Monad, an Ethereum layer-1 blockchain, is preparing to launch its testnet. In a strategic move, it has partnered with Orderly Network, a decentralized exchange infrastructure on the Near blockchain, to enhance decentralized finance (DeFi) activities.

This collaboration aims to capitalize on the anticipated revival in the DeFi sector. The Monad testnet, launching on Wednesday, will provide traders with a rapid EVM-compatible environment and opportunities for airdrops. Meanwhile, Orderly Network features a shared order book that operates across multiple blockchains, supported by a consortium of market makers, including Wintermute, Selini, and Riverside.

As expectations for increased DeFi engagement rise, this initiative is taking place against a backdrop of a favorable regulatory climate under the current U.S. administration. Historical trends indicate that the first DeFi summer in 2020 was similarly influenced by economic conditions following the Covid outbreak. In April 2024, Monad Labs secured $225 million in a funding round led by Paradigm, showcasing strong investor confidence in the platform’s potential to shape the evolving DeFi landscape.

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