NewsCrypto will team up with Polygon to improve interoperability and connect the Polygon blockchain to Stellar, creating Wrapped XLM (wXLM) tokens that can be used in Polygon’s DeFi ecosystem.
The NewsCrypto platform is an all-in-one crypto suite known for its comprehensive crypto-specific tools for all users, helping users to trade regardless of their current level of knowledge. The company has now received a grant from Polygon to develop an advanced, toll-free bridge that will connect the two ecosystems. The partnership is a natural evolution for NewsCrypto and represents a departure from its core business.
Newscrypto’s NWC token was originally introduced on Stellar. With this prior knowledge, the NewsCrypto team has the necessary experience to build an interoperable platform with Stellar that connects the XLM ecosystem with the DeFi capabilities on Polygon.
Polygon – a protocol and framework for building and connecting Ethereum-compatible blockchain networks, is excited to partner with NewsCrypto to build the Stellar-Polygon Bridge.
“The availability of XLM on the Polygon PoS chain means it can be used for lending, decentralized trading and any other major DeFi use,” said Sandeep Nailwal, Polygon co-founder. “We look forward to working with NewsCrypto on this and other exciting new collaborations.”
Previously, in order to move assets from Stellar directly to Polygon, users had to go through Ethereum, but as network traffic for Ethereum increased, so too did fees. With this new Stellar Polygon Bridge, users are offered an almost instant swap and almost no fees thanks to the high throughput of both blockchains. It has also been designed to be as secure as possible using decentralized multi-sig schemes and Chainlink’s Proof of Reserve to ensure the correct balance of swap wallets. The system has been thoroughly tested by Proxima.
The Polygon Ecosystem emerged in 2021 as the primary hub for scaling Ethereum-based apps, collecting over $ 10 billion worth of trapped in the ecosystem across bridges from Ethereum. The partnership with NewsCrypto unlocks an additional $ 10 billion in the XLM ecosystem for use in DeFi. Due to the good connectivity of Polygon with other ecosystems, wXLM could easily be ported to Ethereum and many other blockchains.
“NewsCrypto would like to provide its learning solution stack and become part of the Polygon network. With the latest Stellar – Polygon Bridge designed and developed by NewsCrypto, the Stellar network community can now transfer liquidity and interact with Polygon’s growing ecosystem, ”said Arjun Kalsy, VP Growth at Polygon. Vid Gradišar, CEO of NewsCrypto, commented in a similar way: “The Stellar Bridge is an important linchpin for us in infrastructure projects. The Stellar ecosystem is criminally underserved by popular interoperability solutions, far less than its capacity suggests. We knew it would have stayed the same without us, so we connected the $ 10 billion XLM ecosystem to DeFi on Polygon. “
However, the Stellar Bridge is the first of many NewsCrypto projects together with the Polygon community, with a lending solution on the platform expected in the next few months.