Avalanche Foundation launched Avalanche Rush, a new reward program, the entity behind the Avalanche blockchain.
The foundation is putting up $180 million in incentives to get more DeFi assets and applications to join the network.
Aave and Curve, two leading DeFi protocols, are among the first to join the scheme. BENQi, likewise, is an Avalanche-native liquidity protocol with which the foundation just launched a $3 million liquidity mining operation. Another DeFi platform, Stake DAO, is planning to use Aave and Curve’s forthcoming network deployments to develop yield generation tactics.
AVAX – the network’s native currency – will utilize as a liquidity mining incentive for Aave. Also, Curve users for the first three months of the program. The foundation already set out $7 million for Curve users and AVAX worth $20 million for Aave customers. In the next months, more allocations will be for the scheme’s second phase.
This is an allocation for a fund that will be disbursed over time. This is according to Luigi D’Onorio DeMeo, a director of Ava Labs. Moreover, not all of the funds have been given. This is largely an attempt to show what Avalanche can do as a Layer 1 technology. This is also to get some of the most complicated protocols to work with it.
The foundation is distinct from Ava Labs; whilst the latter is a software development business (similar to ConsenSys in the Ethereum context), the foundation provides broader ecosystem assistance.
Reducing the Gap
The smart contracts platform of Avalanche, a proof-of-stake system, claims to be the quickest in the blockchain space. Tether, Chainlink, Circle, and The Graph are just a few of the projects that use the protocol, which launched in September 2020.
Following the development of a new cross-chain bridge project that allows for the seamless transfer of assets between blockchains, the Avalanche Rush incentive scheme had its launch.
Avalanche’s developers announced a new bridge connecting it to the Ethereum network in February, allowing DeFi users to transfer assets over. However, according to Emin Gün Sirer, director of the Avalanche Foundation, the initial bridge did not perform exceptionally well. He explained that it was costly to use and provided a terrible user experience on days when Ethereum had issues.
We recently received a new bridge, and many things are dependent on it. They were seeking a bridge technology that was simple to use and inexpensive to carry assets over, according to Gün Sirer.
Avalanche’s claims of improved speed will undergo a test now that the better bridge is up and running, the incentive scheme is up and running, and involves several of DeFi’s most well-known protocols.
Every one of these new releases, I believe, is both a challenge and an opportunity for us, and it will always be a testament to how scalable the underlying technology is, according to Gün Sirer.
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