Tapio raises $4M, led by Polychain, Hypersphere, and Arrington, bringing a unified liquidity standard to Polkadot. The Tapio team has been building DeFi protocols on Ethereum since early 2018 and has evaluated different non-EVM networks throughout our building journey.
Tapio is an advocate of Polkadot’s shared security model, Substrate framework, appchain capability, and parachain slot auction mechanism. Despite the innovation, they anticipate a thriving Polkadot ecosystem challenge due to liquidity fragmentation cause by derivative tokens. The platform finds derivative tokens proliferating on networks with prevalent DeFi use cases. Using Ethereum for example, there are numerous formats of ETH from lending, staking, and yield aggregation applications (for example, ETH, cETH, stETH, rETH, etc.). They envisioned a magnified situation would occur on Polkadot given the two major use cases for DOT are staking and crowd loans . Tapio Protocol was built with one goal in mind, and that is to make staking and crowd loan DOT derivatives more usable for all parachains and dApps on Polkadot. They accomplish this by unifying different formats of DOT derivatives into a single highly usable synthetic asset, tDOT. Furthermore, tDOT empowers by the Stable Asset