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Cardano Announces First DeFi Project as It Plans to Take on Ethereum

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Thu, 12/10/2020 - 20:00
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Alex Dovbnya
Cardano has partnered with Bondly Finance as part of its foray into DeFi
Cardano Announces First DeFi Project as It Plans to Take on Ethereum
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Cardano is making serious inroads into the decentralized finance (DeFi) industry.  

In a Dec. 10 tweet, Input Output Hong Kong (IOHK) has announced its tie-up with peer-to-peer cryptocurrency exchange Bondly Finance.

Ditching Polkadot for Cardano  

Bondly is the very first DeFi project that will be powered by Cardano. This, according to the announcement, marks a “huge step” in making DeFi mainstream.     

As part of the partnership, BONDLY, the native token of the protocol, will migrate to Cardano from rivaling Polkadot.    

According to the most recent Goguen rollout update, the team of developers is inching closer to implementing native tokens and industry-scale smart contracts.    

Cardano
Image by @IOHKMedia

In late September, AI firm SingularityNET also revealed its plan to ditch Ethereum for Cardano or adopt a multi-chain approach.

Related
Cardano Hours Away from "Epochal" Decentralization Milestone

Cardano’s DeFi ambitions  

Charles Hoskinson, the Ethereum co-founder who went on mastermind Cardano, was hardly acting coy about his DeFi ambitions.

As reported by U.Today, the eccentric entrepreneur mentioned that he was “obsessed” with that burgeoning industry niche back in August. Taking an obvious jab at Ethereum, Hoskinson predicted that Cardano would have more luck in DeFi than the first-mover.    

You actually want to be in the imitator the second-mover category for DeFi, and I think we'll have a lot more luck than the first movers did in the space.

The Ethereum DeFi ecosystem has been plagued by scaling issues, and this is where Cardano wants to seize an opportunity during the forthcoming Goguen era.

The successful launch the Beacon Chain, the cornerstone of  the Ethereum 2.0 proof-of-stake network, will, however, make this rivalry much more challenging for Cardano.

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About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at alex.dovbnya@u.today.