- By utilizing Scallop’s fiat-optimized smart contract blockchain, Pendulum can seamlessly integrate with it. Both will work towards a common goal of bridging the gap between TradFi and DeFi.
- Pendulum and Scallop are also willing to address regulatory concerns and prioritize regulatory compliance and security.
Major developments have been taking place in the Polkadot ecosystem with a focus on bridging the gap between traditional finance and decentralized finance (DeFi). Traditional financial infrastructure blockchain – Pendulum Chain – that leverages the Polkadot network has recently entered into a strategic partnership with Scallop to revolutionize the blockchain industry.
Both the players shall leverage their own expertise and technologies working towards the common goal of bridging the gap between TradFi and DeFi. Scallop is a cross-chain banking protocol offering a suite of different banking products. It incorporates a fast Byzantine fault tolerance blockchain having a core AML and KYC module. Besides, Scallop also leverages ZK Rollups offering a selective asset privacy feature.
By utilizing Scallop’s fiat-optimized smart contract blockchain, Pendulum can seamlessly integrate with it. Pendulum is a subsidiary of SatoshiPay, a company that has been working on payment infrastructure since 2014.
With Pendulum’s infrastructure, users will have access to specialized forex automated market makers (AMMs) such as Nabla.Fi, lending protocols, and opportunities for yield farming. The collaboration between Pendulum and Scallop aims to offer a smooth transition for traditional finance users into the blockchain world. Speaking on the development, Daniel Kisluk, Co-founder & CMO of Pendulum said:
Together with Scallop, we are shaping the future of finance, where seamless integration of fiat and blockchain technology empowers individuals and businesses to thrive in a decentralized ecosystem.
A Marriage of EVM and Polkadot, Addressing Regulatory Compliance
As we know that Pendulum is a Polkadot chain whereas Scallop operates on the Ethereum Virtual Machine (EVM). By leveraging each other’s strengths, both players will be able to seamlessly access the fiat on and off ramps.
Also, the Spacewalk bridge shall facilitate seamless connectivity between the Polkadot parachains and the Stellar network, which hosts a number of stablecoins. Spacewalk intends to expand further to include other blockchains and is moving steadily with the goal of achieving closer integration with these networks. This will bring Pendulum and Scallop even closer to their goal of bridging the gap between TradFi and DeFi. Scallop CEO Raj Bagadi noted:
By partnering with Pendulum, Scallop is spearheading a transformative leap towards a more interconnected financial landscape. Our collaboration unites the disruptive potential of blockchain with the time-tested trust and dependability of established financial infrastructure, redefining the boundaries of a truly interconnected financial ecosystem.
Both Pendulum and Scallop are also willing to address regulatory concerns and prioritize regulatory compliance and security. This would help in creating a safe and trustworthy environment for users, financial institutions, and regulatory authorities.
By following strict industry standards and regulations, both players will maintain the quality and reliability of their services. This gives individuals peace of mind when participating in financial activities based on blockchain technology.
