Balancer (BAL), a decentralized cryptocurrencies exchange powered by automated market maker, expands to L2 solution Polygon (formerly Matic Network).
Balancer (BAL) launches on Polygon (MATIC) to reduce fees and advance scalability
According to the official announcement by the Balancer (BAL) team, the protocol expands to Polygon (MATIC). Reduced fees were the main element of motivation behind this launch.
1/3 ? @BalancerLabs is live on Polygon!— Polygon (@0xPolygon) July 1, 2021
? Balancer, a leading #Defi protocol provides liquidity, price sensitivity and automatic portfolio management services
? Learn more: https://t.co/AtQEvBEDMu
? Check out: https://t.co/aAaRxE5sJz pic.twitter.com/WOWUPtLH4u
Team representatives stated that in the modern DeFi segment, aggregating liquidity across several purpose-made pools can be rather expensive as extra gas is required for each included pool.
On Polygon, these fees are near zero, so that Balancer's AMM-powered trading experience will be cost-efficient and user-friendly for all its enthusiasts.
Fernando Martinelli, Balancer Labs CEO & Co-Founder, stressed that Polygon's unique combination of high speed, low fees and high transactional throughput makes this partnership crucial for his team:
Polygon has become one of the preferred L2’s for Ethereum. We have noticed the amount of traction that Polygon has been getting and the transaction experience that it provides and Balancer wants that experience for our community and users. Polygon will enhance Balancer’s ability to scale to more L2’s.
Novel liquidity initiatives have been announced by Balancer (BAL) and Polygon (MATIC)
Sandeep Nailwal, co-founder of Polygon (MATIC) is also excited by the prospects opened with new partnership:
We’re extremely thrilled to have Balancer launch on Polygon. We’re sure the Polygon community will enjoy utilizing Balancer with near-zero fees and superior user experience
To celebrate the newly announced partnership, the two teams jointly launched liquidity incentives. Four 'index-like' liquidity pools are rolled out on Polygon (MATIC): 'Base Pool' (WMATIC/USDC/WETH/BAL), 'DeFi Indices' (LINK/WETH/BAL/AAVE), 'Polygon Index' (SUSHI/WMATIC/USDC/QI/WETH/QUICK/BAL/ADDY), and 'Qi DAO Ecosystem Pool' (WMATIC/USDC/QI/BAL/MAI).
The total amount of funds allocated by teams for these initiatives surpass $10,000,000 in actual prices.