- Polygon Labs and GSR start New Blockchain Katana focused on the challenge.
- Katana will favor select financial applications in order to limit the silos of cryptocurrency.
- It also revives a controversial functionality which was rejected by users of Polygon Pos last year.
Monday, the Polygon Labs and Crypto trading company launched a new blockchain based in Ethereum on Monday by emphasizing Defi.
Nicknamed Katana, it is designed to solve two of the most urgent problems in the sector, according to the managers of Polygon Labs and the GSR: an unsustainable yield fueled by the inflation of tokens and the silos of digital assets in dozens of blockchains and hundreds of applications.
The tokens were spread over a myriad of platforms, creating relatively ineffective markets despite the global evaluation of several billions of dollars of the crypto.
“Each chain is built in contrast to what you would like for deep liquidity,” said Marc Boiron, CEO of Polygon Labs, said DL News in a recent interview.
“You literally have 30 decentralized exchanges on a channel,” he added.
But its solution is delivered with a socket: unlike the highly competitive ecosystems of the most general blockchains, Katana will favor certain financial applications.
It will also offer several user incentives to deposit their crypto in these applications.
In doing so, he revives an initiative that caused an uproar among users of the Polygon Pos blockchain last year.
In December, three organizations proposed to deposit in the Morpho loan protocol approximately $ 1.3 billion of inactive stable stables which languish on the deck which connects the polygon in Ethereum. Although this would have brought in around $ 70 million of annual interest, it was castigated as games of chance, as cautiously, with user funds and quickly withdrawn.
Boiron said that the proposal was misunderstood and that it would be confronted with little or no opposition in a whole new blockchain.
Katana attracted more than $ 200 million in deposits before its beginnings on Monday, according to the project press release.
‘No one is worried’
Inactive crypto carried on Katana since Ethereum will be automatically returned to Ethereum to be deposited in loan swimming pools and low -risk borrowed on Morpho, according to Boiron. These pools will be managed by Gauntlet risk management companies and financial entry.
The yield of these pools will be reinstalled in Katana to stimulate the yield distributed by its favorite financial applications.
This feature is gracked with a new protocol nicknamed Vaultbridge. At least 10 competing blockchains built at the top of Ethereum plan to integrate Vaultbridge, said Boiron, although he refused to name these blockchains.
Katana is not Polygon’s attempt to relaunch the failed December proposal, according to the executive, but the reverse: Vaultbridge was developed for Katana, and third -party features familiar with technology wanted the functionality to make its debut on Polygon POS.
Boiron attributed the failure of the proposal last year to the fact that he omitted key details, as well as the efforts of competitors to discredit the initiative.
“No one worries about this subject on Katana, because as long as users know and go there, it is their risk to take,” he said. “The yield will be more conservative than any option available on Katana.”
VaultBRIDGE is one of the only characteristics that help increase yield on certain financial applications on Katana.
Together, these features will give these applications an advantage over competitors who could otherwise siphon the crypto of users.
Katana’s integrated decentralized exchange is a modified version of sushi, a long -standing decentralized exchange on Ethereum and dozens of other blocks.
Its loan protocol is Morpho, a rapidly growing sports user deposits totaling more than $ 6.5 billion on Monday.
Katana will also favor a launch block of the same and a decentralized exchange for perpetual term contracts, according to Boiron.
“It is useless that Ave tries to come and deploy (on Katana) because they will just lose,” said Boiron. “It’s too much money going to Morpho, and it would not be logical for them to try. Same thing for Uniswap.”
Katana token
The blockchain itself will be managed by the Katana Foundation for non-profit, rather than by token holders.
Katana is a so-called layer 2 blockchain, which treats and launches transactions before sending them to Ethereum for the final regulations. Layer 2 blockchains allow users to take advantage of Ethereum’s safety while avoiding its notoriously high transaction costs.
Most layers of layer 2, such as arbitrum and optimism, are governed by ostensibly without leaders who are made up of investors who hold the native tokens of blockchains.
The Katana token, Kat, will not come with governance rights, according to Boiron.
“Governance tokens are disasters,” he said. “Whenever it looks smooth, it is because someone controls what is happening completely centralized.”
Instead, Katana will accumulate value thanks to a complicated model that feeds certain cryptographic protocols, such as aerodrome.
“This is a chain of opinion, and we will not simulate that it is decentralized,” said Boiron about Katana.
The Katana, Polygon, GSR and Crypto Firm Foundation will lead to decisions for the blockchain via a committee of nine members.
A distinct committee of 13 representatives of “aligned requests” will serve as a security council with veto power or will make changes in an emergency, such as a hack.
Boiron refused to appoint the members of the committee due to security problems concerning multi-signating portfolios.
Polygon Labs has already built a blockchain: the popular polygon pos. Nevertheless, the CEO of Polygon Labs does not see Katana as a competitor.
Indeed, each blockchain will have to specialize in order to succeed in the ecosystem of hyper-competitive cryptography, he said. While Polygon POs focuses on stablescoins and active active worlds, Katana can serve as an alternative to traders who want to do business on a blockchain based in Ethereum.
In addition, they benefit from a shared architecture that simplifies the displacement of the crypto from one to the other.
“All these finishes, all these institutions, will continue to integrate the POS and they will offer payments and sending of funds to their users, and they will see a cargo of stablescoins sitting there,” said Boiron.
“And they will say, why I do not offer savings products to my users?” He added. “And that’s what Katana allows.”
Aleks Gilbert East DL News“DEFI correspondent based in New York. You can reach it at Aleks@dlnews.com.
