Increasing Financial Institutions’ Blockchain Connectivity
LayerZero, an interoperability protocol, and Rayls, a blockchain ecosystem devoted to institutional decentralized finance (DeFi), have established a strategic alliance. Across more than 120 blockchain networks, this partnership seeks to improve financial institutions’ connection and liquidity.
Connecting DeFi and Conventional Finance
The goal of the collaboration is to make it easier for traditional finance (TradFi) and DeFi systems to integrate seamlessly. It facilitates the transfer of tokenized deposits, central bank digital currencies (CBDCs), and stablecoins among numerous blockchain platforms. In doing so, it opens up new avenues for compliance, security, and liquidity in international financial markets.
Boosting the Blockchain Infrastructure at Rayls
Previously working with prominent financial organizations including the Central Bank of Brazil and JP Morgan Kinexys, Rayls has been at the forefront of developing blockchain technology. With $16 million raised in the company’s most recent Series A investment round, Parfin now has $38 million in total funding. Rayls’ goal of growing its DeFi ecosystem and infrastructure capabilities is supported by this funding.
Improving Asset Transfers and Security
More than 120 public blockchains are connected to private subnets through the integration of LayerZero’s protocol with Rayls’ platform. This facilitates real-time financial transactions across blockchain networks and enhances secure asset transfers. While upholding strict security and regulatory guidelines, it is anticipated that the increased interoperability would encourage broader institutional adoption of blockchain technology.
Leadership Views on the Collaboration
“LayerZero’s ability to provide seamless and secure cross-chain communication is fundamental for Rayls as we work to integrate financial institutions with decentralized finance technology,” said Marcos Viriato, CEO and co-founder of Parfin, underscoring the importance of this partnership.
“We are opening new liquidity channels and empowering institutions to participate in the growing DeFi ecosystem by enabling secure asset movement across global networks,” Viriato added, highlighting the significance of this integration. In order to connect TradFi and DeFi on a broad scale, LayerZero’s infrastructure is essential.
Constructing a Single Financial Framework
Financial institutions need infrastructure that strikes a balance between security, compliance, and interoperability, according to LayerZero CEO and co-founder Bryan Pelligrino. We are facilitating the safe transfer of tokenized assets, stablecoins, and CBDCs between public and private networks by bridging institutions, central banks, and DeFi protocols with Rayls. This establishes the framework for a unified and scalable financial system that promotes inclusion and global innovation.
Future Plans and Developments
Rayls and LayerZero’s partnership tackles the issue of private and public blockchain interoperability, which is essential for effective transactions and worldwide liquidity. Pilot testing with a few financial institutions is scheduled to start in 2025, and the following stage is integrating LayerZero’s cross-chain messaging into Rayls’ platform. Later this year, a full-scale launch is anticipated, which would be a major turning point in blockchain finance.
