Purpose and positioning of DUO Protocol

DUO Protocol Overview

DUO Protocol serves as the primary restaking layer within the 0Fx ecosystem, functioning both as:

• An Infrastructure Component: Optimizes listed tokens within 0Fx by maximizing capital efficiency.

• An Autonomous Product: Provides optimized restaked token versions for external DeFi projects.

The main goal is to enhance capital efficiency and deliver higher long-term yields while maintaining a risk profile similar to traditional staking products. It allows investors to hold a single, fully liquid position benefiting from multiple compatible yield sources.

Target Audience

DUO targets long-term DeFi investors, including new entrants to the space, by offering a hands-off yield optimization layer. Investors deposit well-known crypto assets, and DUO aggregates compatible yield opportunities without using leverage.

For DeFi projects, DUO acts as a backend yield layer, enhancing investor incentives and liquidity pool efficiency.

The Problem DUO Solves

In the current DeFi landscape, capital is fragmented across single-purpose products. DUO addresses this by:

• Enabling 100% exposure to each underlying product's benefits within a single tokenized position.

• Layering multiple yield streams together (e.g., staking + restaking + liquidity lending).

• Recycling idle liquidity in other market activities for interest.

• Providing full liquidity without lock-ups and with transparent fees.

This system allows risk-takers to earn returns from multiple products simultaneously, encouraging migration towards cumulative yield infrastructures.

Competitive Advantages

DUO stands out by offering:

• Integration with widely adopted, industry-leading protocols (e.g., Lido Finance).

• Use of emerging protocols with audited contracts.

• No lock-up periods; assets are fully liquid and tradable.

• A transparent fee model.

• Compatibility with secure market protocols.