Gas fees make cross-chain transactions very expensive, hindering the free flow of crypto assets. So it’s not surprising that cross-chain bridges have grown at an unprecedented rate—a TVL increase of 89% MoM in October—as DeFi transaction volume booms in the bull market.
However, did you know that cross-chain bridges solve other problems besides (what are essential) crypto transaction fees?
As multi-chain projects and interoperability become key components of the industry, DeFi investors need to understand how cross-chain bridges work.