Ignas, a famend DeFi researcher, inquired about Compound Finance’s proposed blockchain. Ignas recalled Compound Finance’s announcement of their Substrate-built Compound chain in 2021.
Compound finance introduced they had been constructing its personal chain again in 2021
Marvel what occurred to it? https://t.co/hB7nJkyrpT
— Ignas | DeFi Analysis (@DefiIgnas) July 20, 2023
Ignas’s current inquiry features a screenshot of a now-deleted Medium put up the place Compound Finance outlined the plans and potentialities of the deliberate blockchain challenge. The challenge seems to have change into deserted, because the Medium put up has since been deleted. Ignas recalled the tweet after tweeting lately about the potential for Uniswap launching its chain.
Based on Ignas, there’s a non-zero risk that Uniswap will launch its chain, most likely as a Layer 2 blockchain. He thinks that doing so would give the Uniswap native token, UNI, extra utility and valuation for the sake of decentralization. Ignas believes it’s attainable, contemplating that MakerDAO is already launching a local blockchain.
Ignas referenced a report that famous MakerDAO’s intention to create a proprietary blockchain which it refers to as “NewChain”. Based on the report, NewChain shall be bridged and never essentially change the Ethereum blockchain underpinning the MakerDAO platform, which means NewStable, NewGovToken, Dai, and MKR will proceed to operate on the Ethereum blockchain. Nevertheless, they are going to be protected by a governance backend working by a safe bridge.
One of many respondents to Ignas’ tweet with the identification Crypto Koryo noticed that the most important problem with any of Compound or Uniswap launching their chains shall be liquidity fragmentation. Based on Koryo, if Compound launches its chain, folks can’t do something with the cash they borrow. He additionally thinks the scenario would be the similar for Uniswap.
Koryo identifies the problems concerned in constructing a wealthy ecosystem on an appchain. Therefore, he thinks any of those initiatives trying such would want to bridge. Nevertheless, he believes with advances in crosschain and omnichannel applied sciences, the initiatives might obtain their targets. He thinks it might occur if crosschain swaps change into seamless and with no further overhead.
