The Good Tech Companies - How Enso Is Migrating $3.5B in DeFi Liquidity to Unichain with a Single Click

Starting point is 00:00:00 This audio is presented by Hacker Noon, where anyone can learn anything about any technology. How Enso is migrating $3 5B in DeFi liquidity to Unichain with a single click, by Ashan Pandey Hash hash can a single click really migrate billions in DeFi liquidity? That is the question being answered by a major new partnership in the blockchain space. Enso, Stargate, and Layer Zero have collaborated to create a new infrastructure that allows Uniswap liquidity providers, LPs, to migrate their positions to Unichain with just one click. The announcement suggests that as much as $3.5 billion in liquidity could soon be moved to Unichain using this method. This

Starting point is 00:00:41 development marks a significant shift in how liquidity is transferred across blockchains and highlights the growing need for composable infrastructure that abstracts away blockchain complexity from end-users. Understanding the multi-step problem of cross-chain liquidity migration, before this tool existed, migrating liquidity from Ethereum and other EVM-compatible blockchains to Unichain was complex and often required up to nine manual steps. These steps included removing liquidity from a pool on Ethereum, bridging assets across chains, re-adding liquidity into a new protocol on Unichain, confirming transactions at each layer, and ensuring security and execution consistency throughout the process. Each of these stages

Starting point is 00:01:23 introduced friction and risk, particularly for non-technical users. An average LP managing liquidity across multiple pools had to interact with multiple smart contracts and tools, often resulting in delays and missed opportunities during volatile market conditions. ENSO's shortcut and what it actually does. ENSO is a tool for developers that maps complex blockchain operations into shortcuts. Think of it like using a macro on a computer. Instead of performing multiple manual steps, the user clicks once and the tool executes all required blockchain transactions in the correct sequence behind the scenes. In this case, Enso's migration tool takes care of, withdrawing LP tokens from Uniswap v2 or v3 on Ethereum,

Starting point is 00:02:07 bridging the underlying assets via Stargate, relaying instructions and state updates via Layer 0, and depositing assets into Uniswap v4 pools on Unichain. From the LP's perspective, they only need to authorize a single transaction. Connor Howe, co-founder of Enso, said, greater than, through engineering a unified solution with the help of Stargate and greater than Layer 0, Enso has added the missing piece to the puzzle. With the ability to greater than transfer their positions in one click, Uniswap LPs are about to trigger one of greater than the largest liquidity migration events in Ethereum

Starting point is 00:02:42 history. Role of Stargate and Layer 0 in the migration stack. To understand this collaboration, it is important to break down the responsibilities of each partner. Stargate is a liquidity transport layer built in Layer 0. It allows users to bridge assets across multiple chains with guaranteed finality. For example, if you move 100 USDC from Ethereum to Avalanche using Stargate, you can be sure the exact amount will arrive at the destination chain with no delays or unexpected fees.

Starting point is 00:03:12 Layer 0 acts as the communication protocol. It does not move assets itself but rather relays state changes and execution commands between chains. It is like the courier that carries the signed message between two parties, ensuring the correct execution of a transaction. In this migration event, Enso handles the DeFi transaction execution. Stargate moves the assets. Layer 0 ensures the messages and state changes are properly communicated between the originating and target chains. Why this matters for the future of DeFi? This collaboration is significant for three main reasons.

Starting point is 00:03:46 1. Operational simplicity. Blockchain is notorious for being difficult to use. Tools like Enso's migration solution are essential to driving mass adoption because they make complex transactions accessible to anyone with a wallet. 2. Liquidity concentration on Unichain. Uniswap v4 on Unichain is expected to bring

Starting point is 00:04:05 improvements such as hooks, improved routing logic, and dynamic fees. By reducing friction to migrate, this partnership incentivizes LPs to move capital quickly and en masse, potentially reshaping where major DeFi activity is concentrated. 3. Proof of composability DeFi DeFi has long promised composability, the idea that different applications can plug into each other like Lego blocks. This is a practical demonstration of that principle. Three independent teams created a seamless experience that would not have been possible individually. My opinion and final thoughts. This partnership is less about marketing and more about infrastructure

Starting point is 00:04:43 innovation. If the migration tool works as claimed, it will likely be studied as a case of how to reduce defy friction without compromising on decentralization or control. However, it also raises questions about trust and abstraction. The more invisible the complexity becomes, the more responsibility is shifted to developers and middleware providers. Users must trust the smart contracts, execution logic, and relayers without fully understanding them. That said, the composability shown here is what many in the space have been waiting for. For developers building in Web 3, this could serve as a new standard of how liquidity should be migrated, not just to Unichain but to any new blockchain architecture in the future. Don't forget to like and share the story.

Starting point is 00:05:26 Tip Vested Interest Disclosure This author is an independent contributor publishing via our business blogging program. Hacker Noon has reviewed the report for quality, but the claims herein belong to the author. Hashtag dyo Thank you for listening to this Hacker Noon story, read by Artificial Intelligence. Visit hackernoon.com to read, write, learn and publish.

The Good Tech Companies - How Enso Is Migrating $3.5B in DeFi Liquidity to Unichain with a Single Click

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