Introducing xcKSM to Moonwell Apollo
The Moonwell community has added support for cross-chain functionality, enabling native xcKSM — the first XC-20 asset supported for borrowing and lending on Moonwell Apollo on Moonriver.
What are XC-20 tokens?
XC-20 assets are an innovative and unique feature of the Polkadot and Kusama ecosystem — they allow users and developers to harness the power of native and interoperable Substrate assets, with the ease and familiarity of an ERC-20 asset.
These assets are differentiated with the “xc” prefix to the asset itself (in this case, the token KSM becomes xcKSM). Similar to fungible ERC-20 tokens, XC-20 tokens can be interacted with in the same way through a DEX, or through Metamask.
Moonwell Apollo will be the first borrowing and lending protocol on Moonriver to support XC-20 assets, starting with xcKSM.
What is KSM?
Kusama is the native token to the Kusama network — a pre-production, early release sandbox environment that provides developers with the flexibility and freedom to innovate and develop projects, and extensively test before deploying their projects to Polkadot. This enables developers to acquire closer to real world simulation of their dApps, with real users in the open market.
KSM is also a governance token that allows users to participate in voting on proposals that impact the network. Due to its primary use case being to facilitate innovation and development, Kusama offers more flexibility for developers to finalize their project’s design. The relaxed governance parameters also provide developers with more freedom to experiment with their projects.
How can XC-20 assets be used with Moonwell?
As XC-20 assets are compatible with ERC-20 assets, they are also supported by Metamask as well as the various protocols in the Moonriver ecosystem. XC-20 assets are used the same way as ERC-20 tokens would be used.
Option 1: Cross-chain transfer with Moonriver
Moonbeam Network has provided a comprehensive, step by step guide on how to interact with XC-20 assets on Moonriver network. This includes cross-chain transfer, withdrawing, and depositing to and from the network. Please click here to read more.
Option 2: Trading via DEX
Additionally, xcKSM can be swapped for other crypto assets at a decentralized exchange. Please click here to read more about swapping assets on a DEX.
About Moonwell Apollo
Moonwell is an open lending and borrowing DeFi protocol on Moonbeam & Moonriver. Moonwell’s composable design can accommodate a full range of DeFi applications in the greater Polkadot and Kusama (DotSama) ecosystem.