In the realm of cryptocurrency, liquidity fragmentation has emerged as a significant challenge affecting various blockchains and side networks in India. Jin Kwon, co-founder and chief strategy officer at Saga, highlighted this issue, emphasizing the need to address the scattering of capital and users across multiple blockchains. This liquidity fragmentation leads to isolated pools of assets on different networks, creating obstacles for traders, investors, and users of decentralized finance (DeFi) applications. As a result, individuals face difficulties in navigating various networks, switching wallets, and paying multiple transaction fees. The thinner liquidity in these isolated pools also leads to price disparities and higher slippage on trades. While solutions like bridges and crosschain aggregators exist, they do not fully merge underlying liquidity, leaving room for improvement. To combat this challenge, integrating liquidity at the base layer of blockchain infrastructure is crucial. This approach, implemented in certain layer-1 protocols and specialized frameworks, aims to embed bridging and routing functions directly into the core infrastructure to facilitate seamless value transfer. By adopting an integrated base-layer model, developers can ensure free flow of capital without the need for multiple tools or unexpected fees. The focus on integration not only enhances user experience but also promotes capital mobility across the network. Ultimately, the goal is to create a unified and liquid future for the crypto ecosystem in India, where connectivity and shared liquidity are prioritized.<\/p>\n","protected":false},"excerpt":{"rendered":"
In the realm of cryptocurrency, liquidity fragmentation has emerged as a significant challenge affecting various blockchains and side networks in India. Jin Kwon, co-founder and chief strategy officer at Saga, highlighted this issue, emphasizing the need to address the scattering of capital and users across multiple blockchains. This liquidity fragmentation leads to isolated pools of […]<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"footnotes":""},"categories":[25],"tags":[],"aioseo_notices":[],"featured_image_urls":{"full":"","thumbnail":"","medium":"","medium_large":"","large":"","1536x1536":"","2048x2048":""},"author_info":{"display_name":"","author_link":"https:\/\/vanillanews.com\/index.php\/author\/"},"category_info":"JUST IN<\/a>","tag_info":"JUST IN","comment_count":"0","_links":{"self":[{"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/posts\/100870"}],"collection":[{"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/comments?post=100870"}],"version-history":[{"count":0,"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/posts\/100870\/revisions"}],"wp:attachment":[{"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/media?parent=100870"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/categories?post=100870"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/tags?post=100870"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}