Brale has released a new protocol called ION targeting at improving stablecoin liquidity.
Starting off with its own stablecoin issuance and orchestration, Brale is now focusing on providing cross-chain 1:1 stablecoin swaps for stablecoins in its ecosystem.
Initial launch partners for this include the likes of Rain, Turnkey, Canton, Better Money Company, Etherfuse, Monad, Base, Radius, Solana, and more. The testnet will include a few chains to start, with more announced along the way.
The Liquidity Gap
Since its launch in 2023, Brale has issued and supported over 300 stablecoins to industry partners, ensuring that they are also compatible with domestic payment rails and banking.
Recently, Brale had partnered with SquareFi to help with its MainUSD stablecoin.
Although its core services have been growing, the team led by Founder and CEO Ben Milne have spotted an issue for stablecoin programs (whether native or white-labelled).
According to its assessment, in order to confidently participate in these stablecoin markets, there needs to be trillions of dollars in underlying liquidity – this is not currently present.
In turn, Brale has found that by using its existing stablecoin infrastructure and API, it is able to make this work with much less capital requires for every stablecoin pair and pool.
What ION protocol does is essentially create one common pool for all of its stablecoins, across all chains that are supported to send, mint, and burn supply – similar to what Circle’s CCTP and what Tether accomplished with USDT0.
It puts Brale as the unifying entity for the ION protocol stablecoin liquidity, and simultaneously reduces the friction for new clients issuing and managing their own stablecoins.
