Dominant decentralized oracle provider Chainlink has launched an app that enables the cross-chain transfer of cryptocurrencies. Called Transporter, the app will allow the transfer of tokens across the Arbitrum, Avalanche, Base, BNB Chain, Ethereum, Optimism, Polygon, and WEMIX networks.
“Bridging crypto across chains has historically been a risky activity, with bridge hacks accounting for nearly 50% of all value hacked in DeFi,” a Chainlink spokesperson told Decrypt. “Transporter leverages Chainlink CCIP’s (cross-chain interoperability protocol) unmatched levels of security and reliability to finally give users peace of mind when sending tokens and messages cross-chain.”
Transferring tokens from one chain to another is a key part of using cryptocurrencies, but has long been a risky activity. In 2022, Chainalysis found that attacks on bridges accounted for 69% of total funds stolen with one crypto bridge exploited for $190 million—even gaining attraction from North Korean-linked hackers. Chainlink believes its CCIP has a security level which will see these alarming figures dip.
“Secure bridging is key to unlocking this fast-growing industry for more mainstream users,” a Chainlink spokesperson told Decrypt. “Transporter empowers users to move crypto across this multi-trillion dollar ecosystem in a highly secure manner, which helps connect fragmented onchain environments and unlock siloed liquidity.”
Security aside, bridging protocols are often clunky and hard to use. We’ve seen a rise of bridging apps lately attempting to address this issue. The most notable being Wormhole which attempted to remove some of the “typical hurdles of cross-chain interactions” but has had mixed reviews.
“Transporter addresses the historical UX (user experience) challenges of bridging,” a Chainlink spokesperson told Decrypt. “By providing users with a seamless interface to transfer tokens and messages cross-chain and giving users visibility into the exact state of their cross-chain transactions.”
Transporter promises to provide “real-time visibility” of cross-chain transactions, meaning you can track your assets at every step of the transaction. Done through the Transporter app or Chainlink CCIP Explorer, this will give users “peace of mind” when bridging tokens.
“Bridging crypto shouldn’t feel like throwing tokens into a black hole,” the Chainlink spokesperson said. “Too often cross-chain bridging apps are needlessly opaque in showing users what’s happening during a transfer, leaving them wondering about the status of their tokens. With Transporter, users can see the exact status of their transfers across chains using CCIP.”
Using the app, users will only be charged the standard fees for using Chainlink’s CCIP—which covers gas cost and service provider costs. According to Chainlink, this fee is 0.063% if you pay with LINK or 0.07% if you pay with wrapped gas tokens.
On launch, venture capital firms Fourth Revolution Capital and Moonrock Capital will be adopting the technology. Both seeing Transporter “playing a significant role” and becoming the new “standard” for cross-chain transactions.
Edited by Stacy Elliott.