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Euclid launches layer to connect liquidity across Cosmos, Solana, and EVM chains

source-logo  cryptobriefing.com 09 May 2024 13:14, UTC

Euclid Protocol has announced today its shared liquidity layer that connects Cosmos, Solana, and Ethereum Virtual Machine-based ecosystems, powered by virtual pools created on Nibiru Chain. This effort is aimed at consolidating fragmented liquidity across the blockchain ecosystem.

“We are excited to finally reveal the Unified Liquidity Layer, Euclid’s answer to the constantly growing challenge of fragmented liquidity,” said Georges Chouchani, founder and CEO of Euclid. “Euclid lays the groundwork for the next era of DeFi, aiming to provide users with a chain-agnostic modular experience. Its primary goals include ensuring scalability and fostering an efficient market environment.”

The announcement points out the fragmented liquidity experienced by the decentralized finance (DeFi) ecosystem. Despite showing nearly $136 billion in total value locked (TVL), these funds are scattered across DeFi.

Euclid’s Virtual Liquidity Pool (VLP) model addresses this by virtually unifying liquidity without the need to physically move it, maintaining modularity and accessibility. The VLP allows for tracking and seamless movement of liquidity across all integrated chains.

Moreover, those pools are created using Nibiru Chain as a Virtual Settlement Layer (Nibiru), creating a single source-of-truth ledger. This ledger connects all integrated blockchains, offering low slippage and fair pricing ecosystem-wide through the LiquiSync model, a framework that enables any chain or protocol to connect permissionlessly.

“Euclid’s modular, accessible, and unified liquidity layer, powered by Nibiru Chain, is transforming the zero-sum nature of DeFi into a positive-sum game,” said Unique Divine, Co-Founder and CEO of Nibiru Chain. “This environment allows projects to synergize and scale together rather than just compete. Such synergy fosters collective advancements and competitive edges that could surpass those of established DeFi giants.”

The reveal follows a successful $600,000 pre-seed funding round led by Kahuna Network and angel investor Tomoaki Sato, with additional support from associated angels of Lavender Five, Andromeda, and Nibiru Chain.

Last month, Euclid also secured a grant and liquidity backing to prime its pools for future use. These funds are earmarked for the development of the project’s architecture, business development, audits, and marketing efforts.

Euclid’s roadmap includes extending its liquidity layer to encompass both EVM and non-EVM chains, leveraging protocols like IBC, CCTP, Axelar, and its own messaging protocol. The framework will be supported by EUCL, the native governance revenue share token, allowing holders to stake, receive protocol fees, participate in governance, and utilize the protocol’s treasury.