A major issue when it comes to transferring assets from one blockchain to another involves bridges. According to data from Token Terminal between 2020 and 2022, over $2.5 billion was stolen by hackers due to vulnerabilities within bridge infrastructure.
In some cases, inadequate security levels were the cause. Last year, the Ronin bridge, which powers the popular Axie Infinity game, suffered a $600 million exploit that took six days to detect. The bridge operated with nine validator nodes, and the attacker overcame the hurdle of just five signatures needed to initiate withdrawals.
Even if security concerns are addressed, there may be other limitations such as limited support for tokens and extra steps for users to complete a swap due to differences in platforms.
In order for cryptocurrencies and decentralized finance to gain wider adoption, the user experience needs to be streamlined and intuitive. This includes providing cross-chain swaps in a couple of clicks and ensuring users retain custody of their assets at all times.
The pricing of cross-chain swaps needs to be resolved due to the volatility of crypto markets.
Cutting out bridges
Magpie is a project addressing the issues associated with bridges. This decentralized liquidity aggregation protocol aims to provide a fast and secure solution to cross-chain swaps supporting top blockchains. The protocol supports Ethereum, Polygon, BNB Chain, Avalanche, Arbitrum, and Optimism, delivering strong coverage across the most commonly used blockchains in DeFi.
Source: Magpie
Through Magpie Protocol, users can select the token they want to swap and the network they want it on, and hit Swap. All of this is done in a noncustodial, permissionless manner.
Source: Magpie
Magpie has launched a beta version of its DApp with a unique order routing system, examining multiple liquidity sources across major decentralized exchanges. The project continues to expand its support for new chains.
Looking ahead
Magpie introduced ‘The Magpie Mafia’ NFT campaign, offering users a fun and interactive way to earn XP in the Magpie ecosystem. The project has also revamped the user experience, with plans to expand support for more blockchains in the future.
In the future, Magpie plans to facilitate B2B client onboarding and seamless integration of the Magpie API into other protocols.
“I believe Magpie to be the next step in how we transact in a multichain DeFi. It’s an incredibly user-friendly, efficient and secure way to swap cross-chain and on-chain while providing the best prices you could ask for,”
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