Using LiquidApps universal blockchain interoperability framework, Bancor will expand its liquidity pools by connecting to Polkadot parachains.
Tel Aviv, May, 2021—LiquidApps, the decentralized development solutions provider, announces a collaboration with Bancor to connect their automated, decentralized exchange from its base on Ethereum to parachains on Polkadot. The bridge, which utilizes the DAPP Network technology will empower Bancor to broaden its liquidity pools to other chains, starting with the Polkadot ecosystem.
Since it was founded in 2016 by former Ethereum co-founder Gavin Wood, Polkadot has gained traction in the blockchain world as a leader in interoperability and collaborative development. Polkadot’s hub-and-spoke system of interoperable and interconnected parachains is considered by industry experts to be an essential tool in the next step of building a scalable, decentralized financial ecosystem.
Operating parallel to Polkadot is Ethereum, the largest of the blockchain networks, which has the highest liquidity. While liquidity on Ethereum has grown and expanded, especially with the DeFi boom of 2020, gas fees have forced both dApps and liquidity providers to seek out lower cost blockchains, such as Polkadot. As the parachains in Polkadot rush to build the next generation of DeFi applications, they will need access to the liquidity from Ethereum to maintain their competitive edge. Bancor, a leading Automated Market Maker (AMM), is pioneering the bridging of the networks, ensuring that liquidity is not siloed, and DAPP Network technology will power this endeavor.
Underlying the cross-chain bridge between Ethereum and Polkadot is the DAPP Network universal bridging framework and its lightweight EdgeDSP software. Together they create an unimpeded flow of tokens and data between blockchains with the ability to perform cross-chain smart contract execution. Utilizing a lightweight WASM-based software called EdgeDSP, bridge operators could significantly reduce their costs and maintenance requirements by running their nodes from within a simple web browser.
“LiquidApps is proud to play a pivotal role in blockchain interoperability by collaborating with Polkadot and Bancor,” says Beni Hakak, CEO of LiquidApps. “By providing the underlying technology to empower this cross-chain bridge, we are helping to build the foundations for an efficient, scalable, and lasting decentralized ecosystem.”
“Interoperability is crucial to the development of multi-chain DeFi,” says Yudi Levi, CTO of Bancor, “and we’re thrilled to extend Bancor’s liquidity network to Polkadot with LiquidApps.”
Since its inception in September of 2020, DAPP Network’s cross-chain bridge has been utilized by Yup and DAPP Account DAO, a decentralized social media platform and a cross-chain yield aggregation provider, to bridge various tokens between Ethereum and EOS, successfully demonstrating the potential of multi-chain DeFi and liquidity mining.
Founded in 2019, LiquidApps is the R&D company that created the DAPP Network, a universal bridging framework and middleware of powerful services essential for blockchain interoperability and modern decentralized applications (dApps). The DAPP Network bridging technology enables cross-blockchain transfers of any type of data or asset with customizable consensus and incentive structures. LiquidApps core team consists of top-tier blockchain technology experts and experienced entrepreneurs.
The Bancor Protocol is a standard for the creation of Smart Tokens™, cryptocurrencies with built-in convertibility directly through their smart contracts. Bancor utilizes an innovative token “connector” method to enable formulaic price calculation and continuous liquidity for all integrated tokens, without needing to match two parties in an exchange. Smart Tokens interconnect to form token liquidity networks, allowing user-generated cryptocurrencies to thrive. To convert tokens instantly, visit the Bancor Web App or join the Bancor Telegram group for more information.
Polkadot is the flagship project by Web3 Foundation, a Swiss Foundation founded to facilitate a fully functional and user-friendly decentralized web. Polkadot is built to connect private and consortium chains, public and permissionless networks, oracles, and future technologies that are yet to be created. Polkadot facilitates an internet where independent blockchains can exchange information and transactions in a trustless way via the Polkadot relay chain.
Beni Hakak, Co-Founder and CEO
Tal Muskal, Co-Founder and CTO