Question

True Freeze users can pay a fee to unlock their ETH early.

• What is the sum of fees paid for early unlocks?
• So far, what percentage of locked ETH was unlocked early?

TrueFreeze - How it Works? - Short explanation

• Anyone with a wallet connected to TrueFreeze can freeze (deposit) their ETH, to mint/receive frETH (frozen ETH).
• Additonally you’ll receive a Freezer NFT Certificate of Deposit, with the same value of your ETH deposited.
• This NFT can be traded at any marketplace so people can sell/buy their ETH linked to the NFT.
• To get the ETH back, you need to burn the Freezer NFT.
• Burning a NFT may cost a frETH fee and have a WETH penalty, which raises the value of the FRZ token.

Methodology

• Unlocking ETH means burning their Freezer NFT, and early unlocks mean the fees are:
  • The frETH used to burn the NFT, and the 0.25% WETH penalty
• Using the Velocity App from FlipsideCrypto and Flipside data bank tables:

  • ethereum.core.fact_event_logs: To get the tx_hash related to users unlocking/locking their ETH

    Using the following Origin_Function_Signature

    0xbe5021ec which happens when someone burn their Freezer NFT.

    0x0f221cab which happens when someone lock their ETH.

  • ethereum.core.ez_token_transfers: To get the data about token transfers using the tx_hash obtained.

Introduction

• Before i get started talking about TrueFreeze, let me quickly explain how this dashboard works.
  • This dashboard is going to be an extensive analysis about this project.
  • Using MetricsDao, to divide this work in sections to answer the bounty questions.
  • Mostly because TrueFreeze is still new, and most of the info can be in one good dashboard instead of many.
• Working with Flipside App Velocity, i’ll be analyzing TrueFreeze in many specific questions.

But first, a little overview of TrueFreeze

What is TrueFreeze?

• TrueFreeze is an autonomous protocol in the Ethereum blockchain, launched in June 2022.
• In the launch they release their first token, the Freezer Revenue Token (FRZ), and shared with many DAOs to promote, investigate and potentially develop this project.
• You can get FRZ by the following means (#Faq Unofficial Discord):
  • Burn frETH to get a proportional amount of FRZ inflation forever.
  • Provide liquidity between frETH and WETH while liquidity incentives exist.
  • Earn it from Partner DAOs that were granted FRZ.
• The meaning of TrueFreeze protocol, in their words:
  • Get paid to send ETH into the future
  • Pay to bring ETH back to the present.

All the information comes from the faqs of TrueFreeze and the Unofficial TrueFreeze Discord

Autonomous?

• Point 12 of the faq in TrueFreeze says:
  • There is no governance token for True Freeze, nor any concentrated DAO nor administration at the protocol level. It is a Day 1 Complete immutable public good with no centralized control at all. Deep Freeze LLC maintains 1 website for accessing True Freeze, but there will be others.

Business Model

• True Freeze rewards you with a “Proof of patience” which is the frETH you’ll mint after locking your ETH.
  • Patient people are gonna unlock their ETH without cost and mantain their frETH.
  • Impatient people are gonna unlock their ETH paying frETH fees and lose ETH value by unlocking prematurely,
  • The loses of the impatient people (frETH fees and the ETH penalty) are going to FRZ stackers and besides the price of the frETH will raise by people looking to pay the frETH fee to unlock prematurely the NFT.

True Freeze - How it Works? - Mathematical explanation

• Deposit/Freeze the ETH it means locking by a period of time, between 1 to 1100 days, that you decide.

• The frETH received/minted by this lock works with the following formula:

  frETH = ETH_locked x (days/365)

• So if you lock 1 ETH by 3 years (1095 days) you get 3 frETH, if you lock 0.333 ETH by 421 days you get 0.384… frETH, And you get a Freezer NFT worth the same value of the ETH locked.

• Now you can trade your NFT if you want, or wait to burning in the future.

• Every Freezer NFT has a maturity date, which is the day choosed by the user which locked their ETH.

• Burning the NFT after the maturity date doesn’t have frETH fees or an ETH penalty.

• Burning the NFT before the maturity date have always an WETH penalty of 0.25% and a frETH fee following the next formula:

  The following formula have 2 cases and it’s decided by the amount of progress

  • Time Locked = Number of days the ETH was locked.
  • Progress = Days passed since the NFT creation / Time locked.
  • frETH minted = the frETH received when the ETH was locked.

  frETH_fee (Progress<0.67):

  frETH_minted + (0.2 x frETH_minted x (1 - Progress / 0.67))

  frETH_fee (1>Progress>0.67):

  frETH_minted x (1 - ( (Progress - 0.67)/0.33))

We can see that burning a Freezer NFT is going to be really expensive before the 67% progress, more frETH than the minted by the process of locking the ETH.

In the 67% is going to cost the same as the frETH minted initially.

After the 67% is going to cost less than the frETH initially minted.

