Across The Cryptoverse #41 - Canonical Asset Bridging And Truts Reviews

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Written by

#Club1BCH

7 months ago

In community: Everything Crypto(f12e)

Topics: Cryptocurrency, Life, Blog, Writing, Experiences, ...

Why Across is the cross-chain ecosystem’s optimal bridge design. Because it costs far less than other solutions and because it consumes far less gas than any other cross-chain bridge! The protocol is using canonical asset bridging plus intents as the system is the future of cross-chain interoperability

Cross-chain bridges help users transfer value between chains, using one of the two possible ways. The users are more or less left with a choice between high security risks or high costs.

Using canonical assets (AKA genuine tokens)
Using representative assets (AKA token receipts)

Using representative assets is often fast, but this is not the safest option. The users have to trust the asset they receive at the destination, and this system was exploited several times. Meanwhile, the canonical asset bridging does not burden users with the same risk.

One popular method for transferring canonical assets is delivery-vs-payment, but this approach has high gas costs as it requires on-chain validation. But here is another better approach... using canonical assets and intents. The Across intents-based framework can securely transfer canonical assets while offering extremely high speeds and low costs.

Crypto may be down from its peak, but the multi-chain era is in full swing, with the TVL growing constantly across layer2s. Outside of the Ethereum mainnet other smart contract chains are increasingly gaining popularity.

Crypto savvy people are looking for robust bridge solutions to move their assets between networks. The native layer2 bridges are using lock and minting to produce canonical assets. Third-party bridges mint representative assets, which creates a new validation mechanism that creates security risks. Why? Because using representative assets is a sub-optimal approach to bridging because no one pays for security!

Intents bridges use intents to help users transfer canonical assets between chains. With intents, the user expresses their intent, and a market maker will front the order.

The system maintain security while offering an optimal user experience. As relayers front orders with canonical assets, users do not take on any additional risk. Across uses canonical assets through an intents-based framework which created a faster, cheaper way to move between chains.

How Across made it work? When the user indicate that they want to transfer cryptocurrencies, the relayers will compete to fulfill the requests at the destination. There is a trade-off here, as the relayers expect a return on their capital, but it is really cheap! If the relayers are willing to lend out their capital at a 10% interest rate for a duration of one hour... the loan will cost approximately 0.01%.

The simulation with 10% rate is annualized and there are 8,760 hours in one year. That means the cost of the loan is just 0.001142%, or roughly 0.1 basis points, for the one hour loan. As relayers only make short-term loans and the system makes gas optimizations, the costs of using canonical assets is very low. Learn more about secure value transfer and cross-chain interoperability

Across now accounts for about a third of all bridging volume across the supported routes and tokens. This is up from 10% in January 2023, as savvy crypto natives have flocked to Across for its price and speed benefits. The next cycle will be a cross-chain cycle, and the winning bridge will be the one that offers the best UX.

Truts works similar to an intents-framework, where users can check the best rated web3 projects and use those that fit their needs. Truts help web3 users to find the best communities, and earn from the engagement. Missions were added for those that wanted to discover and contribute, and the XP system integrated rewards for the top users.

The Across community on Truts was good reviews, but can do with more positive feedback from those that used the bridge and were impressed! If you are one of the crypto savvy people that opted for the best cross-chain protocol... please live your comments!

I am an overachiever, and being number one is mandatory! I am bullish on $ACX and the Truts community knows that! Being the leader is hard, but it's always rewarding! Since I started using Truts in 2023 I was constantly rewarded! I won a cold Cyberock wallet worth $400, NFTs and bags of crypto!

I know the team works hard behind the scene to keep the users both updated and rewarded! I like to be the "numero uno" in everything I do .. but on Truts I must accept the runner-up spot! Can you challenge my place on the leaderboard?