We scream about liquidity fragmentation all day and all night. The intensity of screaming kept increasing. Now, we have so many new L2s and L1s launching — all promising supersonic performance. They are well-funded too, and they’ve figured out some inflated growth using

But they are still shallow inside, waiting for their death in the next few years because they might never be able to build a thriving ecosystem of applications due to the lack of overall liquidity.

All these new L1s/L2s basically depend on category players like Uniswap and Aave to deploy on them and double down on whatever liquidity they attract afterward. Most of these deployments never reach the expected numbers, so it’s just a short-term deception being planted to keep

The true solution will come when these new chains find a way to create a pathway for new liquidity to enter their ecosystem by incentivizing it fairly and ensuring they capture the maximum market share from the new liquidity.

Now the question is, where is this new liquidity that has yet to hit DeFi? Bitcoin. XRP. Doge. LTC and more. Bitcoin DeFi is going to grow more and more — and we already have so many products being built around this theme. Bitcoin Staking Cap has reached around $5.1B, a 130%

Bitcoin TVL has reached $5.5B, and it has the potential to grow significantly from here. When we talk about XRP, around $10B worth of tokens are just sitting on exchanges. These tokens could potentially earn some yields if holders find a way to move them onchain into a

There is a clear gap between chains that have liquidity but no ecosystem to utilize that liquidity, and chains that have an ecosystem for utilization but whose current liquidity is not enough to serve the ecosystem.

We just need to find a route to send liquidity from one chain to another, and people should be able to hold their original token on one chain while also getting another token on the other chain that can generate some good yields.

That’s what @moremarketsxyz figured out. They built an infra using Near Cross-Chain Signatures, Veda Vaults, and Eigen Layer AVS to provide that channel between two chains, where one chain acts as the principal and the other chain acts as the recipient.

The principal chain would move liquidity to applications building on recipient chains. Holders who are holding the assets on principal chains would get two tokens: receipt tokens and positional tokens.

Receipt tokens would be pegged 1:1 against principal tokens, which could be used in the recipient chain's DeFi ecosystem for yield generation. Positional tokens would be representation of principal assets on principal chains which could be used in principal chain for providing

The community will get a double advantage of utilizing a principal token if the principal chain also has a robust DeFi ecosystem. For example: if you are depositing ETH into a Moremarket vault, it creates a receipt token for ETH. The vault would allocate the receipt ETH to a

You would also get a positional token of ETH, let’s say pETH, which you could utilize in the ETH ecosystem to get yield. So basically, if you are making 5% on your ETH now, with Moremarkets you could make 10%.

MoreMarkets vaults will have strategy managers, tasked with picking the best yield opportunity for the principal token you deposit in the vault.

To withdraw from MoreMarkets, holders deposit their tokens into the Principal Chain’s vault. The protocol first uses unallocated capital; if insufficient, external solvers can fulfill the request. If no solver steps in by expiry, the request is canceled.

Here are some of the Supported chains by MoveMarkets Principal Chains: SOL, ETH, XRP, XLM. BTC, LTC, DOGE and more Recipient Chains: AVAX, Solana, Base, HyperEVM, Near, Linea and more

MoreMarkets will go live in 22 days, according to the counter on the website. I am looking forward to the launch. I am also an investor in MoreMarkets, so I am aligned with what they're building—one of the best tech teams in the space.

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