Recently, the world-renowned decentralized lending platform Compound has launched the test network of Compound Gateway, which is a cross-chain asset market based on Substrate. The launch of Compound Chain is also in line with Acala's long-term vision of building a future multi-chain network, and both of us believe that for each user, it is very important to reduce liquidity fragmentation, improve the composability of DeFi and lower the threshold of DeFi Yes, and this is also the common goal and vision of this cooperation between Acala and Compound.

Polkadot is a Layer 0 protocol, and shares PoS security with all connected parachains and provides cross-chain communication functions, while other unique custom functions and applications, such as EVM smart contracts, can deploy these functions in parachains. As Polkadot's one-stop DeFi center, the Acala parachain will bring together a variety of encrypted assets and liquidity in the Polkadot ecosystem in the future.

Acala will be integrated into Compound Chain and realize cross-chain interaction - Starport (interstellar station). The proposal was posted to the Compound forum and received a lot of positive responses from the community. In the future, Acala will bring Compound's services and CASH (the interest asset collected by Compound's lending business) to the Polkadot/Acala ecosystem, and introduce DOT and LDOT into Compound's latest encrypted asset market as their new collateral.

This cooperation has brought community dividends to the Compound community, Acala and even the Polkadot ecology, and further improved the low-cost, multi-asset and low-threshold cross-chain DeFi services, forming a win-win situation for all three parties.

This proposal has successfully won the 35,000 USD Grant from Compound, and this is also the first batch of projects to receive the Grant. Part of the development of the above cooperation content is supported by Compound Grant, and the other part of the funds is borne by Acala.

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