Polygon will support liquidity on Hop via $MATIC liquidity mining
We’re excited to announce our long-term collaboration with the Polygon team to work on various projects aiming to improve the user experience on Polygon and connect its thriving ecosystem to other networks in the Ethereum sphere.
As part of the initiative:
Hop integrates Polygon (PoS) as one of the supported networks
Hop prioritizes support for $MATIC via Plasma bridge
Polygon incentivizes liquidity in the Hop AMM on Polygon
Hop will support future Polygon SDK chains
Scaling Access to DeFi
Hop’s vision is to connect the fragmented Layer-2 landscape and enable seamless asset transfers and composability between DeFi applications on various networks.
The Hop protocol provides a scalable token bridge for Ethereum’s layer-2 ecosystem using a two-pronged approach:
Create a special intermediary asset called an hToken (e.g., hETH, hDAI, etc.) that can be quickly and economically moved from one network to the next.
Use Automated Market Makers (AMMs) to swap between the hTokens and their corresponding assets on each layer-2 network.
The end result allows users to seamlessly transfer tokens from one network to the next.
Liquidity in the Hop AMM is an important prerequisite to facilitate large transfer volumes in and out of Polygon via the Hop Bridge and so we’re thrilled to add $MATIC rewards for Hop liquidity providers.
In the first phase of liquidity mining at the time Hop launches, $200,000 worth of $MATIC tokens will be allocated to hUSDC — USDC liquidity providers on Polygon.
A second larger tranche of $MATIC rewards will be added when we add support for $MATIC transfers via the Hop Bridge and possibly encompass other assets as well.
Future Partnership
As more chains are being developed using the Polygon SDK (sidechains, Plasma chains & rollups) Hop will support these networks as well. Eventually, Hop can become a key lego piece in the Polygon ecosystem and help it achieve its grand “Internet of Blockchain” vision.