How to Create an Efficient and Stable Cross-chain DeFi Platform?

Cross-chain as the only route for a better DeFi future

According to the on-chain information, in DeFi, the staking on Ethereum has exceeded $60 billion, and the total staking on other ecological BSC, HECO, Solana, etc. is close to $20 billion. There is no doubt that Ethereum is still the DeFi King. However, the prosperity of DeFi has overwhelmed Ethereum, leading to the increasing network congestion and rising fees. As a consequence, the Ethereum ecosystem has become the battlefield of a small group of rich people and scientists. It is difficult for ordinary users who are troubled by high fees to profit from it.

Difficulties of realizing cross-chains DeFi

As the demand for interoperability of different chains increases, the circulation of assets across chains in DeFi is getting more complicated. This is because different blockchains have different ledgers and different wallet addresses; therefore, it is not easy to participate in cross-chain DeFi activities, such as liquidity mining, lending, and trading.

HurricaneSwap’s cross-chain solution

HurricaneSwap is a DEX platform that supportscross-chain transactions of multiple chains. By using the Avalanche Protocol technology, HurricaneSwap can seamlessly connect transaction pools through a relayer — Station that is based on the Roke Protocol.

Minting process
Burning process

Highlights of HurricaneSwap

Free flow of heterogeneous assets

The free flow of heterogeneous assets is the biggest difference that distinguishes HurricaneSwap apart from other DEXs, such as Uniswap, PancakeSwap, etc., which are built on a single public chain and only support assets corresponding to that public chain. HurricaneSwap, on the other hand, is a cross-chain transaction platform that builds a marketplace for tokens between different chains.

An Efficient and stable cross-chain solution

Currently, there are two main forms of cross-chain solutions in DeFi. One is centralized custodian. For instance, WBTC relies on the centralized institution BitGo for issuance, and users must trust the issuer or custodian. However, as the centralized institution is not transparent, users cannot be fully informed of the actual situation of the institution, which is to a certain extent contrary to the spirit of blockchain. The other is cross-chain bridge, which provides a compatible channel between two public chains operating with different rules. This approach allows one chain to obtain the transactions occurring on the other chain through the prophecy function, and mint new assets on one chain while burning the same tokens from the other chain. Compared with the first method, this method is relatively decentralized, but users need to apply for the mapping from the cross-chain bridge. Users can only trade after obtaining the mapping assets, which is cumbersome operation process.

Highly scalable

HurricaneSwap is based on the Avalanche protocol, which is an efficient underlying public chain with a transaction confirmation delay of only 4 seconds and a transaction count of more than 6000 per second. Avalanche protocol is featured with fast settlement, low latency and strong scalability. It can meet the scenarios of high frequency transaction and can also interact with any chain tokens connected to the Avalanche protocol. Apart from this interoperability, it provides faster settlement and has lower transaction fees.

Summary

HurricaneSwap is not just a cross-chain DEX. Its ultimate goal is to base itself on the Avalanche and Roke protocols and create a cross-chain DeFi platform to realize the interaction of assets on different chains. HurricaneSwap is not only a transaction scenario in the future, but also can introduce more functions, such as cross-chain lending, derivatives, etc.. It is highly possible that HurricaneSwap will be the infrastructure for various DeFi applications.

1st Cross-Chain Liquidity DEX based on Avalanche https://hurricaneswap.com/