TrueFreeze - Links

Site:

frETH:

FRZ:

Freezer NFT:

OpenSea Link:

Governor Contract:

Contract Audit: https://solidity.finance/audits/DeepFreeze75a96d1c89511e28d3e9b94f3b7905

Stacker of Fees:

Now that you know TrueFreeze is time for some Analytics.

• Because the protocol is new the data is still fresh, but this dashboard will use a daily refresh.

True Freeze - 1. Early Redemptions

Stacker of Fees is the name i give to the address that receive the frETH and ETH penalties when someone burn their Freezer NFT earlier.

Origin_Function_Signature = 0xbe5021ec means people burning Freezer NFT

Velocity rounds amount value, put your cursor in amount column to see the real number.

Origin_Function_Signature = 0x0f221cab means people locking ETH in TrueFreeze

True Freeze - 2. Distribution of Token Ownership

Question

• How many addresses hold frETH? Exclude labelled addresses, liquidity pools and protocol-owned addresses from the count. Visualize the distribution of frETH tokens amongst non-institutional addresses.

Methodology

• Because we want only people who get frETH by locking ETH:
• Using the Velocity App from FlipsideCrypto and Flipside data bank tables:

  • ethereum.core.fact_event_logs: To get the tx_hash related to users locking their ETH

    Using the following Origin_Function_Signature

    0x0f221cab which happens when someone lock their ETH.

  • ethereum.core.ez_token_transfers: To get the address of people who minted frETH

  • flipside_prod_db.ethereum.erc20_balances: To get the balance of frETH from these people

True Freeze - 4. My Next Purchase

Question

• What is the most common transaction (any transaction) users make after minting frETH?
• If appropriate, ensure your data refreshes daily

Analysis

• This charts provides information about the daily balance of users which minted their frETH, by locking their ETH.
• It doesn’t include people who get their frETH by trade.
• At this moment (2022-07-29) 2 people hold most of the frETH (between people who minted their frETH obviously), the top 1 hold aprox 1 frETH

Remember to put your cursor in the balance column to see the correct balance (because velocity rounds the number)

Analysis

• Because the data is fresh in this moment (2022-07-29) only 1 person has burned prematurely their NFT, others 3 users have burned their NFT past their maturity date.

• To get the percentage i count the total of distinct tx_hash when someone locked their ETH, that only means at this moment (2022-07-29) there are 35 NFT Freezer created, but because there are people (4) who already burn their NFT (refer to tx_hash chart of people burning their NFT) there are 31 Freezer NFT active.

  But still the chart provides a percentage of the Total NFTs created and the total NFTs burned prematurely.

Methodology

• Because we want only activity from people who get frETH by locking ETH, and look for their activity after the timeblock of the mint.
• Using the Velocity App from FlipsideCrypto and Flipside data bank tables:

  • ethereum.core.fact_event_logs: To get the tx_hash related to users locking their ETH

    Using the following Origin_Function_Signature

    0x0f221cab which happens when someone lock their ETH.

  • ethereum.core.ez_token_transfers: To get the address of people who minted frETH

  • ethereum.core.fact_transactions: To get info about activity after the mint

    \

Analysis at (2022-07-29)

• The popular activity after Freeze some ETH is a transfer transaction, after that it comes the classic “Approval” event, Staked is the 3rd event, but this is the work of an automatic transaction made by 0x573c0609a8cac30b7a8a65e3652f0511caeffd30 A TrueFreezer Contract which moves FRZ and frETH, i decided to include TrueFreezer Contracts, because they’re a consequence when users interact with the protocol.

• Address 0x68b3465833fb72a70ecdf485e0e4c7bd8665fc45 is a Uniswap V3 Contract and it’s the second most active contract, the 3rd contract is the Governor Contract (Refer to Links above) 4th place is 0x090559d58aab8828c27ee7a7eab18efd5bb90374 probably a Bot (Contact Creator 0xbc577bddeb479eeabadf5303a1221cf84c074ea7), 5th place 0xb4bd4628e6efb0cb521d9ec35050c75840320374 another TrueFreeze Contract.

• But still Users preference are transfers, deposits and swaps. After that a few users do distinct things like mint, change settings, and others.

  \

True Freeze - 5. Metrics on True Freeze

Question

Produce a dashboard showing metrics on True Freeze.

At a minimum, visualize:

• the daily volume of ETH frozen,
• the daily number of transactions to freeze ETH, and
• daily early redemptions.

Methodology

• Using the Velocity App from FlipsideCrypto and Flipside data bank tables:

  • ethereum.core.fact_event_logs: To get the tx_hash related to users unlocking/locking their ETH

    Using the following Origin_Function_Signature

    0xbe5021ec which happens when someone burn their Freezer NFT.

    0x0f221cab which happens when someone lock their ETH.

  • ethereum.core.ez_token_transfers: To get the data about token transfers using the tx_hash obtained.

Additionally Metrics Chart with respective Credits in the SQL.

Remember to put your cursor in the amount to see the correct value

Summary

• TrueFreeze has only started, their real potential is going to be visible after a year.
• Still a lot of users are freezing their WETH, but only a few have burn their NFT Freezer to get the WETH
• Most activity is related to transfers, swap, and deposits.