SODAX Launches Innovative Crosschain Solutions on Sonic
SODAX, a decentralized finance (DeFi) platform and successor to the ICON blockchain, has initiated its transition to Sonic, an advanced layer 1 network optimized for speed and Ethereum Virtual Machine (EVM) compatibility. This significant shift follows a successful validator decision to retire the ICON chain, representing a pivotal moment as SODAX embarks on its first complete migration into the Sonic ecosystem.
Seamless Financial Operations Across Multiple Blockchains
SODAX has introduced an advanced intent-based execution system that facilitates smooth swaps, lending, and borrowing across more than 12 different blockchains, utilizing protocol-owned liquidity to streamline these processes through a flexible software development kit (SDK). In contrast to typical DeFi applications, SODAX provides users with the ability to easily navigate between various assets and blockchain platforms, while the intent-based execution system manages the complexities of token bridging and wrapping in the background.
Empowering Users with Financial Independence
“Our goal has always been to give individuals direct access to financial tools, empowering them not just to hold digital assets, but to utilize them independently of conventional financial systems,” commented Min Kim, the founder of both ICON and SODAX. “With the introduction of SODAX, we believe we have unified key components: reduced transaction fees, an enhanced user experience, and a platform specifically designed for self-custody and practical financial applications.”
Unified Liquidity Layer Enhances Sonic Ecosystem
Michael Kong, CEO of Sonic Labs, highlighted that the arrival of ICON/SODAX brings a unique intent-based execution layer that spans over a dozen chains, a feature currently absent from Sonic. “If executed correctly, this development can greatly enhance the DeFi user experience and significantly enrich the Sonic builder ecosystem,” he added.
Accelerating Momentum for Sonic
This development comes at a time when Sonic is gaining traction as a viable DeFi-native layer 1 network. Since rebranding from Fantom in late 2024, Sonic has distinguished itself with features such as sub-second transaction finality, EVM compatibility, and a Fee Monetization (FeeM) model that redistributes gas fees back to developers. The introduction of SODAX provides a high-utility product layer that complements Sonic’s infrastructure-driven focus.
Protocol-Owned Liquidity for Enhanced Efficiency
Unlike traditional bridge-based protocols or liquidity aggregators, SODAX directs native assets through Protocol-Owned Liquidity (POL). This mechanism allows for consistent, low-slippage access without depending on transient total value locked (TVL) or external bridges. The Solver SDK optimizes transactions across chains by employing intent-based routing, minimizing costs related to gas, token wrapping, and slippage. Users benefit from maintaining native assets while enjoying lower transaction costs, and builders gain a composable foundation that opens up protocol fee streams and accelerates integration with wallets, decentralized exchanges (DEXs), and other DeFi applications.
Transitioning from Infrastructure to User-Centric DeFi
Originally launched in 2017, ICON aimed to foster interoperability between blockchains through standards like Blockchain Transmission Protocol (BTP) and xCall. However, the focus has gradually shifted from infrastructure-centric development to enhancing DeFi usability, propelled by initiatives like Balanced and Hana Wallet that validated consumer demand for such products.
New Token Migration and Governance Structure
As part of its transformation, the validator vote signifies ICON’s evolution into a fully product-oriented platform. ICX token holders will have the opportunity to migrate to SODA, a new governance and utility token with a capped supply of 1.5 billion tokens, replacing the previous unlimited supply model and incorporating deflationary features.
Community Enthusiasm and Future Prospects
“Our dedicated community is filled with excitement regarding this next chapter, and rightfully so,” stated Kim. “We have assembled a world-class team of experts from numerous countries, established strong partnerships with leading projects, and developed innovative technology that resonates with both our partners and users. Furthermore, we are in a strong financial position, allowing us to feel confident about our future endeavors.”
About SODAX: A Crosschain DeFi Platform on Sonic L1
SODAX is a crosschain DeFi platform designed on Sonic, facilitating effortless swaps, lending, and borrowing across 12+ blockchains, all powered by a unified liquidity layer and intent-based execution. Developed by the creators of the ICON public blockchain, SODAX emphasizes user-friendly products that simplify the DeFi experience across various ecosystems, including Arbitrum, Stellar, Sui, and Cosmos. Through integrations with platforms like Uniswap and Cetus (Sui), SODAX aims to transform fragmented DeFi into a cohesive, scalable experience.
