June 9, 2020
SINGAPORE JUNE 9 2020 / EMURGO Ptd. Ltd. – EMURGO, a global blockchain solutions firm & a founding entity of the globally recognized Cardano protocol, announces today a strategic partnership with Ergo - a proof-of-work blockchain protocol built to be a platform for applications with a main focus on providing simple solutions for financial contracts with its UTXO-based smart contracts. Designed and led by former IOHK engineers, Ergo places high emphasis on offering customized privacy for stakeholders utilizing the network, long-term blockchain network sustainability, and decentralization options.
The scope of this partnership agreement covers the joint exploration of stablecoin R&D and the provision of decentralized financial services applications, by leveraging each other’s respective expertise in Cardano’s technical structures & privacy with UTXO-based smart contracts.
It will also cover the full integration & support of Ergo’s native blockchain token (Erg) into Yoroi Wallet - a secure, lite cryptocurrency wallet developed by EMURGO for desktop & mobile that will process various decentralized application requests and also enable the smooth transfer between token types issued on Cardano and ADA. Erg will be the first cryptocurrency to be integrated into Yoroi Wallet after Cardano’s ADA.
Following the momentum of the recent launch of EMURGO Traceability Solution to meet the needs of enterprises, EMURGO’s strategic partnership with Ergo aligns with the objective to also meet the increasing needs for tailored decentralized financial (DeFi) solutions moving forward. As the interest in building decentralized financial services grows in tandem with the overall blockchain industry, this partnership allows for much-needed deeper research & DeFi solutions development. These solutions will explore the usage of Ergo’s smart contracts that are embedded with privacy features and interoperable with Cardano’s large global network. This will in turn, offer developers, investors, and interested parties the flexibility to utilize Ergo’s functionalities or to fully on-ramp onto larger blockchain ecosystems such as Cardano.
Currently, approximately $1 billion USD in total value is locked away in DeFi solutions with plenty of market size to grow as development matures. Use cases for DeFi solutions cover traditional financial services such as lending & borrowing, digital tokenization of real world assets, and payments, among others. These solutions leverage blockchain technology to provide self-executing financial smart contracts upon meeting programmed stipulations & decentralization without a singular point of entity control. DeFi solutions open up access to financial services to a wider segment of the population, offering inclusion and economic empowerment, with a variety of decentralized solutions that are interoperable.
“This is a natural strategic partnership that brings together the native strengths of our respective organizations for EMURGO to continue developing innovative solutions in line with the rising demands for decentralized finance services. We are also excited to have this partnership start the expansion of Yoroi Wallet's services to a broader community,” said Ken Kodama, EMURGO CEO.
“The partnership with EMURGO - one of the founding entities of Cardano and a well-known and respected organization - is an outstanding opportunity to explore the possibilities provided by the collaboration between our two protocols and teams with a similar ethos, but distinct and complementary technology. Cardano is arguably the most academically rigorous blockchain protocol in existence, and EMURGO is a valuable technology partner for Ergo - which has always prioritized a similarly research-driven approach to development. Meanwhile, the integration with EMURGO's flagship Yoroi Wallet will place Ergo before one of the largest user bases in the crypto space. In particular, our joint research into a new stablecoin protocol and DeFi services promise to provide exciting new avenues for development and commercial opportunities for both parties, their communities, and business users,” said Alexander Chepurnoy, Ergo Core Developer.
EMURGO is a global blockchain technology company providing solutions for developers, startups, enterprises and governments. EMURGO develops enterprise-grade applications, builds developer tools, invests in startups, and provides blockchain education.
EMURGO has offices and manages projects in Singapore, Japan, the USA, India, and Indonesia. EMURGO is a founding member of the Cardano protocol. To connect and learn more, visit https://emurgo.io.
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