How does Cryptolink build a trustless bridge to revolutionize interoperability?
In this episode, Revelo Intel Founder Nick Drakon is joined by Atlas, CEO of Cryptolink, to discuss interoperability, building a trustless bridge, inevitability of multichain and more.
Read our notes below to learn more.
About Atlas
He’s been in the technology field for two decades.
Programming since he was in 3rd grade.
He has an extensive security researcher background.
Worked as an Agile coach on and off which helped him with the team building and organizing engineers.
He’s been building quadcopters before they were even available to be purchased.
Works as an amateur radio operator that builds radios to talk to people around the world including satellites.
They have around 15 to 20 operational satellites that amateurs have built and launched.
Interoperability
It’s very hard for people to really harness the power of the entire ecosystem when they’re split in so many different sectors.
The hot chain today may not be the hot chain tomorrow.
If there isn’t interoperability, there will be a lot of people stuck in their silos and not actually experiencing the other chains to give them the attention they deserve.
Approach on Fragmented Liquidity
One of the reasons he started the project a year ago was because of fragmented liquidity.
If a project wanted to go cross chain, not only do they need to have the liquidity in the DEXs for people to do swaps on, they would also need to duplicate all that liquidity to whatever bridge they will integrate.
They developed a L0 messaging channel.
They built a chain on top of the chains and the engine of this chain is smart contracts on all of the chains they’re on.
Having a smart contract on one chain that wishes to interact with a smart contract on another chain can be done with no liquidity and would just require passing messages in a secure and decentralized way.
Blockchain is a collection of data and databases so integrating these databases together is really a big infrastructure play that makes the world a lot smaller.
The problem & current solution
CEXs are kind of the middlemen that the industry is trying to get away from yet they are being relied on in terms of transferring value between different chains.
The whole point of DeFi is liberating things out of the hands of centralized players and middlemen.
Crypto at its core is built on zero trust algorithms.
The problem right now is transferring value and information across different chains while keeping it to the core of zero trust algorithms in a decentralized way.
Why multichain is inevitable
Any system that is stuck in a silo will be left behind.
Interconnections gave birth to the internet that we see today.
There’s going to be many different infrastructure projects that will have their own technology, benefits and shortcomings.
The internet is decentralized.
Cryptolink’s product suite and approach to interoperability
Being decentralized and being involved with the communities are keys to this approach.
They developed a way to trustlessly send messages between chains but still have the verification that those messages are correct.
They’re building a foundation for people to build the next great DeFi projects.
Everything they do revolves around what they call “Trustless bridging as a service” or TBaaS which allows projects to easily integrate with a message bridge without ever having to trust the bridge.
If there’s an instance that there will be malicious actors that will attack them, projects integrated with them have zero risk.
It’s very known to security researchers that nothing is secure.
TODAY’S EDITION IS BROUGHT TO YOU BY TREZOR HARDWARE WALLET
Navigating the waters of crypto is risky; even the biggest CEXs & stable coins can have huge risks…
Act now, click the link below & become your own bank via self-custody.
He wrote in Github an ERC-20 bridgeable and ERC-721 bridgeable extension so if anybody wanted to have a token or NFT that is natively cross chain, they just extend from that in their solidity contract.
Their TBaaS is already live which is a B2B product.
TBaaS will enable developers to integrate with it to enable cross chain messaging in their projects.
They’re going to a fully decentralized model which is a cornerstone of the V3.
They’ve partnered with Prisma Shield which is a deep logic auditing firm and verifies that everything stated in the whitepaper is true and works exactly how it’s stated.
The true part of decentralization is the community miners.
Business Model
They take 0.5% of the values that go across chains.
Most of the revenue goes back to the community miners and validators.
They give 10% to LPs of their Any-to-Any swap product that’s built on top of their TBaaS.
Their core supporters are rewarded with a token called $INK and its holders get percentages of revenue as well and voting rights.
Any-to-Any Swap
It is a B2C product.
They have an auto routing feature that enables cross chain swaps all in one click without requiring to know where the liquidity comes from.
It is only available on testnet right now.
Auditors are currently looking over and triple checking everything.
They have it running on 8 different testnets.
The core underlying feature of it is TBaaS and at its core is just sending messages.
When swapping a token from one chain to another token on another chain, that is converted into an instruction set to let the bridging technology know what the user is intending to do.
When an instruction set is executed, the message is sent to their any-to-any DEX on the source chain which uses aggregators.
Trustless Bridge
Their TBaaS is powering their in-house bridge and they do that through their ‘paper token’.
Their paper token is a token that users can turn into any token they want and they use that to transfer actual value across chains.
Part of their proof of stake is providing liquidity in the paper and chain native pair.
Cryptolink’s security and why bridges get hacked
They don’t really believe in wrapped tokens.
The value transfer of their any-to-any native DEX is paired with natives in the existing Uniswap V2 type liquidity pools.
Some issues in bridges are centralization and insider jobs.
They’re keeping on par with the security of native blockchains.
B2B vs. B2C
In the short timeframe, their B2C products are more lucrative and do well in a bear market.
In the long timeframe, their B2B product is more lucrative because that’s an infrastructure play.
Future Takes
He likes to see others build on top of TBaaS because there’s unlimited things someone can do.
There will be more KYC in DeFi and more focus on onchain digital identity in the future.
Check out these important links
TODAY’S EDITION IS BROUGHT TO YOU BY TREZOR HARDWARE WALLET
Navigating the waters of crypto is risky; even the biggest CEXs & stable coins can have huge risks…
Act now, click the link below & become your own bank via self-custody.