- NewsCrypto and Polygon are collaborating.
- The two aim to improve interoperability, as well as connect Polygon to Stellar.
- They also plan to create Wrapped XLM (wXLM) tokens for Polygon’s DeFi ecosystem.
NewsCrypto and Polygon announced that they will join forces to improve interoperability, as well as connect Polygon to Stellar. This will allow the creation of Wrapped XLM (wXLM) tokens, which will be usable in Polygon’s DeFi ecosystem.
Sandeep Nailwal, Co-Founder of Polygon, commented:
Having XLM available on the Polygon PoS Chain means it can be used for lending, decentralized trading and any other important Defi usage. We’re happy to be working with NewsCrypto on this and other exciting new collaborations.”
To note, Polygon gave a grant to NewsCrypto to develop an advanced, low-fee bridge that would connect the two ecosystems. This partnership might show NewsCrypto’s shift from its core business of educating newcomers on crypto. However, this also represents the natural evolution of NewsCrypto, as its NWC token was originally launched on Stellar.
With that, the team at NewsCrypto holds enough experience to build this interoperable platform with Stellar, connecting the XLM ecosystem to the DeFi opportunities on Polygon.
The VP Growth at Polygon, Arjun Kalsy, also said that “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.”
In detail, the Stellar-Polygon bridge offers instant swaps and almost zero fees — thanks to the high throughput of both blockchains. It is said that this bridge is safe, as it uses decentralized multi-sig schemes and Chainlink’s Proof of Reserve. This ensures a correct balance of the swap wallets. What’s more, the system has also undergone a thorough audit by Proxima.
Similarly, Vid Gradišar, CEO of NewsCrypto, also emphasized that,
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.
The Polygon ecosystem, on the other hand, was introduced in 2021 as the primary hub for scaling Ethereum-based apps. In fact, it has already collected over $10 billion in value, locked in the ecosystem through the bridges from Ethereum. Furthermore, by partnering with NewsCrypto, it will further unlock $10 billion in value in the XLM ecosystem, for usage in DeFi. Also, because of Polygon’s good connectivity with other ecosystems, wXLM could easily be ported into Ethereum and many other blockchains.
To conclude, this Stellar bridge is the first of many projects that NewsCrypto and Polygon will make together. In the next few months, the public can expect to see the best solutions on the platform.