Hi gents, Appreciated your recent podcast on vertical integration. You raised great points about protocols expanding services, like lending platforms incorporating stablecoins, but I’d argue true vertical integration in blockchain reaches deeper, down to the infrastructure layer. Vertical integration to me means unifying critical primitives from smart contracts, oracles, cross-chain communication, and automation... directly at the Layer 1 level. A chain like Supra, built this way from the ground up, delivers composability, performance, and cost efficiency compared to modular or app-specific chain approaches. While app-specific chains can offer tailored functionality (often just integrating oracles) the cost and complexity of spinning up entire chains for individual apps often outweigh the benefits imho. Supra’s general-purpose, high-throughput L1 supports a wide spectrum of use cases from DeFi, GameFi, real-world assets, on a single platform. This fosters shared liquidity, native interoperability, and avoids the siloed fragmentation we often see with Layer 2s or isolated app chains. Importantly, Supra remains fully Permissionless. Other oracle, bridge, and automation providers are welcome to deploy alongside our native stack. But by vertically integrating these capabilities at the protocol level, we unlock new design space, such as "AutoFi" primitives like AutoLiquidations. Here, oracle-triggered liquidations don’t just execute faster, they also return value directly to the applications that created them, and to node operators, aligning incentives system-wide. This is similar in spirit to what Flashbots, Aave, and Chainlink are doing with oracle auctions to share liquidation fees. The difference is that Supra bakes this logic into its Layer 1, optimizing it natively and enabling seamless value routing with minimal overhead. Because we can tailor the protocol to support these functions, we internalize MEV opportunities, redistribute the value automatically, reduce reliance on external services, and improve system efficiency... while still supporting composability and competition across the stack. In short, vertical integration at the infrastructure layer isn’t just cleaner architecture imho; it’s the foundation for a more performant, interoperable, and incentive-aligned ecosystem. just my 2 cents. Here's our Supra 2.0 AutoFi paper, I think you nerds are going to really like it...
NEW POD 📺 @MonetSupply, @MikeIppolito_, @rleshner, and @hasufl discuss: - The next phase of DeFi - The trend of vertical integration in DeFi - The influx of institutional users - Stablecoin designs - And more! Links below 👇
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