Protocol on the financing of decentralized credit Compound has launched a new blockchain that will allow cross-chain collateral.
This is the latest step towards improving expensive Ethereum operations and making the DeFi ecosystem more interoperable.
On March 2, it was described as a cross-chain interest rate market that allows chain users, such as Ethereum, to borrow properties with collateral from another chain, such as Polkadot or Celo. The new Gateway chain has been unveiled. Originally, Compound Finance announced that the network had been renamed ‘Compound Chain’ in December 2020.
The Compound aims at alleviating current heterogeneity across various Gateway blockchains in the DeFi industry and has chosen the blockchain architecture of the next decade, the substrate.
Substrate is a modular framework that enables developers to create purposeful high-throughput blockchains and also supports the Polkadot network. Robert Leshner, founder of Compound, explained the Blplatform alternative in the blog post: ”
“We chose Substrate so that we could focus on building application code, instead of inventing consensus algorithms; it’s a modern framework built on a modern language, Rust.”
In order to complement Gateway, Compound intends to build ‘Starports’ to serve the new blockchain for users to purchase or deposit collateral assets. Leshner has developed that Starports is the ‘glue’ that connects the blockchain to the Gateway, and that it can be mixed and matched in various network combinations.
Gateway also has a native value unit called CASH, which standardizes the value of various assets and is used for payment of transaction fees. Liquidity supplies and network validators can also be provided with CASH.
The gateway is currently running as a testnet on the Ropsten network of Ethereum and will perform audits prior to the launch of the mainnet, although no date has been set.