Axelar Integrates Sommelier DeFi Vaults with Arbitrum Network

Interoperability protocol Axelar has facilitated the cross-chain functionality of yield optimization protocol Sommelier by connecting it to Ethereum Layer 2 network Arbitrum One. With the help of Axelar's General Message Passing (GMP) protocol, Sommelier's DeFi vaults, which operate on the Cosmos ecosystem and Ethereum, will now be available on Arbitrum, enabling users to optimize their crypto assets and trade through lending services. Axelar's GMP enables the transmission of data and commands between smart contracts on different chains, allowing cross-chain applications to operate effectively. Previously, in a Series A funding round led by Polychain Capital, Sommelier raised $23 million, which was overseen by former lead developer for Cosmos and Tendermint, Zaki Manian.

Axelar, an interoperability protocol, has enabled Sommelier, a yield optimization protocol on Cosmos, to become a cross-chain application by connecting it with Ethereum Layer 2 network Arbitrum One.

Sommelier’s DeFi vaults operate on its blockchain in the Cosmos ecosystem and Ethereum, and now they will be available on Arbitrum One, allowing users to optimize yields on their crypto assets through lending and trading services.

This development was made possible with the help of Axelar’s General Message Passing (GMP) protocol, which facilitates communication between the two ecosystems.

The protocol enables data and assets to move between the two ecosystems, making it possible for cross-chain apps to operate. In October 2021, Sommelier raised $23 million in a Series A funding round led by Polychain Capital.

TagsBlockchain Ethereum

Sophia Hernandez

Sophia Hernandez is an experienced crypto writer who has been writing about crypto and blockchain technology for 3 years. She has a deep understanding of the complexities of the crypto market and is skilled at breaking down these concepts into easy-to-understand language for readers.