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Onyx Protocol Review 2026: Lending Roots, Now an L1 for XCN

Onyx Protocol (formerly Chain) started as an Ethereum lending market built around XCN and now presents itself as a payments-focused Layer 1 with liquid staking. Its tracked lending TVL is very small.

Ethereum

By the DappsAtlas editorial team · Updated Nov 4, 2026

DappsAtlas score

5.5/10

Mixed

Visit Onyx Protocol

Our verdict on Onyx Protocol

5.5/10

Onyx Protocol suits experienced DeFi users who already hold XCN and want liquid staking through stXCN, or who are curious about its Layer 1 plans. Its strengths are a long listing history, two listed audits and a broad set of app tools. The main caveat is size and clarity: tracked TVL is about $24,177 and falling, the project has shifted from lending to a new chain, and fees and audit details aren't published publicly. Treat it cautiously.

Score breakdown

How Onyx Protocol scores

Security: 5.0/10
Ease of use: 6.5/10
Fees: n/a
Features: 6.0/10

Scores run from 0 to 10 and are based only on facts we could verify. Where information was missing we mark the score n/a rather than guess.

What is Onyx Protocol?

Onyx Protocol, previously called Chain, is a DeFi project built around the Onyxcoin (XCN) token. DefiLlama files it under Lending on Ethereum and has listed it since April 2022. It describes a decentralized cross-token liquidity market where users earn, borrow and build, with support for NFTs and crypto.

The app has moved on from that description. Its homepage calls Onyx a high-performance Layer 1 blockchain for payments, financial institutions and real-world applications. The visible app is a liquid staking page for XCN, with tabs for Swap, Bridge, Farm, Governance, AI Agent, Points, Mesh and a Card marked Soon.

As of the data, tracked TVL is about $24,177, down 10.6% over seven days. That is small for a lending market. This review therefore treats Onyx as a small, evolving project and not an established lending venue.

How Onyx Protocol works

Onyx began as a lending market. Users supply tokens to a shared pool and earn interest, and borrowers take loans from the pool against collateral. DefiLlama says it supports both crypto and NFTs and is powered by XCN.

The current app focuses on liquid staking. A user stakes XCN and receives stXCN, which represents the stake and its earnings and can be added to a wallet on the Onyx network. The app shows a Staking APR, a Points APR, and a position summary with stXCN balance, underlying XCN value and earnings.

The homepage describes Onyx as a Layer 1 blockchain for payments, financial institutions and real-world applications. How the older Ethereum lending contracts relate to the new network is not explained.

6 features

Key features

XCN liquid staking

Users stake XCN to receive stXCN, a liquid staked token, and earn yield. The app shows a Staking APR and a Points APR.

Cross-token lending market

DefiLlama classes Onyx as a lending protocol where users can earn and borrow, with support for both crypto and NFTs.

Swap, bridge and farm

The app menu includes Swap, Bridge and Farm tabs, which suggests token trading, movement between networks and yield programs.

Governance tab

A Governance tab is part of the app, so token holders may have some say in the protocol. Voting details aren't.

Points and AI Agent

The menu lists a Points program and an AI Agent tab, both marked New. What they do isn't described publicly.

Own Layer 1 network

The app is tied to the Onyx network (ID 327), which the homepage describes as a Layer 1 for payments and institutions.

Pros and cons

What we like

The project has been listed on DefiLlama since April 2022, so it has some history.
DefiLlama lists two audits for the protocol.
Liquid staking lets users hold stXCN while earning yield on XCN.
The app offers staking, swap, bridge, farm and governance tools in one place.
It supports a native token, XCN, with a clear role in staking.

Watch out for

Tracked lending TVL is only about $24,177, which suggests very little capital in the lending market.
TVL fell 10.6% over the past 7 days, so the trend is negative.
The project's messaging has changed from a lending market to a Layer 1 chain, which makes its current scope harder to pin down.
The two audits DefiLlama lists are not named publicly, so their scope and findings can't be checked here.
Fees, rates, collateral factors and supported assets are not given publicly.
Value is tied to the XCN token, so users carry token concentration and price risk.

Onyx Protocol fees

Fees are not published publicly available for this review. That includes lending interest rates, borrow costs, swap fees and any staking or unstaking charges.

Users would see live rates and the estimated daily earnings in the app after connecting a wallet. Network gas costs also apply to any transaction.

Is Onyx Protocol safe?

DefiLlama lists two audits for Onyx, but the project doesn't name the auditors or the findings, and an audit does not guarantee safety. Lending and staking contracts carry smart-contract risk, and bridging between networks adds further risk. Staked XCN is exposed to protocol and token risk.

The project's shift to its own Layer 1 means users should check which contracts and network they are using. Public sources include no information on incidents, custody beyond the self-custody wallet connection, or regulatory status. Treat any deposit as high risk and only use funds you can afford to lose.

6 steps

How to get started with Onyx Protocol

1
Read the project's documentation and the two listed audits before depositing anything.
2
Check that you can legally use DeFi lending and staking where you live.
3
Set up a compatible wallet and keep the seed phrase offline.
4
Open the app and connect the wallet using the Connect Wallet button.
5
Add the Onyx network (ID 327) and the stXCN token to your wallet if you plan to stake.
6
Start with a small amount, check the displayed APR, and confirm how unstaking works before adding more.

Open Onyx Protocol

Who Onyx Protocol is for

Onyx is aimed at existing XCN holders and DeFi users comfortable with small, evolving protocols. It is not a good fit for beginners looking for deep liquidity or a long, stable lending record, or for anyone who needs published fee and audit details before using a protocol.

Onyx Protocol FAQs

What is Onyx Protocol?

Onyx Protocol is a DeFi project powered by the Onyxcoin (XCN) token. DefiLlama describes it as a decentralized cross-token liquidity market for earning and borrowing, previously called Chain. Its app now also describes a Layer 1 blockchain focused on payments and financial institutions.

What is the XCN token used for on Onyx?

Public sources list the XCN token as its native token. The app lets users stake XCN to receive stXCN, a liquid staked version, on the Onyx network (ID 327).

What is the staking APR on Onyx?

The project doesn't say. The page shows a Staking APR and a Points APR, but the values load only in the live app, so check them there before staking.

Has Onyx Protocol been audited?

DefiLlama lists two audits, but the project doesn't name the auditors or the findings. Check the project's documentation for the reports. An audit reduces risk but does not remove it.

How much value is locked in Onyx Protocol?

Tracked TVL is about $24,177 and fell 10.6% in the last 7 days. That is a small amount for a lending market. It means liquidity may be thin, which can affect borrowing and withdrawals.

Does Onyx offer a crypto card?

Public sources show the app has a Card tab marked Soon, so it is not available yet. No details on card terms or availability are given.

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