The two seek to improve their blockchains with each other's tech from
cross-chain bridges to decentralized exchanges to oracle networks.
AllianceBlock, a blockchain tech firm that seeks to bridge the gap
between decentralized finance, or DeFi, and traditional finance,
announced a partnership with fellow blockchain tech entity Flare.
Flare
claims its layer-one, or blockchain protocol improvement, technology
can bring smart contracts to cryptocurrencies such as XRP (XRP), Dogecoin (DOGE), Bitcoin (BTC), Algorand, and Stellar Lumens (XLM).
In addition, Flare is also a decentralized oracle network, which seeks
to enable blockchains to access real-world data in smart contract
execution.
Meanwhile, AllianceBlock brings to the table its
cross-chain interoperability solution AllianceBridge, its native
decentralized exchange, or DEX,
known as AllianceBlock DEX, decentralized peer-to-peer funding protocol
AllianceBlock Fundrs, and its Compliance and Regulatory solution.
Together, the two parties seek to enhance their blockchains for DeFi
capabilities with each other's technologies.
Asked about its DeFi and regulatory compliance services, Rachid Ajaja, co-founder and CEO of AllianceBlock, told Cointelegraph:
"With
increased interest from traditional finance in DeFi, AllianceBlock’s
Regulatory and Compliance layer will allow traditional institutions to
access opportunities in DeFi in a variety of ways, such as creating
compliant, tradeable certificate wraps out of liquidity mining tokens,
yield farming, or NFTs.
Ajaja further explained that the
firm's regulatory and compliance products automatically check for
non-compliant transactions before each trade. In addition, they can add
such rules to smart contracts running on decentralized applications, or dApps, to ensure crypto exchanges and financial institutions stay up to date on the latest regulations.
Hugo Philion, Flare’s co-founder and CEO, said the following in regards to the capabilities of the network:
The
Flare ecosystem is being built to “Unlock the Value” inherent in the
65% of blockchains that do not have native smart contracts by bringing,
for the first time, true trustless usage of those tokens with scalable
smart contracts.
He further elaborated on the company's partnership with AllianceBlock:
"Communities
that have previously been locked out of the smart contract revolution
are now actively contributing to the space. Now with this exciting
partnership and the integration by AllianceBlock onto Songbird, the
Flare ecosystem gets to help unlock the value in Traditional Finance by
enabling it to access Decentralized Finance."
