DAM Finance has deployed its global shared liquidity infrastructure on Ethereum, the world’s most active smart trading platform, and Moonbeam, a Polkadot parachain.
DAM Finance Launches on Ethereum and Moonbeam
In a February 6 press release, DAM Finance said the launch marks a major milestone on its roadmap. Notably, the implementation features the first of what the protocol said will be a series of multi-network dApps. They added that the goal would be to improve the mobility of value in an inherently fragmented sphere of digital assets. Currently, 80% of web3 liquidity is in Ethereum. However, DAM Finance strongly believes that the future is multi-chain.
After this mainnet launch implementation on Ethereum and Moonbeam, it would be easy for users to move liquidity between the two platforms. By extension, liquidity can quickly flow between Ethereum dApps in DeFi or other hybrid systems like GameFi dApps to the broader Polkadot ecosystem via Moonbeam. Being a parachute, Moonbeam is connected to other Polkadot parachutes via the Relay Chain.
The move is a positive development that could boost liquidity and improve interoperability. With better collaboration and fluidity in liquidity, Harrison Comfort, co-founder of DAM Finance, said he would accelerate innovation. The platform provides a “scalable liquidity ramp” for its partners.
DAM is helping to accelerate innovation in the digital asset space by providing scalable liquidity ramps between our partners’ preferred sovereign networks. It becomes easier to create and access new solutions as we securely connect Ethereum, Polkadot, and each blockchain.
Harrison Comfort, co-founder of DAM Finance
dApps and Ethereum users can now access the stablecoin’s native liquidity on Polkadot. To do this, users must mint the d20 stablecoin on Ethereum and teleport it to the Moonbeam Network via DAM’s decentralized dReservoir protocol. Through the dReservoir protocol, value can be “streamed” to any blockchain platform without hindrance to processing speeds.
Elimination of “risky” bridges
d20 is an omni-chain stablecoin and the first DAM Finance app to initially be backed by USDC, a centralized USD-pegged stablecoin issued by Center. The stablecoin is designed to help blockchains like Ethereum scale natively.
Specifically, the flow of value between the two platforms is not based on bridges, so risks are eliminated. In 2022, both the BNB and Ronin bridges were hacked in events where hackers siphoned off nearly $1b of assets. These were two of the greatest feats in cryptocurrency history.
In August 2022, DAM Finance increase $1.8 million in a pre-seed funding round led by Digital Finance Group (“DFG”) and Jsquare.
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