Polygon has allocated $300,000 to Folks Finance to enhance cross-chain lending on its PoS network. This funding supports the deployment of a solution that allows users to pledge assets on one blockchain and borrow on another, utilizing protocols like Circle CCTP, Chainlink CCIP, and Wormhole to ensure security and reduce complexity. The investment will be distributed in three parts, with the first $100,000 in MATIC already issued. This initiative aims to fill the lending market gap left by Aave's reduced presence on the PoS chain. Folks Finance has also introduced a points system to incentivize user engagement.