Prime Protocol’s lending and borrowing application will unify functionality from multiple layer one platforms, using Moonbeam as a “home base” for coordination between chains
Boston, MA – June 30, 2022 – Prime Protocol has announced its upcoming cross-chain connected lending and borrowing application, which will be deployed on multiple blockchains and use Moonbeam as the nexus point for unifying functionality across the many chains. This architecture is a significant departure from today’s multi-instance approaches, where many siloed implementations of an application exist across chains but aren’t able to communicate with each other. With connected smart contracts on Moonbeam, Prime can allow users to borrow against their existing portfolio of assets on other remote chains without needing to bridge those assets to Moonbeam.
This represents a major shift forward for Web3 usability: teams can now offer unified access to assets and services from a single application, preventing the fragmented user experiences, liquidity, and functionality that is inherent in decentralized applications today.
“Current multi-chain deployments with isolated smart contracts result in a fragmentation of liquidity, features, and user experiences,” said Derek Yoo, Founder of Moonbeam. “The connected contracts approach that the Prime team has taken directly addresses this fragmentation and gives them the ability to provide superior protocol efficiency and user experiences. I believe we are at the beginning of a big shift in how DeFi protocols are built to handle multi-chain requirements in a unified way. Prime is a leading example of this shift.”
“Moonbeam has positioned itself to be a gateway for cross-chain connections, joining functionality from remote chains within the EVM universe and the rapidly-growing Polkadot ecosystem. We are extremely excited to collaborate and join the incredibly strong community Moonbeam has built,” says Colton Conley, founder of Prime Protocol.
Cross-chain connected applications like Prime are part of the Moonbeam team’s broader vision to create more compelling user experiences by removing the constraints of solo chain development and unlocking true interoperability. Ultimately, built-in interoperability reduces the reliance on traditional bridges as a means of moving assets from chains to chain, instead allowing users to tap into functionality from many blockchains through a single application.
This initiative comes on the heels of Moonbeam’s announcement of Harvest Moon, a campaign designed to expand DeFi activity and attract the next wave of connected applications to come build on Moonbeam. The Moonbeam Foundation has indicated that it has allocated up to 1.5% of its native token (GLMR) genesis supply to fund grants as part of the Harvest Moon campaign.
About the Moonbeam Network
Moonbeam is a smart contract platform for building cross-chain connected applications that can access users, assets, and services on any chain. By uniting functionality from Ethereum, Cosmos, Polkadot and more into a single platform, Moonbeam solves today’s fragmented user experience — unlocking true interoperability and paving the way for the next generation of applications. The Moonbeam platform uses integrated cross-chain messaging to allow developers to create smart contracts that access services across many remote blockchains. This approach, plus Moonbeam’s developer-friendly EVM platform, vast tool support, and modern Substrate architecture, creates the ideal development environment for building connected applications.
About Prime Protocol
Prime Protocol is building the first natively cross chain prime brokerage. Similar to margin loans in traditional finance, Prime offers over-collateralized stablecoin loans backed by investors’ entire digital portfolios, regardless of asset type or blockchain. Collateral can be deposited on any supported chain, and loans will be made available on any supported chain. This model of interoperability is revolutionary in the DeFi space, where existing infrastructure only supports loans within single blockchain ecosystems, often only backed by a single collateral type.