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Established usage of vDOT in DEFI Dexs that are compatible with the Polkadot Network!
vDOT made it possible for DOT token holders to earn both DOT staking rewards, while vDOT could be used in DEFI dpps compatible with the Polkadot ecosystem with decentralised interoperability between Polkadot ecosystem dapps possible with XCM transfers.
Screenshot from Bifrost staking module DOT’s most popular LST vDOT issued by Bifrost Protocol
vDOT is already used in several protocols that are part of Polkadot’s ecosystem of dapps- Hydration, Zenlink, Stella Swap etc.
However, vDOT usage could not extend to established DEFI hubs in other prominent L1 and L2 chains.
Now this is about to change as decentralized, permissionless cross-chain interoperability is made possible with HyperBridge, a cross-chain bridge built by the Polkadot community.
Hyperbridge facilitates vDOT’s decentralized cross-chain transfer to other heterogeneous Blockchains. Screenshot of Cross-Chain Module in Bifrost Protocol
VDOT holders incentivized to provide liquidity cross-chain on Uniswap with DEFI Singularity initiative
Now that vDOT can be transferred to other Blockchains, Bifrost and Hyperbridge have partnered to launch the DEFI Singularity initiative, which incentivizes vDOT holders to provide liquidity to prominent DEFI Dexs on other heterogeneous chains.
The first phase of DEFI Singularity initiative has kick-started with vDOT holders getting incentivized with vDOT rewards for providing liquidity to Uniswap AMM Dex in the following chains for the following pairs –
Ethereum – ETH – vDOT ( 3,474 vDOT incentive rewards)
Arbitrum -ETH - vDOT ( 3,474 vDOT incentive rewards)
Base – ETH -vDOT ( 3,474 vDOT incentive rewards)
Binance Chain – BNB-vDOT ( 3,474 vDOT incentive rewards)
DeFi Singularity kicks off: Phase 1 of the vDOT incentive program by Bifrost & HyperBridge is live! Source
This first phase of DEFI Singularity initiative is active from 25 July -Oct 25th 2025, with a total of 13,896 vDOT allocated to be distributed as incentives to liquidity providers.
These vDOT incentive rewards are divided – with 3,474 vDOT allocated as rewards to be distributed to Uniswap Liquidity providers of each Network.
Details of this DEFI singularity initiative are given in this article –
DeFi Singularity Continues: Earn vDOT Yield Across Ethereum, Base & More
Taking vDOT into thriving DEFI hubs and increasing vDOT adoption in DEFI across all chains!
The purpose of Bifrost and HyperBridge’s DEFI Singularity initiative is to take vDOT to Dexs in other chains which are established DEFI hubs today.
This will increase usage of vDOT in DEFI across other thriving L1 and L2 chains. This DEFI Singularity is an incentive program to bootstrap liquidity for vDOT with other pairs in Uniswap across select chains.
Practical experience taking vDOT cross-chain using it in Binance Chain DEFI Dex - Uniswap
My journey – becoming Uniswap LP provider for BNB-vDOT pair Uniswap Protocol
I participated in DEFI Singularity initiative by providing liquidity to BNB-vDOT pair on Uniswap DEX in Binance Chain.
This involved cross-chain transfer of my vDOT minted in Bifrost to my Metamask wallet address on Binance Chain Network.
I could do this vDOT cross-chain transfer from Bifrost itself – with Hyperbridge facilitating the transfer of vDOT to the destination address on Binance Chain.
This vDOT transfer process took place successfully!
I was thrilled to see vDOT asset on my Metamask wallet.
HyperBridge bridges vDOT from Bifrost (Polkadot) directly into my MetaMask wallet on Binance Chain
After this, I provided liquidity to BNB-vDOT pair on Uniswap in Binance Chain Network which made me eligible to get vDOT incentives rewards as part of DEFI Singularity program!
Providing liquidity on Uniswap using my vDOT!!
I checked the vDOT incentives I earned for providing liquidity on Merkl site –
DEFI Singularity vDOT incentives for providing liquidity using vDOT on Uniswap Screen shot from Merkl
I have earned 0.481 vDOT as rewards.
Pretty Cool!
Earn beyond DOT staking rewards with vDOT - designed to be further used in DEFI
Staking DOT to vDOT itself is a DEFI investment as vDOT is a Liquid Staking Derivative asset; LSD asset. vDOT accrues 11% APR every Block, these rewards get distributed every ERA (24 hours), increasing the value of held vDOT.
Now this vDOT can be used in DEFI to earn further yields.
For ex, I leveraged my vDOT in Uniswap, providing liquidity to BNB-vDOT pair, which has earned me LP rewards of $0.401.
LP fees earned using vDOT in Uniswap DEFI
About Bifrost Protocol and its vToken LSD issues...
Bifrost is Polkadot’s top decentralised cross-chain liquid staking protocol issuing vTokens. Bifrost’s minted vDOT, is DOT’s most widely adopted DOT LSD asset. There have been over 19 million DOT mints into vDOT, which has found large-scale usage in DEFI Dexs existing in Polkadot’s Ecosystem.
Major Polkadot dapp tokens have Bifrost issued vTokens serving as their LSD asset - vGLMR, vASTR, vPHA, vMANTA,vBNC, all used in DEFI prevalent in the Polkadot ecosystem.
Bifrost is designed to mint Liquid staked tokens (LSTs) for cross-chain assets using cross-chain liquidity. For instance, Bifrost mints vETH, for staked ETH locked in Ethereum chain.
Bifrost’s vTokens are built to be interoperable so they can be used in DEFI protocols across heterogeneous Blockchains.
Check out Bifrost Protocol here - https://bifrost.io/