Celer aims to build the best interoperability protocol drawing from the constructive feedback of its active community.
Reinventing the Bridge
The leading cross-chain protocol, Celer Network, launched xAsset V2, allowing users to easily transfer tokens across multiple blockchains.
cBridge, one of Celer’s core products, supports over 110 tokens across 30 blockchains and Layer-2s and has already processed $8 billion in cross-chain asset transfer volume. In the previous bridging system, liquidity pools were necessary for users to send funds from one chain to another.
Liquidity providers (LPs) received the exchanged token and provided the new one in another chain. This led to counterparty risks for LPs, inefficient liquidity utilization, and the prerequisite of having pre-minted liquidity on the destination chain.
According to a blog post published on June 2, the new system lets tokens move freely across all supported chains with a burn-and-mint model that solves the previous problems.
“In the new xAsset V2, we’ve gotten rid of the necessity of liquidity provision. As long as the xAsset is created by cBridge, a burn-and-mint model will be employed between the destination chains to support omnidirectional bridging. This enables 100% liquidity utilization while providing a straightforward cross-chain UX,” explained the team.
Put simply, xAsset V2 burns swapped tokens on the source chain and mints the desired token on the destination chain. BSC News reached out to Celer’s team to learn more about this novel idea and its applications, but they didn’t respond.
The protocol is constantly expanding and recently stepped into the Non-Fungible Token (NFT) ecosystem. The first game to launch on BNB Applications Sidechain (BAS), Meta Apes, has a unique chain dedicated only to the game (Ape Chain). Celer’s bridge enables gamers to transfer their in-game NFTs from BNB Chain to Ape Chain.
Dr. Mo Dong, Co-founder at Celer, commented on BNB Chain’s blog about their active involvement in creating BAS:
“Celer is delighted to play a key role in enabling seamless and composable bridging and interoperability between the burgeoning BAS application ecosystem and the BNB chain infrastructure with Ankr and NodeReal in supporting the next generation of games and applications.”
Many argue that the future is multi-chain, meaning that users will be able to leverage the different strengths present in each blockchain – be it BNB Chain’s diversity, Solana’s speed, or Ethereum’s decentralization. What is clear is that robust bridges are essential to make the ultimate blockchain dream a reality.
What is Celer Network:
Celer Network is the leading inter-blockchain and cross-layer communication platform in the industry. The protocol offers fast, secure, and cheap bridging between multiple chains. The Celer ecosystem comprises three unique products: inter-chain Message Framework, cBridge, and Layer2.Finance.
Where to find Celer Network:
Source : bsc.news
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