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Enso Partners With Stargate, LayerZero For $3.5 Billion Liquidity Shift To Unichain

Coin WorldSunday, May 4, 2025 5:26 am ET
2min read

Enso, a blockchain composability startup, has partnered with cross-chain interoperability protocols Stargate Finance and LayerZero to facilitate a significant shift in liquidity from Ethereum to Uniswap’s dedicated Layer-2 network, Unichain. This collaboration introduces a one-click migration tool designed to simplify the process of moving liquidity providers (LPs) from Uniswap v2 and v3 platforms to Uniswap v4 on Unichain. The tool aims to eliminate the complexities and risks associated with transferring funds across decentralized networks, making the transition more efficient and user-friendly.

Enso’s innovative solution has the potential to orchestrate one of the most consequential asset transfers in Ethereum’s history, with the possibility of facilitating the transfer of over $3.5 billion worth of crypto currently deployed in Uniswap’s liquidity pools. The primary objective is to encourage LPs on Uniswap v2 and v3 to move their capital to Uniswap v4 on Unichain, which launched its testnet in October but has struggled to attract the necessary funds.

Unichain, described as a “Superchain L2,” is optimized to handle the high transaction volumes seen on the world’s most popular decentralized exchange. It can process thousands of transactions per second with sub-second finality and ultra-low costs, making it ideal for big-money DeFi traders. The network promises to lower transaction costs by up to 95% while providing an additional finality layer to eliminate the risk of conflict. Features such as 250 millisecond “sub-blocks” and improved transaction ordering transparency enable almost instantaneous swaps, boosting market efficiency and mitigating MEV attacks.

Despite these performance benefits, the majority of Uniswap users have yet to enjoy them due to the complexity of moving funds to Unichain. Some users have reported having to go through nine separate steps to complete the process, which has deterred many LPs from making the transition. Enso’s new migration solution addresses this issue by allowing users to migrate, bridge, and redeploy their funds on Unichain with just a single click. This simplification aligns with Enso’s position as a middleware provider that brings a low-code-like experience to Web3 users. Enso’s intent-based architecture abstracts away the complexities of step-by-step smart contract interactions, allowing users to perform actions securely and quickly.

The collaboration between Enso, Stargate, and LayerZero has been instrumental in developing this solution. Stargate’s seamless bridge, integrated with LayerZero’s blockchain communication protocol, facilitates simple and secure messaging between decentralized networks, unifying liquidity across them. This eliminates the need to wrap tokens and provides immediate finality for all transactions.

Ask Aime: "Uniswap's Layer-2 Network Facilitates Major Liquidity Shift"

Enso co-founder Connor Howe emphasized the significance of this collaboration, stating that it provides the “missing piece of the puzzle” for Unichain to gain real traction. He predicted that Uniswap LPs are on the verge of triggering one of the largest liquidity migration events in Ethereum’s history. This migration is expected to enhance the efficiency and security of Unichain, making it a more attractive option for liquidity providers and DeFi traders alike.

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