Mango Network represents a new level of blockchain development, connecting various virtual machines to address liquidity fragmentation issues in decentralized finance (DeFi).
Challenges of Liquidity Fragmentation in DeFi
Liquidity fragmentation complicates interactions between different blockchains, such as Ethereum and Solana. Each has its own applications and tokens, creating isolated liquidity pools and slowing down the DeFi economy. Users are forced to rely on third-party systems to move assets, which are often prone to risks, complicating the interaction process.
How Mango Network Works
Mango Network utilizes a multi-functional architecture supporting multiple virtual machines, such as EVM, SVM, and MoveVM. This allows developers to create applications using any of the supported programming languages, while users can access various decentralized applications from a single account, avoiding complex asset transfer operations.
Potential and Challenges of Mango Network
Mango Network claims it can process up to 297,450 transactions per second and provide nearly instant finality. However, it is important to note that test networks may show excellent results compared to real economic conditions. The ultimate test of the platform will begin after the token generation and mainnet launch when real user activity starts to affect performance.
Mango Network introduces new ideas to DeFi by connecting various blockchains and ensuring more effective liquidity use. However, its implementation will require careful work to support scalability and security in real-time.
