🌎 defi.money Integrates LayerZero for Omnichain Stablecoin Liquidity

Chain-agnostic stablecoin protocol defi.money has integrated LayerZero to bring omnichain liquidity to its network.

LayerZero Integration

LayerZero is an interoperability solution that provides a foundational layer for omnichain applications and blockchains. The LayerZero team announced the integration on Sept. 26. This integration follows the implementation of the omnichain fungible token (OFT) by defi.money’s stablecoin, MONEY.

Understanding the OFT Standard

The OFT Standard allows for cross-chain token transfers, enabling users to send, receive, and deploy assets across different blockchains. With this implementation, defi.money is now natively omnichain, enhancing its cross-chain capabilities.

Growing Stablecoin Market

Stablecoins are becoming increasingly critical to the web3 ecosystem, and cross-chain transfers are driving more activity in key projects. Many beneficiaries are layer-2 networks, which, besides aiming for scalability, see an interconnected ecosystem as a significant step toward decentralization.

LayerZero’s collaboration with defi.money seeks to actualize this vision with the decentralized stablecoin MONEY. As of Sept. 26, 2024, the stablecoin market is valued at over $173 billion. Leading this market are Tether and Circle.

Market Leaders and Emerging Players

Tether is the largest stablecoin, holding over $119 billion of the total market cap, while USD Coin (USDC) ranks second with over $36 billion. Other notable players gaining traction include First Digital USD and PayPal USD.

Ripple has also entered the stablecoin market, testing its RLUSD stablecoin on the Ethereum and XRP Ledger. Meanwhile, BitGo, a leading crypto custodian, is exploring a dollar-backed stablecoin, and similar plans are reportedly in consideration by U.K-based digital bank Revolut.