April 13th, 2021 at 9:18 pm UTC · 4 min read
Polygon, formerly known as Matic Network, is launching a massive liquidity mining program with 1% of the MATIC supply, i.e. more than 40M$ in rewards to scale and grow the world of DeFi on Ethereum.
Through close collaboration with Aave, one of the leading DeFi and lending protocols in the space, Polygon aims to attract billions of dollars of liquidity onto their Polygon markets and other DeFi protocols.
Aave is an open-source and non-custodial protocol where users can supply and borrow crypto assets, and earn interest on supplied crypto assets with a variable or stable interest rate. Aave has more than $6 Billion in total value locked and is one of the most widely used lending protocols in DeFi.
Polygon has worked with top DeFi teams like Sushiswap, Polymarket, InstaDapp etc. to solve the biggest pain points in DeFi, i.e. high gas fees and slow txn speeds. The network has seen widespread adoption so far with more than 200+ Dapps, 15M txns, and 300K wallet addresses on the network.
Polygon and Aave have strong communities that are united by the shared values of supporting the Ethereum Ecosystem and open-source development and this collaboration with Aave is part of a larger #DeFiforAll campaign to showcase the power of Ethereum scalability and make DeFi accessible to everyone across the world, no matter the size of their portfolio.
Distribution in a total number of MATIC tokens:
|Activity||Markets||Rewards in MATIC per week for Phase 1||Rewards in MATIC per week for Phase 2|
Top DEXs on Polygon like Quickswap and ComethSwap are also supporting #DeFiforAll in a huge way.
Quickswap allocates 3% (30,000 QUICK) of their total supply (5 M$ QUICK) and Cometh will allocate 2% (20,000 MUST) of total supply in MUST (3.5+M$ MUST) to reward users on the Aave Polygon markets by setting up farms for Aave Receipt Tokens.
To illustrate, a user could deposit USDC to the Aave markets, which can then be deposited into farms on Quickswap or Cometh, taking the total reward pool up to 50M$.
ComethSwap is also working on Triple Liquidity Mining to add a third layer of spaceship rewards for Polygon users.
Stani Kulechov, Founder and CEO, Aave, said:
“DeFi was intended to create a sustainable and more inclusive alternative to traditional finance. If DeFi is great but only limited to portfolios of five figures and up, DeFi will be falling short of its mission to finance for everyone. Polygon enables this and makes DeFi accessible to a wider audience globally.”
Sandeep Nailwal, CoFounder and COO, Polygon:
“Using Polygon, an Ethereum scaling solution, marks an inflection point for Decentralized Finance, as it makes DeFi accessible to wider audiences globally, no matter the size of their portfolio. All the more excited to see Polygon and Aave’s strong communities united by the shared values of supporting the Ethereum Ecosystem and open-source development”
This marks an inflection point for DeFi on Ethereum, with Polygon aiming to use 1% of their total supply bootstrap liquidity on Polygon and provide a low-cost, high-speed complimentary solution to Ethereum’s deep liquidity markets for the top DeFi projects in the ecosystem.
You can learn about how to get started with Aave on Polygon here: Aave – Open Source DeFi Protocol.
Formerly known as Matic Network, the layer-2 scaling solution backed by Binance and Coinbase, Polygon is an open-source project committed to scaling the Ethereum network. Its first product, Matic PoS chain, is based on a version of Plasma and used by such projects as Polymarket, Aavegotchi, Decentraland, SportX, and Neon District, and many more. The Polygon team is now developing Polygon SDK to provide a substrate-like engine to build stand-alone chains on top of Ethereum and is developing and collaborating with various cutting-edge Layer2 solution providers to build Ethereum secured chains.