Here is a 679-word news article on Parallel Finance and the Omni-Chain project formatted with HTML tags: Parallel Finance Looks to Solve DeFi Interoperability with Omni-Chain Launch

Table of Contents

• Addressing Cross-Chain Challenges
• Leveraging Layer 2 for Scalability
• Reducing User Costs with Fee Sponsorship
• Background of Founder Yubo Ruan
• The Future of DeFi Interoperability

Addressing Cross-Chain Challenges

The decentralized finance (DeFi) sector has experienced explosive growth but faces significant interoperability issues that hinder the user experience, according to Yubo Ruan, Founder and CEO of Parallel Finance. In a recent tweet, Ruan addressed these cross-chain challenges and Parallel’s goal of making DeFi more accessible to all.

In January 2024, Parallel introduced its Omni-Chain project, which aims to bridge different blockchain networks seamlessly. As outlined in Parallel’s whitepaper, the Omni-Chain supports ERC4337 Account Abstraction and intent-based execution to improve the user experience across networks.

Leveraging Layer 2 for Scalability

The Omni-Chain will utilize Optimistic Rollup, a Layer 2 scaling solution, to accelerate transactions in a cost-efficient manner. As noted on L2Beat, an L2 analytics site, Parallel Network is the first project to launch with Arbitrum’s Optimistic Rollup license, bringing its capabilities to a wider developer community.

In addition to Ethereum, Parallel plans to deploy rollups on major networks like Bitcoin to provide sophisticated DeFi functionality across the blockchain ecosystem. The company also intends to offer various staking options to incentivize participation in the Omni-Chain.

Reducing User Costs with Fee Sponsorship

To reduce barriers to entry, Parallel’s Omni-Chain will sponsor gas fees for eligible transactions, creating a new business model beyond just collecting fees. This aims to lower users’ out-of-pocket spending on activities like bridging assets or interacting with smart contracts.

Background of Founder Yubo Ruan

Before founding Parallel Finance in 2021, Ruan built an impressive resume in the blockchain and technology spheres. He founded Alisimba Technologies Inc. which was later acquired, co-founded the blockchain fund 8 Decimal Capital with over $60M AUM, and received accolades like being named to “30 under 30” by The Los Angeles Post. Ruan has also won multiple awards for scientific and tech achievements.

With a coding background since age six and five patents under his belt, Ruan established Parallel to leverage the complexity of blockchain networks to manage future technologies like AI – potentially contributing to challenging problems in AI safety. Parallel has since raised around $31M in funding and achieved a $500M valuation in 2022 under Ruan’s leadership.

The Future of DeFi Interoperability

If successful, Parallel’s Omni-Chain aims to solve major friction points currently inhibiting the growth of the DeFi ecosystem. By seamlessly bridging networks and lowering costs, more users may be drawn to decentralized applications and services. Backed by Ruan’s experience and vision, Parallel looks poised to play a significant role in advancing blockchain interoperability.

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