What is Threshold (T)?

Threshold (T) Coin is a digital currency designed to establish a decentralized platform ensuring secure, confidential, and streamlined transactions. This platform operates on the Ethereum blockchain and employs smart contracts to enable transactions.

T Coin serves as the primary cryptocurrency within the Threshold platform, utilized for transaction facilitation, covering network fees, and enhancing platform liquidity. Additionally, it acts as a reward mechanism for users engaging in the governance procedures of the platform.

What is the Threshold Network?

The Threshold Network (T) emerged in January 2022 through the first on-chain amalgamation of two decentralized networks — the Keep Network and NuCypher. Its primary objective is to ensure users retain control over their digital assets, encompassing not just basic wallets and cryptocurrencies, but also user data, company information stored in smart contracts and DApps, NFTs, and other digital assets. 

Moreover, it aims to address concerns regarding data and privacy in response to blockchain breaches, as the decentralized digital finance sector becomes more mainstream. This trend is exemplified by Russia and India's imposition of taxation on digital assets.

To achieve its goals, the Threshold Network combines elements from both the Keep Network and NuCypher:

1. From the Keep Network: The structural framework of the Threshold Network is derived from the Keep Network, utilizing off-chain containers known as "keeps" to encrypt, store, and transmit private data. These "keeps" are easily accessible to developer smart contracts without compromising user privacy or network transparency. This technology was previously validated with tBTC, a trusted Bitcoin (BTC) bridge in DeFi that connects BTC to Ethereum.

2. From NuCypher: Building upon the "keeps," NuCypher's privacy tools manage secret or sensitive information by processing and encrypting data without revealing it. The network can grant or revoke access to sensitive information, ensuring protection in case of suspicious activities. Additionally, the Threshold Network leverages NuCypher's Proxy re-encryption tools, allowing secure delegation of decryption rights.

The paramount feature of the Threshold Network lies in its commitment to maintaining decentralization and community involvement. This will be facilitated through the establishment of the Threshold decentralized autonomous organization (DAO), which integrates members from both the Keep and NuCypher networks, thereby incorporating a knowledgeable and engaged community from the outset. 

The decision to launch the DAO underscores the network's dedication to decentralized decision-making, as it was agreed upon through a voting process.

What is the Threshold Token (T)?

The Threshold Token (T) represents the upgraded native token within the Threshold Network, serving a dual purpose as a utility token facilitating network operations and as a governance instrument for the Threshold DAO. This token, T, plays a crucial role in enabling various opportunities for users:

Staking Rewards: Following the principles of proof-of-stake (PoS) consensus algorithms, users are required to stake their tokens to become validating nodes and earn rewards. Rewards are allocated for honest behavior while penalties are imposed for dishonest conduct. The quantity of $T staked by each node directly influences their reward earnings (higher stakes increase the chances of being chosen to validate a block) and confers voting power within the DAO.

Liquidity Pools (LPs): The Keep Network has proposed incentivizing users to shift their liquidity from the KEEP – ETH pool on UniSwap to a T – ETH pool. This strategic move aims to augment yield rewards, thereby expanding the pool of Threshold token holders and engaging new community members for the network’s DAO.

Threshold Token holders actively contribute to the operation of the Threshold Network by staking and managing decentralized nodes responsible for verifying network activity. These actions are incentivized without reliance on centralized authority. Furthermore, active engagement in the DAO through voting and discussions empowers T token holders to sustain the network's community-driven and decentralized ethos.

Who are the founders of Threshold?

Threshold emerged from the collaboration between NuCypher and the Keep network, jointly developed and overseen by both teams. David Nuñez serves as the Chief Technology Officer (CTO) of Threshold. Moreover, the platform is governed by token holders integrated within the ThresholdDAO.

Threshold operates using a specialized native cryptographic approach known as the Threshold system, ensuring the security of users' funds. This system generates both a public and private key for users to access their funds. Holders of Keep tokens have the option to transfer their tokens to Threshold and obtain T-ETH in return by providing liquidity. Additionally, individuals holding Nu or Keep tokens can opt for the Legacy token holder upgrade, enabling them to convert their tokens into T.

What Sets Threshold (T) Unique From Others?

• tBTC Bridge: Through the tBTC bridge, users can transfer their BTC holdings to the Ethereum network, opening up numerous possibilities within the realm of DeFi. A minimum of 0.01 BTC is required to transfer BTC from Bitcoin native wallets to Threshold, which can only be done after a holding period of 3 to 6 months.

• ThresholdDAO: Comprising the Token Holder DAO, Staker DAO, and the Elected Council, ThresholdDAO encompasses three pivotal groups, each with similar yet interrelated functions.

• DeFi on Threshold: Users have the option to transfer Nu and Keep tokens to Threshold and subsequently exchange these tokens for T, or engage in staking via the Threshold staking contract. Furthermore, users can stake tBTC to receive monthly rewards.

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