Polkadot Network Launches a DeFi Alliance; Chainlink Becomes Founding Member

As the decentralized finance (DeFi) ecosystem experiences a spiking growth in adoption and value, Polkadot aims to give projects built on the platform a voice. In a press release on Thursday, Polkadot announced the launch of a DeFi alliance to bring together the distributed projects built on the platform creating a community to share on the available development and building capabilities.

This new ‘Polkadot DeFi Alliance’ aims to give its community a unified and strong voice in the budding DeFi ecosystem to compete with Ethereum.

Chainlink, the decentralized oracle network, is one of the founding members of Polkadot’s DeFi Alliance. Dan Kochis, Head of Business at Chainlink, stated,

“As a founding member of the Polkadot DeFi Alliance, Chainlink is excited to help steer the direction of Polkadot’s growing ecosystem of decentralized financial applications. By promoting developer best practices for DeFi protocols, the Polkadot ecosystem can become stronger than ever.”

The rising gas costs and scalability issues faced by ETH 1.0 has seen many developers and DeFi applications switch to Polkadot’s network and Substrate, which provides a scalable platform for dApps. Polkadot DeFi Alliance aims to challenge Ethereum’s dominance in the DeFi space by uplifting and motivating developers building on Polkadot. Liam Young, Co-Founder, Stafi Protocol, one of the members of Polkadot DeFi Alliance said,

“We have seen many projects with development potential, and we look forward to the growth of a Polkadot DeFi ecosystem that is as prosperous as Ethereum in the near future.”

The finance alliance is already gathering a strong initial team, including oracles, parachains, and decentralized application developers. Apart from Chainlink and Stafi, other alliance members include layer-2 technological solutions provider, Plasm Network; insurance marketplace, Tidal Finance; Moonbeam, a fully Ethereum-compatible smart contract parachain; and Polkaswap, a non-custodial AMM DEX built on Polkadot.