# Native Relending

Varuna introduces a pioneering feature known as native chain relending, empowering users to partake in lending and collateralization activities using assets within the same blockchain network. This innovative functionality serves to enrich the ecosystem of the corresponding blockchain network, providing robust liquidity support for ecosystem partners and collaborators. By enabling users to leverage assets within the same blockchain network, native chain relending on Varuna attracts a broader user base to participate in various platforms and projects within the ecosystem. 

This, in turn, fosters healthy asset circulation and unlocks greater value and growth potential for the entire ecosystem.

**Benefits of Native Restaking:**

1. **Streamlined User Experience:** Native restaking on Varuna simplifies the staking experience for users by eliminating the complexities associated with managing bridge transactions and fees. By allowing users to engage in lending and collateralization activities directly within the same blockchain network, Varuna offers a streamlined and user-friendly staking experience, enhancing overall user satisfaction and accessibility.
2. **Reduced Transaction Costs:** By facilitating restaking directly from layer 2 networks or EVM-compatible layer1 chains, Varuna significantly reduces transaction costs for users compared to traditional Ethereum mainnet transactions. This cost-saving advantage not only enhances accessibility but also encourages greater participation in staking activities on Varuna, contributing to a more inclusive and vibrant ecosystem.
3. **Expanded Local Ecosystem Opportunities:** After converting native chain collateral into liquidity on Varuna, users gain access to a myriad of opportunities within the ecosystem. With liquid assets at their disposal, users can interact with a wider range of project products, thereby creating more possibilities for profitability and growth. This enhanced ecosystem engagement fosters a dynamic environment where users can explore diverse avenues for financial gain and innovation.