What are Blockchain Bridges? Here is everything you need to know
Despite the growing number and scale of blockchain networks, they remain largely isolated from each other, like islands with their own cultures and economies that cannot share information or value with the outside world.
The fragmented nature of today’s blockchain networks contradicts the ideal of decentralization and re-establishes the fragmentation of the current centralized web.
Not only does a lack of connectivity across blockchain networks prevent decentralization, but it also affects the technology’s development and efficiency (by limiting innovation, economic growth, and free trade). In general, applications designed for one network only work on that network, limiting their chances of widespread use.
This is why several projects tackle this problem by developing “bridges” between networks. As a result, blockchains will become interoperable, allowing apps to leverage each other’s services and strengths.
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What are blockchain bridges?
A blockchain bridge connects two blockchain ecosystems in the same way that a real bridge connects two physical locations. Bridges offer connectivity across blockchains by transferring information and assets.
Let’s say you want to move a cryptocurrency from the original network to another network for usage purposes. A bridge between these two blockchains will make such a transaction possible. Otherwise, you have to sell your coins and buy the other coins native to that blockchain network, or you have to exchange the coins.
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What is the goal of blockchain bridges?
All blockchains grow in isolated ecosystems with unique rules and consensus methods. This means that they cannot communicate naturally, and tokens cannot move freely across blockchains.
Bridges exist to connect blockchains so that information and tokens can be transferred between them.
Bridges allow for:
Moving assets and information across chains.
DApps to access the strengths of other blockchains, and improve their capabilities (as protocols now have more design space for innovation).
Users can access new platforms and reap the benefits of various chains.
Developers from different blockchain ecosystems will collaborate to create new platforms for users.
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