On January 7, 2022, Ethereum co-founder Vitalik Buterin warned about the security of cross-blockchain bridges. He presciently argued that bridging assets across blockchains would never enjoy the same guarantees as staying within one blockchain. He was right.
The safe convertibility of assets between blockchains is not guaranteed. To be precise, no one can actually “send” nor “bridge” an asset to another blockchain. Instead, assets are deposited, locked, or burned on one chain; then credited, unlocked, or minted on the second chain.
Worse, blockchains cannot access off-chain information. No blockchain can natively verify that any multi-blockchain asset is “bridged.” At best, third-party oracles attest to the truthfulness of off-chain information and interpret that data for on-chain use. However, this introduces the first layer of trust to the bridging process: trust in data oracles. The next layer of trust is custodians.
Typically, bridging occurs by depositing one asset with a...
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