What are bridges in Blockchain and how do they work?

A conversation with Glitter Finance co founder David Dobrovitsky on bridges in blockchain – what are they, how do they work, what can be the problems?

Benefits of bridges

Interoperability – Cross-chains solve the problem of interoperability within the blockchain ecosystem, and users can transfer assets to other blockchains without sacrificing the advantages of the host network.

Cross-chain collateral – This feature enables DeFi users to transfer assets from a blockchain with value but little decentralized applications (such as Bitcoin) to another blockchain with a developed ecosystem (like Ethereum, Cardano or others).

Scalability – Blockchain bridges designed to handle high transaction volumes ensure greater scalability. The scalability makes it possible for DeFi developers to deploy their applications and users to enjoy such services without giving up the original blockchain’s liquidity and network effect.

Efficiency – DeFi users can make and receive micro-transfers faster with cross-chain bridges without paying high transaction fees. This is especially important for the blockchain gaming and ecommerce experience.

To learn more, tune into this episode. Your host is Jillian Godsil