By
Bhushan Akolkar
April 22nd, 2024
With funding courtesy of ENV in place, Defibox and Noahark will be able to take these features to the next level.
EOS Network Ventures (ENV), the primary steward of the EOS network, has announced a major grant to accelerate DeFi adoption. $2.4 million has been invested by ENV into NoahArk Tech Group to allow decentralized applications on EOS to flourish.
The product of a joint enterprise between Defibox Technology and Hong Kong Noah Technology, NoahArk Tech Group is intent on growing the EOS ecosystem with a particular focus on DeFi. Decentralized finance has been slow to take off on EOS compared to other chains, but over the last 12 months, EOS Network Ventures has been making up for lost time.
More DEX, More DeFi
A good decentralized exchange is the foundation of all DeFi activity. Build it and everything else – lending platforms, liquid staking, perps, prediction markets – will follow. Ethereum has Uniswap. Avalanche has TraderJoe. Now EOS is determined to create some major DeFi protocols of its own which is why ENV has made such a considerable investment in NoahArk.
Funds will be directed at Defibox.io and Noahark.io, two of the leading DeFi platforms on EOS EVM. The EOS EVM, which runs in tandem with the main EOS chain, is ideally suited to decentralized finance thanks to its Ethereum compatibility. This makes it easier for users to bridge ERC20 tokens from other EVM chains. It also makes it easier for Solidity devs to create applications on EOS EVM or to port existing ones.
Bringing Deep Liquidity to EOS
For DeFi to be widely utilized on any network, several properties are desirable. Firstly, liquidity needs to be deep enough for users to trade with size. DEXes that can absorb large market orders without buckling will ensure that prices don’t get significantly out of sync with the rest of the market any time a whale enters the game.
The second property required for DeFi to flourish is good tooling and protocols that allow crypto assets to be used to full effect. Defibox and Noahark have already provided a foundation for economic activity to take place on the EOS EVM. Both platforms support swaps, lending, and flexible EOS staking. With funding courtesy of ENV in place, Defibox and Noahark will be able to take these features to the next level.
As NoahArk Tech Group CEO Eason explains:
“This investment from EOS Network Ventures, coupled with the reorganization of Defibox.io and Noahark.io, marks a transformative phase for the EOS DeFi ecosystem. In this new phase, the EOS EVM will significantly enhance our operational capabilities, making it easier for established products and developers to participate and enabling the fluid movement of various assets through cross-chain bridges.”
This calls for a combination of the right tech and the right talk. In other words, messaging needs to accompany the infrastructure improvements, so that users are aware of what they can do on EOS EVM and how this compares to other EVM chains.
Or as ENV’s Yves La Rose puts it:
“This move is more than just financial support; it’s a commitment to driving growth and new developments in DeFi. We see NoahArk Tech Group as a key player in enhancing decentralized exchanges and our strategic vision is to support the creation of more interconnected and user-friendly DeFi services, benefiting the entire sector.”
What’s good for NoahArk Tech Group should prove good for EOS users in 2024.