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Polygon PoS Bridge Yield Proposal

A strategy to generate yield using the $1.3 billion in stablecoin reserves held by the Polygon PoS Portal Bridge.

Quick Take

  • pre-PIP to generate yield on bridge reserves.

  • CoW DAO goes live on Base.

  • ZKsync releases its 2025 roadmap.

  • ELIP-002 for introducing slashing.



Polygon PoS Bridge Yield Proposal

Allez Labs, a web3 risk management firm, published a Polygon Improvement Proposal outlining a strategy to generate yield using the $1.3 billion in stablecoin reserves held by the Polygon PoS Portal Bridge. The proposal seeks to gradually deploy the reserves into curated ERC-4626 liquidity pools, generating yield to fund an Ecosystem Incentives Program managed by Yearn. To ensure a conservative approach, DAI reserves will be held in Maker’s sUSDS vault, while USDC and USDT will use Morpho Vaults, curated and risk-managed by Allez Labs, with oversight from the Polygon Protocol Council. The generated yield will be bridged back to Polygon PoS and deposited into Polygon Ecosystem Vaults. The pre-proposal is currently open for community discussion.

CoW DAO Deploys On Base

CoW Protocol, an MEV-protecting DEX aggregator, is now live on Base as part of its L2 expansion roadmap. The launch features advanced order types on Base, including market, limit, and Time-Weighted Average Price orders. Originally launched in April 2021, CoW Swap leverages a network of solvers to match peer-to-peer orders. Users create intents for their orders through signed offchain messages. The intents are then fulfilled by a competitive network of independent fillers striving to secure optimal prices. Orders are grouped and processed offchain in batches to reduce gas costs. CoW DAO also plans to deploy CoW AMM on Base, introducing features like loss-versus-rebalancing (LVR) protection for LPs.

ZKsync Releases 2025 Roadmap

ZKsync published its 2025 roadmap outlining its plan to create a seamless, scalable, and decentralized Web3 ecosystem. Priorities include achieving EVM bytecode equivalence via BoojumOS for compatibility with Ethereum tools and multi-VM support. User experience enhancements will include biometric authentication, smart accounts, and ultra-low transaction costs of $0.0001. The roadmap targets scalability improvements, aiming for 10,000 TPS and Stage 1 rollup maturity with decentralized sequencing and forced inclusion mechanisms. Privacy will be improved with support for private validiums. Interoperability between public and private ZK chains will unify liquidity and eliminate dependence on third-party bridges.

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