Chain-Hopping Swaps
What is a Chain-Hopping Swap?
A chain-hopping swap is a mode that allows users to seamlessly transition from one blockchain network to another, swapping their tokens in the process. This innovative approach enables greater fluidity and flexibility for users to operate across various blockchain ecosystems without the need for multiple steps or complex procedures.
How Cross-Chain Hopping Works
YAD's cross-chain technology employs a combination of one-track swaps and native bridges. The cornerstone of this process is the native bridge, which forges a connection between Ethereum and L2 blockchains. Smart contracts ensure a secure and trustless asset transfer between these networks. Notably, these smart contracts are operational on both Ethereum and the L2 platform.
Here's a breakdown of the process:
Initiation of Swap: The YAD app starts a swap process on Ethereum, converting your selected token into one that's compatible with the bridge.
Asset Deposit: Your converted assets are then securely deposited into the bridge smart contract on Ethereum.
Token Minting on L2: After this deposit, the bridge smart contract mints an equivalent token on the L2 network. This token stands as a representation of the assets you initially deposited on Ethereum.
On average, the whole procedure, from initiation to completion, takes about 30 minutes.
Benefits of Native Bridges
Cost-Efficiency: Native bridges are notably cost-effective when considering gas expenses. There are no added fees with native bridges, making swaps significantly affordable.
Liquidity Flexibility: With native bridges, there aren't restrictions concerning the liquidity amount you desire to bridge.
Trustworthiness: Native bridges exude reliability. They have been developed by L2 blockchain network proprietors who continually oversee and maintain them. This maintenance is mutually beneficial, as it's advantageous for these proprietors when users transition their liquidity from Ethereum to their respective networks.
Integrated Native Bridges
Currently, YAD has integrated three native bridges. You can delve deeper into each of them by following the links below:
Network | Link |
Polygon | |
Arbitrum | |
Optimism |
Future Plans
Looking ahead, YAD aims to:
Initiate swaps within Layer 2 networks, for instance, moving from Arbitrum to Optimism.
Integrate bridges for additional networks such as BSC, Avalanche, and others.
Enable swaps from L2 back to Ethereum.
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