2026-01-04 05:22:25

After reviewing the data performance of a certain cross-chain credit testnet, I truly feel that capital flow has become much smoother — the DeFi ecosystem has clearly entered a new stage.

Through LayerZero's cross-chain credit solution, they did something interesting: idle liquidity has significantly decreased, while avoiding the trap of purely chasing high annualized returns. The core focus is on capital efficiency, with a very clear logic.

In terms of system design, localizing assets ensures the security and usability of assets like $AVAX, and liquidity is truly mobilized. This not only helps capital find better destinations but also prevents users from wavering between various aggressive yield schemes. This is one of the signs that DeFi is moving towards maturity.

AVAX5,68%

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GateUser-bd883c58

· 01-07 04:54

This is the real deal. Finally, there's a project that genuinely focuses on efficiency, not just the routine of bragging about high APY every day.

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SerumSquirter

· 01-04 05:51

LayerZero this wave indeed revitalized liquidity, but to be honest, those high APY strategies before were also a double-edged sword. Capital efficiency sounds great in theory, but how it actually performs depends on the subsequent data. The localization of AVAX is interesting, but it’s still far from being truly mature. Does this wave of cross-chain lending really change the game? It still feels like it needs time to be validated. The reduction of idle liquidity sounds good, but the key question is whether users are really making money.

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LeverageAddict

· 01-04 05:38

Capital efficiency has indeed been explained clearly, but while the testnet data looks good, it's still uncertain whether there will be issues when launching on the mainnet.

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DYORMaster

· 01-04 05:28

Feels like the same old story, just rephrased as rehashing old news It’s not that bad, this time is really different, liquidity efficiency has truly improved LayerZero’s cross-chain solution sounds great, but after it goes live, who bears the risk? Talking about capital efficiency is easy, but in actual operations, who isn’t pursuing high annualized returns... $AVAX is performing okay in this area, but we’ll see if it becomes the next tool for cutting leeks again

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HodlTheDoor

· 01-04 05:26

Honestly, LayerZero's cross-chain solution truly addresses the pain points. Liquidity utilization has improved, and capital efficiency has increased. This is what DeFi should look like.

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