Investment

Composable Finance increases $ 7M for cross-chain and cross-layer DeFi interoperability

Composable Finance, the Decentralized Financing Interoperability (DeFi) protocol, announced a $ 7 million increase backed by 16 major blockchain investment firms.

Advanced Blockchain AG and Rarestone Capital led the funding round, according to a report released on Tuesday. Other participants included Alameda Research, Spartan Group, Divergence Ventures and Blockchain Capital.

Composable Finance seeks to enhance DeFi synchronicity through a two-way approach to interoperability on both the Ethereum and Polkadot platforms, with the latter platform forming the basis for further interdepartmental interactions.

According to Cosmin Grigore, CEO of Composable Finance, blockchain interoperability will push emerging technology into a “new world of possibilities.”

Due to the asynchronous nature of the blockchain space, bridging is often necessary to transfer liquidity across layers and chains. As Cointelegraph has previously stated, foldability across strings was considered a panacea for the problem of liquidity fragmentation in the DeFi space.

In an interview with Cointelegraph “0xbrainjar” – a developer of composite finance – he summarized the final goals of the project:

“We see a major shift in Ethereo with the popularity of several 2s layers and sidebands – in order for people to build cross-tier applications, there will need to be an easily accessible middleware infrastructure for code gluing (eg> Optimism).”

According to 0xbrainjar, such composability could be necessary for the development of interlayer strategies for activities such as flash loans in the DeFi space.

As part of the announcement, Composable revealed that several Tier 2 infrastructure solutions are in the final stages of an audit. Meanwhile, the project is also preparing to present its Polkadot solutions by the end of June.

With the Polkadot-based solutions needed for interoperability plans across the chain, the Composable project is said to use a unique strategy for skydiving auctions. The project will reportedly deploy a storage strategy that will allow users to save Ether (ETH) or other ERC-20 tokens.

The linked ETH or ERC-20 tokens will be used for yield farming, with 50% of the profits returned to users and the other half used to purchase a DOT or KSM for a real skydiving auction.

He describes in detail how the Polkadot project solutions will work in the project’s blockchain build plans, 0xbrainjar remarked: “With the Polkadot ecosystem, we will be able to allow developers from different ecosystems to deploy smart contracts from different layers 1 in the same place and let them communicate. “



Source link

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button