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Stellar-Polygon Bridge Goes Live to Expand XLM Usage in DeFi

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Thu, 09/23/2021 - 13:00
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Vladislav Ginko
NewsCrypto is going to unveil a mechanism to allow Wrapped XLM tokens to get integrated into DeFis on Polygon
Stellar-Polygon Bridge Goes Live to Expand XLM Usage in DeFi
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NewsCrypto (NWC), a multi-purpose platform for crypto education and development, received a grant from Polygon (MATIC) to create an interoperability protocol between the two networks.

Stellar-Polygon bridge launches with Wrapped XLM

According to the press release shared with U.Today, Stellar (XLM) and Polygon (MATIC), two mainstream smart contracts environments, will be 100% interoperable as the new bridge launches.

NewsCrypto Launches XLM-MATIC bridge
Image by NewsCrypto

The system, developed by the NewsCrypto (NWC) platform, is backed by a massive developer grant from the Polygon team. To create this bridge, NewsCrypto (NWC) leveraged its unmatched expertise with Stellar (XLM).

The new protocol will support nearly instant swaps with zero fees. Its security design boasts decentralized multi-sig schemes and Chainlink's proof-of-reserve (PoR) module for safe and peer-to-peer interaction of all of its participants.

Recently, the system has undergone a thorough audit by Proxima, a high-profile blockchain security vendor.

$10 billion Stellar (XLM) ecosystem can be used in DeFi

Arjun Kalsy, VP of Growth at Polygon, states that the new instrument will ensure the inflow of liquidity to Polygon-based DeFi ecosystem:

NewsCrypto is looking to deploy their learning solution stack and becoming a part of the Polygon network. With the newest Stellar - Polygon bridge designed and developed by NewsCrypto, the Stellar network community can now transfer liquidity and engage with Polygon's growing ecosystem.

For Stellar, this step will reaffirm its focus on expanding into the DeFi segment. As covered by U.Today previously, with its Project Venus, Stellar devs introduce a new type of smart contract.

Related
Stellar's (XLM) DeFis Experiment with New Type of Smart Contracts: Details

Vid Gradišar, CEO of NewsCrypto, emphasizes the paramount importance of this announcement for the progress of DeFi on Stellar (XLM) and Polygon (MATIC):

The Stellar bridge represents an important pivot for us into infrastructure projects. The Stellar ecosystem is criminally underserved by popular interoperability solutions, far less than its capacity would imply. We knew that without us, it would’ve stayed the same, so we went ahead and connected the $10 billion XLM ecosystem to DeFi on Polygon.

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About the author

Vladislav Ginko is former vice rector of Moscow-based Jewish University. He worked as a Corporate Finance lecturer at New York-based Touro University. Now he is an analyst affiliated with Russia’s leading state think-tank, Presidential Academy.