Spark ≠ a bank. So what is it?
It’s DeFi’s ONCHAIN CAPITAL ALLOCATOR - allocating billions, optimizing yields, and sustaining onchain lending.
Here's the TL;DR of @MessariCrypto's breakdown 👇
In DeFi today, capital often sits idle, fragmented across chains, or gets lost chasing yield.
Spark addresses this.
Spark turns stablecoins into productive assets by allocating them across DeFi to improve liquidity and maximize capital efficiency.
Spark is powered by three core systems:
- SLL (Spark Liquidity Layer): handles minting, bridging & deployment
- ALM (Asset Liability Management): decides where liquidity goes
- Stablecoins (sUSDS, sDAI, USDC): the yield-bearing fuel of the system
Together, they make Spark a self-adjusting yield engine.
At the heart of Spark is the SLL.
Think of it as a programmable capital allocator:
- Mints yield-bearing stablecoins (sUSDS, sDAI, sUSDC)
- Bridges them across chains
- Deploys to vaults like @MorphoLabs or RWA protocols
All governed by smart contracts.
Here’s how Spark works:
1️⃣ Mint sUSDS
2️⃣ Bridge to Base via SkyLink + CCTP
3️⃣ Deploy to Morpho vaults → where Coinbase users borrow against BTC
4️⃣ Yield flows back to Spark DAO
5️⃣ Spread sustains protocol & Spark’s Sky Savings Rate
Spark isn’t just another DeFi protocol.
It’s stablecoin minting, liquidity routing, and incentive design combined into a single infrastructure layer.
All built to make DeFi more liquid, efficient, and scalable.
Want the full breakdown of how it works?
Check out @MessariCrypto's full report 👇
@MessariCrypto
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