Vitalik Buterin is skeptical about the cross-chain ecosystem
On January 8th, Ethereum co-founder and core developer Vitalik Buterin tweeted a link in a Reddit post in which he discussed his belief in a multi-chain future, but he The cross-chain ecosystem is skeptical that as the number of cryptocurrencies held in cross-chain bridges increases, so does the incentive to hack attack on them, and their would be more serious consequences.
If you move 100 ETH to a cross-chain bridge on Solana network to get 100 Solana-WETH, no one will attack Ethereum 51% just to steal 100 Solana-WETH (or, 51% attack Solana just to steal 100 Ethereum-WSOL). But if there are 10 million ETH or SOL in the bridge, the incentive to attack becomes much higher, and large mining pools can coordinate well to be attacked.
Therefore, cross-chain activity has an inverse network effect. The network is fairly secure when there is not much cross-chain activity, but the more cross-chain activity, the greater the risk.
As an important trading venue for asset circulation and pricing, the encrypted asset trading platform has been paying attention to the development and latest developments of the cross-chain bridge. How to reduce the risks brought by cross-chain activities is the first problem that the platform needs to be solved.
How do exchanges view cross-chain bridges?
Founded in 2018, Coinbetter mainly provides one-stop services such as currency, fiat, contracts, and lending for international users in Europe, North America, and Oceania. Since its establishment, the team has made unremitting efforts and has been occupying a position in the international market. After three years of product polishing in the encryption industry, a group of mature technical teams have been formed, dedicated to creating a safe, reliable, smooth and easy-to-use digital asset trading platform.
Coinbetter believes that supporting users to realize the interoperability of blockchain assets is not only to explore the possibility from the cross-chain bridge itself, but also to support the interoperability of public chains. There are three reasons:
First, whether it is to link Ethereum self-built cross-chain bridge, or a third-party cross-chain bridge based on capital pools (Anyswap is more typical example), or a cross-chain based on underlying protocols (such as Cosmos’ IBC, Polkadot’s XCMP), each chain and a chain in between, there are different bridges, and it is difficult to have one bridge to unify all the chains;
Second, most bridges are not very capable of capturing value, the bridge toll is too high, and the market scale cannot be increased; the bridge toll is too low , no income, for the entire blockchain system, the bridge is a low-frequency just-needed product;
Third, the current blockchain system public chain shows a multi-chain parallel development trend, with the number of public chains and Layer2 projects increasing with the increase and the gradual improvement of their respective ecosystems, the demand for cross-chain user assets on the chain will also increase rapidly. Without the exchange, the effective and convenient flow of assets between the public chain and other smart chain cannot be formed. The encrypted exchange has the ability to support the public smart chain desposit and the natural properties of withdrawal.
Coinbetter technical team has created a super cross-chain bridge between on-chain assets and multiple public-chain assets, which enables the fastest, unimpeded spot transactions of cryptocurrencies, truly realizing the convenience of user asset transactions.
In 2021, under the cover of the global regulatory policy of suppressing cryptocurrencies, the homogenized competition between platforms will become more and more obvious. How to highlight the advantages of the platform and establish a good reputation of Coinbetter in the minds of users, based on the super cross-chain bridge. The user’s convenient transaction experience is the killer of the platform’s user fission.
The first share of the crypto exchange, Coinbase, has been grinding a sword in 9 years and successfully landed on the Nasdaq stock market in the United States in 2021. Who will be the next Coinbase? Let’s witness together that Coinbetter has a bright future.