StellaSwap Partners With Wormhole
StellaSwap Partners with Wormhole to Rebuild Liquidity on Moonbeam
StellaSwap Partners with Wormhole. The time has come for StellaSwap and the wider Moonbeam ecosystem to rebuild itself post-Nomad exploit. The foundation of any robust ecosystem lies on a sturdy infrastructure, and in the context of Moonbeam, bridging still remains a core pillar of the network.
Wormhole will be the leading bridge for StellaSwap, allowing users to bridge their assets across the top blockchain networks securely. StellaSwap farms will be rebuild with Wormhole assets.
Why Wormhole
A tremendous amount of resources was expanded internally as well as across the ecosystem to evaluate the next steps for Moonbeam post-Nomad exploit. This was manifested in StellaSwap’s bridging framework that outlined the key parameters that are useful for evaluating bridges for the ecosystem.
The selection of Wormhole was based on two major considerations;
- Moonwell Governance Vote: Moonwell community governance enabled the broader Moonbeam ecosystem, including StellaSwap, to poll users for their bridge preference through a snapshot vote on the preferred bridge. Wormhole was the overwhelming favourite, amassing 66% of the total votes.
- Security & Financial Coverage as the Over-Arching Factors: The second major consideration was our own internal evaluation of the most optimal bridge choice based on our analysis, which pointed to Wormhole based on two main factors; security and financial coverage. As StellaSwap was at ground 0 for Nomad’s exploit, we fully understood the need for a robust security framework and the importance of financial coverage in making users whole in the event of an exploit.
Security must be discussed from a larger spectrum of elements that is beyond architectural logic but also, and equally, emphasised on various other vectors that included operational processes, safeguard mechanisms, audit coverage (full audit, continual audit & bounty), incident control and testing SOPs (for deployments). The comprehensiveness of “security” must be explore in detail for each component to ensure a proper evaluation of security prowess, and Wormhole edges out in aggregate. This will be discuss in the security section below.
There was also a concession that was highlight in framework that exploits/hacks may be undeniable in the world of DeFi. Therefore another core pillar discussed was financial coverage. This exact point was presumably a major factor by participants in the Moonwell governance process. There was no ‘lender of last resorts’ to backstop user losses. This insurance coverage — besides a robust security framework — played a strong part in why Wormhole was regarded as a credible & strong bridge option.
Wormhole Portal’s Farm Launch
The following strategic assets will be re-launch on StellaSwap with Wormhole’s assets that include;
- USDC
- ETH
- WBTC
- BUSD
Given that the ecosystem will revert to business-as-usual (BAU), the above strategic farms — together with other native farms such as DOT — would need to be the first priority, especially for critical protocols like Moonwell, that has conceived the plan for deprecating Nomad assets and is awaiting for sufficient liquidity to open other non-native markets.
Besides the aforementioned farms, we will collaborate closely with Wormhole to support other assets across other chains.
Utilizing Ecosystem Grants to Spearhead Growth & Liquidity
StellaSwap has already submitted an ecosystem grant proposal for rebuilding baseline liquidity across all strategic assets. You can start voting on it here > StellaSwap’s Ecosystem Grant Proposal.
If the vote passes, StellaSwap will launch the strategic farms with ecosystem grants to drive up TVL. Allowing deeper market depths & a conducive trading environment, which are critical components of a fully-functioning & robust ecosystem.
About Wormhole
Wormhole a generic message passing protocol that connects to multiple chains. Including Ethereum, Solana, Terra, Binance Smart Chain, Polygon, Klaytn and more.
About StellaSwap
StellaSwap the first and leading Moonbeam DEX that offers an integrated gateway to the DeFi world. Users can swap, earn, yield farm, bridge assets, explore new projects & engage in NFT trading all from a single unified platform.
