Coinfeeds Daily → Stellar Launches Soroban Smart Contracts

Stellar Launches Soroban Smart Contracts

Published: Mar 20, 2024 | Last Updated: Mar 20, 2024

Soroban brings advanced financial services to Stellar, backed by a $100M adoption fund to fuel innovation.

The Stellar network, a platform designed to facilitate global financial transactions, has taken a significant leap forward with the introduction of smart contracts through the launch of Soroban on its mainnet. This development marks a pivotal moment in Stellar's history, expanding its capabilities far beyond simple cryptocurrency payments to a broader range of financial services, including decentralized finance (DeFi) and other applications.

What is Soroban?

Soroban is a smart contracts platform that has been integrated into the Stellar network after two years of rigorous testing. It employs WebAssembly (WASM) for the deployment of smart contracts, enabling developers to create sophisticated decentralized applications (dapps) with greater efficiency and flexibility. The introduction of Soroban is expected to significantly enhance the utility of the Stellar network by facilitating a wide array of financial services and applications.

The Role of the Stellar Development Foundation

The Stellar Development Foundation (SDF) has played a crucial role in this transition. To support the development and adoption of Soroban, the SDF has allocated a substantial $100 million to a Soroban adoption fund. This fund is dedicated to financing over 160 projects that aim to utilize the new smart contracts platform, demonstrating the foundation's commitment to fostering innovation and expanding the Stellar ecosystem.

Implications for the Financial Ecosystem

The launch of Soroban on the Stellar network is more than just a technical upgrade; it signifies a transformative shift in how financial services can be accessed and delivered globally. By enabling the creation, deployment, and interaction with decentralized applications, Soroban opens up new avenues for financial inclusion and innovation. The platform's support for a variety of dapps, from DeFi to other financial services, positions Stellar as a key player in the ongoing evolution of the global financial system.

Looking Ahead

As Soroban goes live and developers begin to explore its capabilities, the Stellar network is poised for significant growth. The $100 million Soroban adoption fund will play a vital role in this process, providing the necessary resources to drive innovation and the development of new applications. With its expanded functionality and the backing of the Stellar Development Foundation, Soroban is set to enhance the accessibility and efficiency of financial services on a global scale, marking a new era for the Stellar network.

Enjoyed reading this article? Subscribe for daily market and news updates.
Let me read it first >