A MetaDEX “Velodrome Finance” is collaborating with Mode (a DeFi layer 2 platform). According to the reports, Velodrome intends to increase its liquidity throughout its ecosystem with its latest endeavor and is currently executing the integration. Velodrome operates as a liquidity hub facilitating the Optimism ecosystem.
Another DeFi Giant Joins Mode Ecosystem @VelodromeFi, the leading MetaDEX in the Optimism ecosystem with $140M+ TVL, is set to launch on Mode.This integration will boost liquidity & strengthen Mode's DeFi ecosystem.Read all about it https://t.co/QLIAgSGjvC pic.twitter.com/IiMTeQxgJf
— Mode (@modenetwork) March 27, 2024
Velodrome and Mode Begin an Exclusive Partnership to Enhance Liquidity for Users
The company has a significant place among the cutting-edge AMMs. As per the statistics, Velodrome possesses a total value locked of more than $140M. As a result of the current partnership, Velodrome is launching on Mode. The integration of Velodrome will heighten the ecosystem of Mode. The latter has already witnessed more than $210 million bridged to layer 2 in just two months after the mainnet launch.
Before the current partnership, Mode collaborated with prominent teams. They take into account Ether.Fi, Redacted, Renzo, and Ethena. These collaborations focused on enhancing innovation within the DeFi sector. The release of the Mode’s mainnet, which took place last month, has already attracted considerable attention. As a result of this, the total value locked thereof has touched the huge TVL of up to $200M.
In addition to this, a group of exclusive collaborators has partnered with Mode. In this way, they are backing its endeavor to become a hub for innovation in the DeFi world on L2. As a part of its contribution to begin the flywheel of Velodrome, Mode has obtained a $veVELO position. Mode will utilize this position to vote to straight outflows to the pairs on Mode. Apart from that, it will provide significant incentives to spike Velodrome users’ rewards on Mode.
Both Collaborators Intend to Increase the DeFi Expansion Opportunities
Velodrome comes among the pioneering products in the DeFi ecosystem. The former projects such as Convex, Curve, and Uniswap take the credit for Velodrome’s inspiration. The project follows them in its intention to provide a smooth liquidity marketplace. The core feature of Velodrome includes offering rewards to the mostly active consumers.
This potentially supports maintainable protocol growth. Alongside Aerodrome, the sister protocol of Mode, it has a collected TVL of almost $470M across Base and OP Mainnet. The alignment of Velodrome and Mode signifies their commitment to expanding the innovation possibilities in the DeFi.