YIP Idea: Adding Ctez as collateral in the Youves Engine

Title: Adding Ctez to Youves

Date: 2023-06-29


This YIP proposes to add Ctez to the Youves platform, particulary in the Youves Engine. Ctez is a tokenised version of tez, that is composable with DeFi and aims to make sure there’s not a lot of concentration of baking power among few bakers.

It is envisioned and written by Arthur, co-founder of Tezos and maintained and adopted by the Plenty Labs. At the time of writing, 561k ctez is collateralized by 767k tez across 280 ovens with a 8.48% drift (equivalent of savings rate).


Ctez is a valuable DeFi tool on Tezos because it provides a solution to the challenges posed by the concept of delegation on Tezos, particularly when assets from multiple participants are pooled together. Ctez is a wrapped version of tez that is fungible, decentralized, and trust-minimized, and it does not incur an opportunity cost from missing out on delegation. These properties make ctez useful in situations where assets need to be interchangeable, and where no specific baker or governance body should benefit disproportionately.


The integration of ctez into the Youves platform offers several compelling reasons to consider this proposal:

  1. Enhanced Functionality: ctez is a powerful and innovative protocol that provides numerous features and capabilities for Tezos DeFi users. By integrating ctez, Youves will expand its functionality, allowing tez holders to maximise their returns on tez (by holding ctez when drift is ~>5%) while leveraging the collateral in Youves to go long or short on uAssets.

  2. Battle Tested: Ctez has been in operation since 2021. The Ctez admin contract has processed 316K operations, and the Ctez token contract itself has processed close to 1 million (900K+ at the time of writing) operations. This shows that the Ctez contracts are battle tested against all kinds of market scenarios. Ctez has always stood strong absorbing all kinds of market waves since its inception, and it has never been victim to any bad vectors or attacks.

  3. Growing Partnership: The Plenty Labs team has demonstrated a strong commitment to building sustainable and innovative solutions in the Tezos DeFi space. By integrating ctez, Youves will forge a partnership with Plenty, fostering collaboration and mutual growth.


Once given the green signal by Youves holders Plenty Labs would work with Youves team to form a proper YIP and seek their help to write the lambda. Then we expect it to go vote and see the Youves governance in action.


There is no cost associated with implementing this YIP. The Youves team would only need to spend a some amount of time and resources to add Ctez to the platform. Wherever required, Plenty Labs will be happy to assist in any development or co-branding and marketing activities.

We, at Plenty labs look forward to discussion on this proposal.


Although I don’t think it makes much sense, I still welcome the proposal.
Let’s unite to help Tezos DeFi grow. :muscle:

1 Like

If the new Unified Collateral Pool mint engine come to ture, adding Ctez as collateral will be a very easy job.