DeFi fixed income is really coming. For the first time, traditional financial FRA/IRS has been brought into the Ethereum staking market—launched by @TreehouseFi, the TESR FRA is now available for trading on @FalconXGlobal, a major institutional broker. This is a key step in bringing core interest rate tools from TradFi directly onto the blockchain. What is an FRA? Think of it as "interest rate futures": it locks in future interest rates rather than asset prices. For example, with ETH staking currently yielding 3.4% annually, through an FRA you can lock in this rate until the settlement date, regardless of how interest rates fluctuate in the meantime, making cash flows predictable. This is essential for those who need to plan their finances. Why TESR? TESR (Treehouse Ethereum Staking Rate) is the Ethereum staking benchmark rate released by @TreehouseFi under the DOR (Decentralized Quoting Rate) framework, aggregating validator data and expert predictions to price and settle on-chain products. Now, TESR has been adopted by institutions (including @FalconXGlobal) as a benchmark for yield pricing. This isn't the first time playing with interest rate derivatives, but this time it's a step further. Back in 2024, @FalconXGlobal completed the first ETH staking "fixed-floating swap" (IRS) using the CESR benchmark, allowing institutions to convert floating staking yields into fixed; and this time, the TESR FRA effectively combines the interest rate benchmark with futures contracts, pushing it towards broader use cases. Infrastructure is also being synchronized. To ensure that interest rate derivatives operate as safely as in traditional markets, @TreehouseFi and @PascalClearing are piloting the clearing and settlement of TESR FRA (smart clearing), bringing TradFi's clearing mechanisms onto the blockchain to reduce counterparty risk and enhance market depth. Why is this important? . Locking in future staking rates: You can choose to "receive fixed, pay floating" or vice versa, finally not being led by volatility. . Trading interest rate direction: Go long/short on forward rates to express views on economic and network conditions. . Extending terms: Stringing multiple FRAs together into a "strip" creates longer-term IRS (fixed vs. floating). These capabilities are the daily routine of the TradFi fixed income market; fixed income is the largest asset class in traditional finance, and now we are starting to bring it into crypto. Institutional entry signals. Funds including @august_digital, @EdgeCptl, @MEVCapital, @Rockaway_X have already participated, providing critical support for the depth of the interest rate market; at the same time, @FalconXGlobal has established partnerships with traditional large banks (like Standard Chartered), indicating that fiat clearing and compliance support at the prime brokerage level is also in place. Key takeaways for investment and products. . DeFi is entering the "era of interest rate products": moving from peer-to-peer lending to true benchmark rates × derivatives × clearing. . Yield strategies can be more combinable: LST/LRT yields, shorting/going long on FRAs, term structure management, starting to be competitive. . Narrative shift: it's no longer about "mining, withdrawing, and selling," but a measurable fixed income ecosystem. Conclusion. Fixed income is the largest asset category in TradFi, and now @TreehouseFi is bringing it into crypto, collaborating with institutions like @FalconXGlobal to deepen the market. If you are optimistic about the "on-chain fixed income" track, $TREE is one of the direct ways to participate in this narrative (research TESR, DOR, ecosystem products, and governance).