Centuari Bond Token
Last updated
Last updated
Centuari Bond Token (CBT) is a core component of the Centuari lending protocol, designed to tokenize a lender’s right to reclaim their deposit along with interest at a predetermined maturity. It embodies a Zero Coupon Bond (ZCB) model, delivering a scalable and predictable system for fixed-term lending on-chain.
Centuari Bond Token (CBT) is a tokenized receipt issued to lenders who deposit assets into the Centuari protocol. It represents:
The right to redeem the full principal plus interest upon maturity.
A non-interest-bearing instrument during its lifetime.
A fully deterministic yield instrument redeemable in a lump sum at the maturity date.
Centuari applies the principles of Zero Coupon Bonds (ZCB) from traditional finance:
No periodic interest is distributed during the bond’s lifetime.
CBT is issued upfront and redeemable at face value (principal + interest) upon maturity.
The interest is implicitly encoded in the discounted value at the time of deposit.
Formula:
CBT Redemption Value = Principal + (Principal × Fixed Interest Rate)The interest is embedded into the token issuance logic rather than accrued continuously on-chain.
Loan Token
The underlying asset lent by the lender (e.g., USDC, DAI)
Collateral Token
The asset pledged by the borrower as security
Maturity Date
The timestamp at which CBT can be redeemed for its full value
⚠️ Note: The APY or interest rate is not stored in the token. It is used only at issuance for calculating the redemption value.