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Polygon Network welcomes Universe Finance and dForce



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Uniswap V3 liquidity management protocol Universe Finance deploys on Polygon

Active liquidity management platform Universe Finance has introduced Uniswap V3 liquidity on the Polygon network. The news comes three months since approval via a vote conducted by the Uniswap community last December.

“The Uniswap community has voted to deploy v3 on @0xPolygon through the governance process. Uniswap Labs will deploy Uniswap v3 contracts within a few days. Stay tuned,” the Uniswap team wrote at the time.

Following the latest deployment, Polygon's users will onwards gain access to leveraged yield farming under one of the several vaults available exclusively on the network.

Source: Universe Finance Twitter

With a maximum leverage of up to 6X, Universe Finance has introduced USDC/WETH– 0.3 %, MATIC/USDT– 0.05 %, MATIC/USDC– 0.3 %, MATIC//WETH – 0.05 %, MATIC/USDC – 0.05 %, USDC/WETH– 0.05 %, MATIC/WETH – 0.3 %, and WBTC/WETH – 0.05 % vaults. The USDC/USDT vault would reward a 0.05 % rate and have an 8X maximum leverage.

Universe Finance shall provide liquidity to the V3 smart vaults by integrating the borrowed assets and their own money when investors borrow from the vaults. Depositors would gain UTokens relative to the size of deposit they make to a Universe Finance smart vault.

Uniswap V3 provides the price range of liquidity differently from Uniswap V2. The older version provides evenly distributed liquidity for assets along a price curve ranging from zero to infinity. On the other hand, V3 brought along concentrated liquidity that allows liquidity providers granular control over price ranges, thereby enabling them to establish multiple fee tiers. Being the case, they can leverage the flexibility of risk.

Decentralized finance platform dForce is expanding into Polygon

According to a blog post published last week, decentralized finance platform dForce launched on Polygon and said it would be deploying its suite of DeFi protocols on the blockchain. The platform aims to become a leader in Web 3 multi-chain interoperability to solve the ‘pickle' of liquidity fragmentation.

Source: dForce Twitter

Thus far, dForce has also integrated into Ethereum, Binance Smart Chain, Arbitrum, and Optimism. Its integration into Polygon would bring products including dForce Lending, the dForce bridge, open staking initiatives, and the UXS stablecoin.

Open Staking Initiative

One of dForce's main goals is to make the process of network validation, which is critical to PoS systems, cheaper and more accessible. dForce plans to launch an open Staking Initiative across the chains where the platform is already established. Having acquired validator status on Cosmos, Juno, and Osmosis, dForce will now explore becoming a Polygon validator.

Moreover, the DeFi protocol's suite wants to become even more involved beyond the open staking initiative. dForce said the integration would also lead to a path of actively participating in governance.

A new stablecoin for even higher liquidity

The deployment on Polygon also means that consumers will get an additional stablecoin to interact with – USX stablecoin. USX currently has a market cap of nearly $200 million, which should provide additional liquidity for Polygon's ecosystem and between itself and other chains.

The USX stablecoin idea also falls in line with the ultimate goal of getting blockchain interoperability. At present, it is one of the few stablecoins that allow users cross-chain capabilities, given that it is already bridged to the chains where dForce is deployed.

dForce Lending and the dForce bridge

dForce Lending is currently the largest lender on Arbitrum and is deployed across Ethereum, BSC, Optimism, and Arbitrum. Though a bridging service already exists via the c-Bridge, the dForce bridge would also be launching to serve as public DeFi infrastructure. The goal is to help bring faster and cheaper transactions of more assets via customized bridges.

To learn more about Polygon visit our Investing in Polygon guide.

Sam is a financial content specialist with a keen interest in the blockchain space. He has worked with several firms and media outlets in the Finance and Cybersecurity fields.