Pledge Finance & ZkLink Partner Brings the Next Level of Functionality to Digital Assets

As cryptocurrencies become more and more prominent and mass adoption turns from a far-off dream to a possible reality, the need for more traditional banking solutions has arisen. A staple of conventional banking is taking out loans when one requires a large portion of capital to purchase or invest. 

With the advent of digital assets and their popularity, more and more companies are taking it upon themselves to bring these much-needed banking functions into this burgeoning space. 

Pledge Finance is bridging the gap between the two spaces with its cryptocurrency loan platform. Through their platform, users can take out long-term, fixed-rate crypto loans.

Pledge has recently announced a partnership with zkLink, a secure cross-chain token swap provider powered by zero-knowledge proofs. This partnership enables Pledge to integrate with more blockchains and expands zkLink’s product offerings.  

Pledge and zkLink plan to bring the next level of functionality to digital assets, simplifying the process of swapping interest rates between loans that exist on different blockchains. They also plan to increase multi-chain liquidity for trading and lending while integrating diverse crypto ecosystems.  

Pledge Finance’s DeFi Functionality

Pledge is a lending marketplace for Financial NFTs. Pledge V1 offers TradeFi and DeFi investors a fixed return, and conversely, a fixed cost of capital to professional digital asset traders. Also, by converting bitcoin loans into Financial NFTs, Pledge V2 will make bitcoin loans tradable.

Pledge Finance also offers numerous decentralized financial contracts, defined as financial NFT, to help simplify its use and adoption to become an integral part of the fixed income money market. Their platform offers essential tools for DeFi investors, with derivative trade smart contracts, which usually have swapped fixed-rate interest payments for floating-rate. These tools can be used in an effort to hedge, speculate, and manage risk on or across chains.

zkLink Multi-Chain Trading Platform 

zkLink’s multi-chain trading platform provides simple swaps with fast finality, which remain private and secure thanks to zero-knowledge proof (ZKP) technology. Their ultra-secure chain-to-chain interoperability protocol provides safe, fast, and easy cross-chain swaps between different blockchains and tokens.

zkLink has recently closed a $8.5 funding round to launch its Layer-2 DEX solution. This funding, which occurred ahead of the platform’s market launch, shows that this project has legs and dramatically extends its reach and overall functionality, making the platform even more of an asset and advantageous partner to Pledge. 

Why this Partnership Makes Sense

The partnership brings together two platforms with mirroring traits and features that can help propel both towards better functionality and more cohesive support for their respective fields. 

With the DeFi functionality of Pledge and zkLink’s cross-chain trading platform, more DeFi and trading tools will be available. The partnership will ensure that their features will cover more ground, contributing to mass adoption in the process.

Cross-chain adoption of DeFi protocol has created a fragmented space that makes it difficult for users to navigate and operate confidently. Through the use of both of these platforms, and even more so cumulatively, digital asset users looking for more DeFi functionality across blockchains will have streamlined platforms to help facilitate the process.

Users can easily trade across different platforms through these platforms while also having comprehensive DeFi tools like taking out loans. This collaboration will ensure that DeFi adoption will grow exponentially while also opening the doors for new investors that have yet to participate due to fragmentation and lack of usability. 

The partnership between Pledge and zkLink’s will help evolve the functionality of digital assets, facilitating the swapping interest rates between loans, even across blockchains. This partnership will also increase multi-chain liquidity for trading and lending while also simply integrating into multiple crypto ecosystems.

Related posts:

Source: Read Full Article