Disclaimer: Information found on CryptoreNews is those of writers quoted. It does not represent the opinions of CryptoreNews on whether to sell, buy or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk.
CryptoreNews covers fintech, blockchain and Bitcoin bringing you the latest crypto news and analyses on the future of money.
Tenet, a layer-1 ecosystem aiming to expand the use cases of liquid staking derivatives (LSD), has established a strategic partnership with LayerZero, a leading omnichain interoperability protocol currently valued at over $3 billion.
This collaboration will see Tenet, a blockchain built on the Cosmos SDK, utilize the LayerZero omnichain framework to secure connections with the broader blockchain ecosystem and facilitate the movement of funds to and from Tenet.
The initial phase of this partnership involves setting up a LayerZero endpoint on Tenet, linking it to a diverse array of alternative networks supported by the LayerZero protocol. This allows developers to create projects and tokens that leverage LayerZero technology. The integration is already active on the Tenet network.
Subsequent phases of the collaboration will showcase Tenet’s LSDs, which LayerZero will enable to function as genuine omnichain tokens. Utilizing the Diversified Proof-of-Stake (DiPoS) consensus model, Tenet enhances the utility of LSDs from various chains. This technology allows Tenet to utilize LSDs as staking assets, significantly bolstering the overall security of the network.
Related Posts
Furthermore, Tenet is developing a bridge that will employ LayerZero technology to facilitate the transfer of these omnichain LSDs across any chains within the LayerZero network. The teams will also work together to introduce this technology to new chains connected to Tenet’s network of staked LSDs.
The omnichain Tenet LSDs will be transferable, usable, and redeemable across all LayerZero-supported networks, simplifying and securing the cross-chain liquid staking process.
The Tenet network is primarily dedicated to cultivating a robust decentralized financial (DeFi) ecosystem for LSDs, addressing a gap that has existed in many similar initiatives. Users can combine yields from their initial assets, staking rewards to Tenet, and income from Tenet DeFi protocol activities such as lending and DEXs.
“The partnership with LayerZero is critical for Tenet’s success, as our protocol is cross-chain native at its core,” said Greg Gopman, co-founder of Tenet. “While the initial integration is helpful in connecting our chain to the large LayerZero network to leverage its cross-chain liquidity, it also enables us to create truly omnichain LSDs for any asset. This reduces the barriers of entry and sets us up as the leading LSD ecosystem for all of DeFi.”
With the assistance of Conflux and Qtum’s recent expansion into the Asian market, Tenet has formed several important partnerships with major layer-1 chains. The collaboration between Tenet and LayerZero marks a significant advancement for the LSD-focused DeFi ecosystem.
