Crypto Bridge
Protocol for transferring tokens between different blockchains.
A crypto bridge is a protocol that allows users to move tokens or value between two different blockchain networks.
Example: You have ETH on Ethereum mainnet and want to use it on Arbitrum (L2). You use a bridge that: 1. Locks your ETH on Ethereum 2. Mints an equivalent amount of "wrapped ETH" on Arbitrum 3. When you return, "burn" wrapped ETH, original unlocks
Most popular bridges:
•Stargate — cross-chain liquidity bridge
•Across Protocol — fast and cheap
•Arbitrum/Optimism Official Bridge — but slow (7 days to withdraw)
•LayerZero — omnichain messaging protocol
Bridge risks:
•Bridges are the most frequently hacked sector of DeFi
•2022: Ronin bridge hack ~$625M, Wormhole ~$320M, Nomad ~$190M
•Always use audited, well-established bridges