Decentralized finance (DeFi) has made big strides in the last couple of years. The total value locked in DeFi protocols has crossed $100 billion, standing at $103.3 billion at the time of this writing. For the uninitiated, DeFi projects aim to offer the same services as traditional finance, but without the middlemen, a central oversight, or slow speed.
There are still several roadblocks to the mass adoption of DeFi. The gas fees, especially on Ethereum, are sometimes so high that they make no sense for small transactions, keeping millions of investors and traders away. On top of that, users experience liquidity issues when transferring assets across different blockchains.
Celer Network’s multi-chain network cBridge, which launched on the mainnent in July, is solving these and many other issues holding back the mass adoption of DeFi. cBridge is on track to surpass the $1 billion transaction volume just months after its mainnet launch. It is bringing blockchain adoption to the mainstream by delivering a cost-efficient and high-performance interoperable value transfer network.
The cBridge enables users to transfer tokens across Ethereum instantly, Polygon, Arbitrum, Binance Smart Chain, Fantom, Avalanche, Optimism, Fantom, xDAI, HECO, OKExChain, and others without any liquidity bottlenecks. It also solves the issue of an overly complex user experience that people encounter when transacting cross-chain.
cBridge 2.0: Big Improvements All Around
Celer Network is preparing to launch the cBridge 2.0 upgrade in the coming months, improving all participants. The cBridge 2.0 is currently in the first phase of the testnet. It offers a pooled liquidity model with a simple one-click cross-chain transfer flow. Liquidity providers will no longer have to run a node to provide liquidity. They can choose to delegate their liquidity to the Celer State Guardian Network (CSGN).
The cBridge 2.0 will also simplify the liquidity farming experience. When LPs provide liquidity to an incentivized liquidity pool, cBridge will automatically start liquidity farming without requiring LPs to take any additional steps for staking LP tokens.
cBridge continues to ascend . $600M in total cross-chain transaction volume achieved. Next target in sight. Much to our 20+ partners, 27K+ users. Moving forward together .
https://t.co/35fICZsz3A: most number of chains with the lowest fee in fully non-custodial mode. pic.twitter.com/Da5qFPm1qn
— CelerNetwork (@CelerNetwork) October 22, 2021
It also brings many developer-focused features like white-label frontend SDK and general message bridging for cases like cross-chain DEX and NFTs. The platform’s low transaction costs combined with a high-security and clean user experience attract developers and users to cBridge.
Celer Network claims that the upcoming cBridge 2.0 is built to provide “a much simpler user experience with a highly scalable and deep multi-chain liquidity management system to support billion-dollar daily cross-chain transfer volume to mass users.”
Celer is taking it slow with the cBridge 2.0 upgrade, taking enough time to test every aspect of the cross-chain network thoroughly. In recent months, it doesn’t want to leave room for security flaws, especially considering the number of major security breaches on multi-chain systems. The multi-chain networks are more vulnerable to attacks than other DeFi projects because of the number of components that facilitate cross-chain interactions.
Cross-chain DeFi is the future. Transferring value at a low cost between different Layer-1 and Layer-2 blockchains will become an integral part of the ecosystem. The upcoming cBridge with its simplified user interface and other improvements for all participants will give DeFi a major boost. It will open up more opportunities for users, liquidity providers, and developers.