Consolidating its performance in decentralized finance, BRZ will stand out in protocols like Balancer and Jarvis to offer new services to Brazilian and international users.
In the quest to establish itself as a reference in the DeFi market, BRZ announced a partnership with Polygon. The goal is to increase the stablecoin’s presence in the decentralized finance environment by offering innovative products and services to end users.
What about learning more about BRZ’s partnership with Polygon and how it can open up many opportunities for you? Read on!
What is the partnership between BRZ and Polygon?
The partnership aims to expand BRZ’s role in Polygon’s ecosystem and to open doors for the network in the Brazilian market.
For Fernando Oyo, Product Marketing Manager at BRZ, this is a unique opportunity for the stablecoin to place itself prominently, seizing Polygon’s relevance and authority in DeFi.
“It makes a lot of sense for BRZ to approach Polygon, especially because it is a network that has been gaining traction in the crypto assets market and is increasingly proving itself as an efficient alternative as a second layer to Ethereum.”
In practice, the Polygon and BRZ teams will now work together, always looking for the best opportunities to apply stablecoin to the main DEX and network protocols.
“Polygon now acts as an intermediary between the BRZ and these DEX and protocols, contributing to creating more opportunities and incentives for users, especially for Brazilians,” says Fernando.
The BRZ is available in which DEX and protocols?
But how can the partnership between BRZ and Polygon generate opportunities within DeFi? Some DEX and protocols have developed specific actions to encourage using the world’s largest non-dollar stablecoin. Check them out!
At Balancer, Brazilian users can use the BRZ to provide liquidity and, in exchange, receive a commission for each transaction made within that pool.
In addition, as part of the incentive, a farming in Balancer was also approved that allows liquidity providers in that pool in BRZ also to receive native governance tokens from the protocol.
Jarvis is a protocol acknowledged for issuing semi-algorithmic stablecoins. It launched the jBRL, which, like BRZ, is also pegged to the real.
Because it is a stablecoin native to the DeFi environment, Jarvis users have begun developing strategies for arbitrage while achieving financial returns by providing liquidity to these pools.
For Paschal, from Jarvis, the approach with the BRZ is essential in developing a DeFi ecosystem in Brazil.
“We want to develop the DeFi environment in Latin America, and Brazil is the gateway. As the BRZ is one of the main stablecoins in the world and Transfero has a series of connections, there is nothing better than using the BRZ to structure this Brazilian DeFi ecosystem.”
Paschal also highlights the opportunities that the increasing presence of the BRZ in Jarvis has to offer to end users. One example: with the BRZ’s greater liquidity, the tendency is that slippage – the difference between the value of the order and the price at which it was executed – is reduced.
“The higher liquidity allows the conversion from BRL to USDC or USDC to BRL without slippage, allowing the Brazilian user to access liquidity and yields in their local currency. And in addition: accessing credit without exchange rate risk.”
Available since the end of 2022, the BRZ has made available the first decentralized lending in partnership with Midas Capital. This allows more Brazilian users to efficiently and securely take advantage of opportunities in DeFi.
Using the stablecoin as a base, Brazilian users can borrow BRZ using bitcoin, ethereum, and BNB as collateral or even collateralize against these digital assets. However, with the BRZ pool, volatility is reduced, and there is no need to monitor the dollar rate against the real.
According to Pedro Mace, Head of DeFi at Transfero, this was a unique opportunity to stimulate greater participation of Brazilians in DeFi.
“The partnership with Midas enables the creation of an on-chain multinational credit market. In other words, more Brazilians can easily and safely participate in a decentralized and inclusive market.”
What do you think about learning more about Polygon and why this network became so popular in the crypto market? Check out our content about the network and all its opportunities!