Konomi and bZx works together on offering DeFi options
Konomi and bZx are teaming up, with the goal of creating more money markets for digital assets to the Polkadot ecosystem. With the explosion seen across the decentralized finance (DeFi) sector, new opportunities present themselves to empower investors. The majority of DeFi is running on Ethereum, the top smart contract by value and usage, but it currently faces many operational problems. Initially, Ethereum’s limited capacity could handle the amount of transactions relatively easily, but with this new, massive influx, the network is struggling to remain fast and cost-effective. This is why platforms like Konomi and bZx are teaming up, making DeFi, specifically cryptocurrency lending and borrowing, cheaper, easier, and more accessible.
bZx was established under a simple premise, offering the best open finance protocol to facilitate lenders, borrowers, and traders on Ethereum. bZx already has two highly functional projects built using its framework, Fulcrum, a DeFi margin lending and trading platform, and Torque, an ecosystem providing indefinite-term loans with fixed interest rates. As bZx waits for the full launch of ETH 2.0, ushering in Proof-of-Stake validation and sharding that will make the network faster, cheaper, and more robust, the network is looking to continue to expand its use cases. As an interoperable platform meant to bridge the gap between networks, Konomi’s Polkadot-based DeFi platform could bring bZx to an entirely new network.
Built using the Polkadot Substrate framework, Konomi is a state-of-the-art lending platform meant to return the full value of transactions back to the end-users. Instead of third-parties extracting value from the financial transaction as a means of profit, Konomi can rely on a different business model, giving all the value to its lenders and borrowers. To create as many money markets on Polkadot as it can handle, Konomi is always looking to bring new assets into the ecosystem. This collaboration will allow all bZx digital assets, including cryptocurrencies from projects built using its suite of products, to use in DeFi applications through Konomi. This will also enable Konomi users to take part in margin trading. bZx, Fulcrum, and Torque users will be able to migrate their assets across blockchains, opening up new opportunities for the respective communities to capitalize on.
An additional money market for digital assets will open bZx applications and their cryptocurrencies to a whole new network of participants, while also making them usable within the Polkadot ecosystem. This partnership will undoubtedly further advance both ecosystems. When asked to comment on the partnership, Konomi founder, Ariel Ho, stated, “We are excited to see the collaboration between Konomi and bZx. We believe that bZx’s well-built DeFi ecosystem and margin trading capabilities can definitely bring Konomi new energy in the future. We also look forward to achieving great synergy in cross-chain liquidity via our potential platform integration.” Interoperability and advancement are another step forward to mainstream adoption. Both Konomi and bZx have a lot to look forward to with this new partnership.
On the announcement, Tom Bean, CEO and Cofounder at bZx said:
“We are excited to work with Konomi on the money markets collaboration and extended support to the Polkadot ecosystem. We also look forward to enabling cross-chain liquidity and mutually building our communities and elevating the DeFi user experience across chains.”
About bZx
bZx is a financial primitive for shorting, leverage, borrowing, and lending that empowers decentralized, efficient, and rent-free blockchain applications. bZx protocol’s unique architecture ensures that the gas fee associated with using bZx does not increase along with the number of assets supported by the platform.
About Konomi
Konomi is a lending protocol built on Substrate. Using Substrate as the development framework, the network aims to provide money markets for assets in the Polkadot ecosystem. Konomi also issues its native network token in order to kick start liquidity and decentralised governance for its chain.
“We are excited to see the collaboration between Konomi and bZx. We believe that bZx’s well-built DeFi ecosystem and margin trading capabilities can definitely bring Konomi new energy in future. We also look forward to achieving great synergy in cross chain liquidity via our potential platform integration.” Said Konomi founder Ariel Ho
