Fluid's system is going multi-VM, unifying liquidity and lending across EVM and non-EVM chains.

Friday, Aug 8, 2025 5:00 am ET1min read

Fluid's system is going multi-VM, unifying liquidity and lending across EVM and non-EVM chains.

Fluid, a prominent player in the decentralized finance (DeFi) ecosystem, has announced a significant upgrade to its system, transitioning to a multi-Virtual Machine (multi-VM) architecture. This new approach aims to unify liquidity and lending services across both EVM (Ethereum Virtual Machine) and non-EVM chains. The move is part of Fluid’s broader strategy to enhance interoperability and expand its reach within the rapidly evolving blockchain landscape.

The multi-VM system is designed to leverage the strengths of different blockchain ecosystems. By integrating with EVM chains like Ethereum and non-EVM chains like Tezos, Fluid seeks to provide a more cohesive and efficient DeFi experience. This integration is particularly notable given the recent advancements in Layer 2 solutions and cross-chain liquidity bridges, such as Curve’s deployment on Etherlink [2].

Curve’s recent deployment on Etherlink exemplifies the potential of such integrations. Etherlink, a Layer 2 blockchain built on Tezos, offers low transaction fees and fast finality, attributes that are crucial for DeFi applications. By integrating with Etherlink, Curve can now facilitate efficient and low-cost trading of stablecoins and pegged assets between the Tezos and EVM ecosystems [2].

Fluid’s multi-VM system is expected to bring several benefits to its users, including:

1. Improved Liquidity: By unifying liquidity across different chains, Fluid can offer more robust and diversified liquidity pools, potentially reducing slippage and enhancing trading efficiency.
2. Enhanced Interoperability: The multi-VM approach allows for seamless interaction between different blockchain ecosystems, making it easier for users to move assets and engage in cross-chain activities.
3. Scalability: Leveraging the unique features of various chains, such as Tezos’s on-chain governance and EVM’s extensive developer ecosystem, can help Fluid scale its services more effectively.

The transition to a multi-VM system aligns with broader industry trends, where the integration of diverse blockchain technologies is becoming increasingly important. This shift is driven by the need to address the limitations of single-chain solutions and to create a more interconnected and efficient DeFi landscape.

As Fluid continues to develop and refine its multi-VM system, it is poised to play a significant role in shaping the future of cross-chain DeFi. By providing a unified platform for liquidity and lending, Fluid can help bridge the gaps between different blockchain ecosystems, fostering innovation and growth in the DeFi sector.

References:
[1] https://api.news.bitcoin.com/wp-json/bcn/v1/post?slug=evm-layer-2-token-little-pepe-lilpepe-sells-out-stage-9-of-presale
[2] https://invezz.com/news/2025/08/07/curve-deploys-on-etherlink-bringing-major-liquidity-to-tezos-ecosystem/