects in the ecosystem.

1. Complete tasks: Earn Kernels by completing Galxe tasks. On the Corn page of Galxe, 1 Point = 1 Kernel. Currently, the Corn official has launched two galaxy missions on Galxe. The first mission has ended, and the other mission is still ongoing. If you are interested, you can directly start earning Kernel tasks on Galxe. According to the official explanation, the Address on Galxe must be the same as Corn, otherwise it may result in a loss of points.
2. Invitation Reward: Eligible account users can generate a one-time invitation code, and the Kernels obtained will continue to accumulate throughout the entire Airdrop campaign.

Kernel accumulates into four levels:

1. You get 20% of the Kernels earned by the people you directly invite.
2. You earn 12% of the Kernels earned by the people invited by your direct inviter
3. The person you invite on the second level earns 6% of Kernels.
4. The person you invite to the third level earns 3% of Kernels.

Now the project is still in the early stage. According to the official information, the value and usage of Kernels may be further expanded in the next stage, bringing more potential benefits and opportunities to participants.

Corn Practical Applications and Ecosystem

BTCFi: Re-stake BTC to maximize earnings for holders

The main application of Corn is in the field of Decentralized Finance. By adopting a ve Token model similar to Curve and combining it with an incentive mechanism, it establishes a mutually beneficial relationship with multiple Decentralized Finance protocols such as Pendle, capturing the BTCFi wave together. This not only helps BTCholders maximize their profits but also channels value back to the Corn project and BTCN Tokenholders.

Corn's LBTC represents an important collaboration among BTCfi participants. With Lombard's support, LBTC enables Liquiditystake on the Babylon infrastructure layer of BTC's own staking. By depositing LBTC on Corn, users can not only further support Corn's pre-launch activities, but also earn Kernels that can be exchanged for $CORN Airdrop.

In addition to Corn LBTC, EtherFi's eBTC, Bedrock's uniBTC, Solv's solvBTC, and many more stakeBTC products such as PumpBTC are now available on the Pendle platform.

(Image from X.com@Eli5DeFi)

CORN collaborates with Babylon, Lombard, PENDLE, and Solv to launch BTCLST

In September 2024, Corn announced the breakthrough of the four-way integration, enabling the staking of Bitcoin LST (Lombard's liquid stakeToken $LBTC) into Pendle's Corn Pool, to earn Lux, Lombard's native points, and Kernels at the highest yield rates of both Lombard and Corn (3x each). Let's take a brief look at the protocols that collaborate in the Corn ecosystem:

• Babylon is a protocol that provides BTC timestamp (using BTC backup PoS chain data) and stake (using BTC to provide Decentralization economic security), which provides the backend engine for Lombard and is the core of this integration. Babylon's trustless and self-custody stake protocol allows BTC to be directly staked on the BTC Block on-chain stake, without the need for a bridge or wrapped BTC, ensuring maximum security and control for BTC holders.
• Lombard is a protocol built on top of Babylon, which innovates the concept of BTC stake by introducing LBTC, a Liquidity stake Token. LBTC enables BTC to be widely used in the Decentralized Finance ecosystem, closely integrated with Babylon. This allows BTCholders to earn profits while maintaining asset Liquidity and participating in trading. At the same time, this mechanism also enhances the security of PoS networks such as Ethereum. It is worth noting that LBTC can be exchanged back to BTC at a 1:1 ratio, ensuring asset value stability.
• Pendle is a yield tokenization protocol built on multiple chains, which allows users to execute various yield management strategies. By packaging yield-bearing tokens into SY (Standardized Yield) tokens, which are then split into Principal Tokens (PT) and Yield Tokens (YT) through wrapping (e.g. stETH → SY-stETH), and traded via AMMs. Pendle brings Interest Rate Derivatives from TradFi into Decentralized Finance, enabling users to execute advanced strategies such as fixed-income, long yield, and yield enhancement.

Corn Production Integration

CORN collaborates with projects including PENDLE and Babylon to bring more opportunities to increase yield, integrating these not only to reward participants with Kernels and other partner points.

Pendle Liquidity pool

Investors can exit at market prices at any time, with flexible entry and exit of the pool. Liquidity that minimizes Impermanent Loss (IL) is provided: each pool is composed of underlying assets and PT (Principal Token, which can be redeemed for underlying assets at maturity), and this structure helps to reduce the risk of Impermanent Loss.

Pendle's Corn Pool currently offers high BTC stake yields, with LP users enjoying the following APY:

• PumpBTC (CORN) Pool: 19.24% APY, TVL is $2.5 million
• uniBTC (CORN) Pool: APY reaches 13.78%, with a TVL of $29 million
• solvBTC (CORN) Pool: 32.19% APY, TVL is $51 million
• LBTC (CORN) Pool: Up to 10.56% APY, TVL is 33 million USD

(Screenshot from Pendle Liquidity Pool)

Pendle Points Market

Pendle Yield Market offers three yield options: Leveraged Mining Tokens (YT, Yield Token), Fixed Income Tokens (PT, Principal Token), and Liquidity Provider Rewards (Liquidity Provider).

• Leveraged Mining Points (YT) - This is a leveraged Position driven by BTCFi Token earnings, a leveraged Mining activity conducted on the Pendle platform to earn points. YT is a floating interest income, and although there is a risk of the Token value dropping to zero at maturity, it is an ideal choice for traders seeking to maximize points as it offers high leverage returns and allows for withdrawal at any time while retaining all accumulated points.
• Fixed Income (PT) - For those who prefer a passive approach, PT provides stable income in exchange for the returns of BTCFi Token. At maturity, it can be exchanged 1:1 for the underlying BTCFi Token, making it an ideal choice for a conservative strategy.
• Liquidity Provision Incentives (LP) - If you enjoy diversification, this strategy allows you to enjoy a blend of points and rewards generated by BTCFi tokens and $PENDLE incentives, including exchange fees and balance maintenance methods.

In Pendle's Corn pool, you can amplify the acquisition of points by buying YT.

• Purchase PumpBTC(Corn): Can get 1 times Babylon, 3 times Corn, 4 times PumpBTC and other points
• Purchase uniBTC(Corn): You can receive 1x Babylon, 3x Corn, 5x Bedrock, and other points.
• Purchasing SolvBTC.BBN(CORN): 1x babylon, 3x CORN and 14 Solv XP per $1
• Buying LBTC(Corn): You can get 1x Babylon, 3x Corn, 3x Lombard and other points

Summary

The future development prospects of Corn are quite broad. First of all, Corn will continue to improve its cross-chain bridges and protocol, which will not only attract more users and Liquidity, but also enhance the interoperability of the entire ecosystem. Secondly, the further promotion of the BTCN token will provide BTCholders with more opportunities to participate in Decentralized Finance, while Corn's unique economic incentive model may become a new foundation for Decentralized Finance innovation.

CORN has successfully connected BTC and Ethereum ecosystems through the innovative BTCN token, bringing new possibilities to the Decentralized Finance field with this Cross-Chain Interaction. Especially in the fiercely competitive environment of Layer 2, Corn's differentiated positioning sets it apart. For example, Corn's collaboration with projects such as PENDLE and Babylon provides users with diverse high-yield opportunities, such as the Pendle Corn Pool offering a yield of up to 32.19% APY.

In addition, Corn's Kernels points system and integration with other protocols (such as Babylon, Lombard, etc.) provide users with multiple rewards. This innovative incentive mechanism is expected to attract more users to participate. If Corn can maintain stable development and continue to promote its innovative ideas, it is likely to become an important player in the Layer 2 ecosystem, driving further integration and innovation of blockchain technology.