Decentralized finance (DeFi) protocol Spark has deployed approximately $150 million worth of stablecoin liquidity across two Uniswap v4 pools on Ethereum as part of a collaboration to create a shared liquidity and exchange infrastructure for stablecoin issuers.
A Spark spokesperson told Cointelegraph that the initial rollout is in two pools combining USDS with PayPal USD (PYUSD) and USDT, with USDS being the base. Spark described this deployment as one of the largest automated market maker (AMM) liquidity migrations in DeFi.
“These pools represent an initial liquidity deployment of approximately $150 million and establish the first phase of the Stablecoin currency layer,” the spokesperson said. “This initial rollout focuses on enabling shared liquidity on Uniswap v4.”
Earlier this month, Standard Chartered identified Uniswap as a potential beneficiary of tokenized assets moving into DeFi. It predicts that total assets held in DeFi could reach $2.7 trillion by 2030, with Uniswap potentially becoming a source of liquidity for the growing market.
The rollout announced Thursday lays the groundwork for a planned programmable liquidity system that could reduce the need for banks, fintech companies and stablecoin issuers to build separate liquidity networks, while also testing whether Uniswap can boost onchain capital efficiency without undermining market depth.
Spark plans programmable liquidity enhancement
Spark said it plans to introduce Shared Liquidity Layer technology and DualPool functionality in subsequent phases, using Uniswap v4 programmable architecture to coordinate liquidity distribution across stablecoin markets.
The liquidity hook allows you to seamlessly integrate protocols with platforms that provide access to capital and develop profit and trading strategies.
Spark said the hook aims to allow capital not immediately needed for transactions to be used for government-approved products, liquidity systems and profit-generating strategies.
The DualPool Hook implementation will undergo a separate security review, testing and production readiness process prior to implementation. The first phase uses standard Uniswap v4 pools instead of the planned programmable structure.
Related: Aave is able to capture tokenized asset growth in DeFi: Standard Chartered
Spark said the planned framework is intended to provide future stablecoin issuers with access to shared liquidity, rather than requiring them to individually launch pools, coordinate market makers and manage inventories in different places.
A spokesperson told Cointelegraph that Spark is working with additional partners across the stablecoin ecosystem, but is not yet ready to reveal these integrations.
Uniswap seen as winner as tokenized assets move online
In a June 15 note to clients, StanChart bank’s head of digital asset research, Geoff Kendrick, said tokenized treasuries, stocks, bonds and other assets could boost trading activity and liquidity on decentralized exchanges as DeFi operate grows.
Total DeFi value locked as of June 25. Source: DefiLlama
This up-to-date $150 million migration offers a more direct test of StanChart’s infrastructure thesis, although it involves stablecoins rather than tokenized securities.
The migration also follows Uniswap’s involvement in institutional trading of tokenized assets. On February 12, BlackRock said it would contribute its $2.1 billion BUIDL tokenized treasury fund to Uniswap, enabling eligible institutional investors and market makers to trade securities via the decentralized infrastructure.
