Elrond and Ultra To Launch Interoperability Initiative Boosting NFT Based DeFi Usecases
The rapid increase in DeFi products has made the total value locked (TVL) surge past $13 billion dollars. Until now, this has mostly been driven by undifferentiated assets such as stable coins.
More recently, the non-fungible token (NFT) markets have been quietly expanding, surpassing $100 million dollars in value. It is still very early for the tokenization of uniquely valuable assets, a technology that is perfectly fitting the arts & entertainment markets, but we can already see a snowball effect forming. The gaming industry, worth more than $170 billion dollars, is especially ripe for an experience enhancement further blurring the lines between gaming and reality.
To accelerate this new wave and amplify this emerging opportunity, Elrond and Ultra have teamed up to lay the foundation for NFT-based DeFi use cases. The collaboration will focus on interoperability between their blockchains and will initially start by enabling eGold (EGLD) as a payment method on the Ultra plattform.
Gaming-based NFTs originating on the Ultra network will become part of DeFi products running on Elrond. Use-cases including collateralized debt using NFTs, or issuing stable coins against non-fungible assets will become available at internet-scale.
“Together with Ultra we are merging engaging experiences with the freedom enhancing capabilities of blockchain technology enabling the next generation of value creators to express themselves in new and powerful ways.” said Beniamin Mincu, Elrond CEO.
Ultra is an entertainment platform, working hand-in-hand with market leaders such as AMD or Ubisoft, that is focused on catering to the many aspects of the gaming industry using blockchain technology. Gamers can get games, play them, trade content, engage with streamers, participate in tournaments, and much more.
Items such as games or in-game items on the Ultra platform are tokenized, making gamers the true owners of assets that have real value within the gaming community and to those who appreciate its potential.
“All games published on Ultra are tokenized assets which have hard intrinsic value. We believe DeFi will bring new use cases for these NFTs such as collateralized microloans which will ultimately benefit Ultra's gamers. Elrond's partnership is our first step towards this goal.” said David Hanson, Ultra Co-CEO.
Deploying an NFT-centric economy on top of the Elrond Network, will strengthen its position as a leader in the internet of value, unlocking larger, globally accessible opportunities for artists and creators alike.
Elrond is the internet-scale blockchain, designed from scratch to bring a 1000-fold cumulative improvement in throughput and execution speed. To achieve this, Elrond introduces two key innovations: a novel Adaptive State Sharding mechanism, and a Secure Proof of Stake (PoS) algorithm, enabling linear scalability with a fast, efficient, and secure consensus mechanism. Thus, Elrond can process upwards of 15,000 transactions per second (TPS), with 6-second latency, and negligible cost, attempting to become the backbone of a permissionless, borderless, globally accessible internet economy.
Ultra is the first entertainment platform providing all key games industry services under a single roof, accessible through a single login.
Built around our PC game distribution platform, Ultra Games, our platform will provide access to countless centralized and decentralized services: Discover, buy, play and sell your games and in-game items, watch live-streaming feeds, interact with your favorite influencers, participate in contests, compete in tournaments and much more.
Ultra has been built to extinguish the frontier between blockchain and mass market, between DAPPS and APPs and between legacy items and NFTs.