Composable Finance
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Composable Finance

Mosaic: Composable’s transfer availability layer and a modular DeFi pallet

Mosaic serves as the transfer availability layer for Composable Finance. It connects the Composable ecosystem to EVM environments and is capable of guaranteeing asset transfers between chains and layers safely and securely, irrespective of size. Mosaic’s cutting-edge features are built as a modular pallet on Picasso. Hence, Mosaic is essential in cross-chain communication and the architecting and proper functioning of other modular pallets on Picasso. This further reinforces Mosaic’s position as a foundational element in the modular-first reality for decentralized finance (DeFi) we are building at Composable.

Mosaic as Composable’s transfer availability layer

Mosaic is one of the first bridges between the EVM ecosystem and Substrate parachains on Kusama and Polkadot. Take the case of a user that wants to transfer an asset from a decentralized application (dApp) on the Composable ecosystem to a dApp on an EVM chain. This can be achieved through the cross-chain virtual machine (XCVM), where a satellite contract architected using CosmWasm communicates with the EVM chain, using Mosaic as the bridge for the asset transfer.

Composable’s XCVM is a top-level orchestration layer that orchestrates cross-chain communication between the Composable ecosystem and other Substrate, IBC, and EVM chains. To orchestrate the asset transfer, the XCVM calls upon the Composable Routing Layer to select its optimal path, and the Mosaic bridge facilitates it.

Mosaic facilitates communication between the Composable ecosystem and compatible EVM chains

The Mosaic bridge leverages advanced liquidity management and Just-in-Time (JIT) liquidity bots to fulfil this transfer without hiccups. As a result, Mosaic guarantees cross-chain transfers between the Composable ecosystem and EVM chains, employs dynamic fees, and effectively rebalances itself, ensuring scalable liquidity at all times. Additionally, Mosaic plays a key role in the innovation of Mural. The ever-expanding non-fungible token (NFT) space has led us to innovate Mural, a seamless transfer protocol for NFTs. Mural leverages Mosaic’s bridging technology and taps into compatible EVM chains (Ethereum mainnet, Arbitrum, Polygon & Moonriver), facilitating the seamless movement of NFTs across chains and layers.

Mosaic as a modular DeFi pallet on Picasso

As a pallet on Picasso, Mosaic still functions as a transfer availability layer. This means cross-chain communication between Picasso and compatible EVM chains is built into a pallet as a modularly executable function. The ease of customizability of pallets allows developers to incorporate the functionality of Mosaic as a standalone function into their pallets and additionally compose secondary and tertiary pallet functions. The modular nature of Mosaic on Picasso enables it to operate independently as a transfer availability layer and as part of the whole that comprises a pallet. In the previous section, we described Mosaic’s standalone functionality. To understand how Mosaic functions as part of a pallet, take the case of Instrumental Finance, a secondary pallet on Picasso. Instrumental leverages the modularity of Mosaic to function as a cross-chain strategy hub. The cross-chain strategy hub allows yield-seekers to maximize their positions on multiple ecosystems like Picasso, other DotSama chains, and EVMs, as it can natively tap into Mosaic.

Summary

Pallets on Picasso, including Angular Finance and Whirlpool Cash, implement Mosaic to connect their respective protocols to compatible EVM chains. Along with other foundational pallets such as Apollo, Cubic, and Centauri, Mosaic is crucial in enabling the modular-first reality for DeFi that we are building at Composable.

Composable’s inaugural Unchained Conference is slated for 1st July and will be held in Berlin. Unchained will bring together leading industry experts to discuss cross-chain and DeFi interoperability. Registration for the event is live — get your tickets at the earliest!

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