Benchmark Protocol integrates with Solana network
Cross-chain Interoperability propelling the Future of Decentralized Finance (DeFi)
We are thrilled to announce the integration of Benchmark Protocol into the Solana network. This ecosystem integration further strengthens Benchmark Protocol’s cross-chain interoperability capabilities, consequently bolstering liquidity into the broader decentralized finance (DeFi) sector.
Building on Solana will allow Benchmark Protocol to excel in a cross-chain environment, ensuring that $MARK moves seamlessly between these blockchains. Being chain agnostic is a critical facet for $MARK, as one of the primary use cases of the MARK token will be applying collateralization amongst many of the prominent blockchain ecosystems.
Solana offers single unified chain capabilities, enabling the protocol to support 65k+ transactions per second at the base layer. With such high-throughput capacity, the need for infrastructure arises on a massive scale. This presents Benchmark Protocol with a significant opportunity to integrate and promote Solana ecosystem. Furthermore, our integration with Solana Network facilitates an overall positive impact towards propelling the decentralized finance (DeFi) sector.
The major challenges within crypto markets today is liquidity fragmentation, volatility and third-party custodial services. These challenges are further amplified by stock-market volatility and the aftermath of COVID-19. Benchmark Protocol is the first cryptocurrency utilizing the volatility index (VIX). Benchmark Protocol is meant to withstand liquidation events during periods of high volatility by removing or adding tokens to total supply by conforming to capital markets, volatility driven trading activity. Benchmark Protocol aims to create a global impact with the Mark token that is an Uncorrelated, Liquid, VIX-denominated Collateral Utility.
“Various blockchains still exist in silos and are unable to communicate with each other, essentially leading to third party custodial services and taking away from the decentralized ethos of a Blockchain network. Therefore, it is vital to build these cross-chain bridges to solve the custodial and interoperability problems that are prevalent in the decentralized finance (DeFi) sector. The interoperability of Benchmark Protocol and Solana network is another step towards accelerating the adoption of Defi.” says, Harrison Woytko, Founder of Benchmark Protocol.
Once integration is completed (estimated by Q2 2021), Benchmark Protocol will be able to achieve interoperability in a cross-chain environment;in the future we see Solana network as a crucial bridge to broader capital markets as the Decentralized finance (Defi) sector matures.
Founded by former Qualcomm, Intel, and Dropbox engineers in late-2017, Solana is a single-chain, Proof-of-Stake protocol whose focus is on delivering scalability without sacrificing decentralization or security. Solana can currently handle 50,000 TPS with single transaction costs as low as $0.0001.
Core to Solana’s scaling solution is a decentralized clock titled Proof-of-History (PoH), built to solve the problem of time in distributed networks where there is not a single, trusted source of time. By using Verifiable Delay Functions, PoH allows each node to generate timestamps with SHA256 computations locally. This eliminates the need for the broadcasts of timestamps across the network, improving overall network efficiency.
About Benchmark Protocol
The Benchmark Protocol is an Uncorrelated, Liquid, VIX-denominated Collateral Utility. The protocol is a rules-based, supply-elastic collateral utility that adjusts supply based on volatility indexes (VIX) and deviations from the target metric — equal to 1 Special Drawing Rights (SDR) unit. Employing the SDR creates a larger use case rather than exposure to just one currency; this creates a larger user base and delineated exposure to markets around the world. The DeFi space needs a collateral utility that retains its efficacy and increases inherent baseline liquidity during periods of high volatility.
Benchmark is built on the Ethereum blockchain. The MARK token is the native asset in the Benchmark network and provides only the utility value available to it through the Benchmark network. The supply of MARK adjusts by tracking the movement of the CBOE volatility index.
- Learn more by visiting the project website: https://benchmarkprotocol.finance/
- Learn more about the origins of Benchmark Protocol: Volatility and DeFi: Why I Built Benchmark