A Better Solution For Blockchain Interoperability Is Needed

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Blockchain bridges play a crucial role in the world of cryptocurrencies, providing a solution to the lack of interoperability between decentralized networks. 

Using a blockchain bridge, it’s possible to port assets from one blockchain, such as Solana, to a second network, like Ethereum. The way it works is that if a user sends a token from Solana to Ethereum, the recipient will end up with a “wrapped” version of that token that’s held by the bridge they use. So in this case, the Ethereum user will receive a wrapped version of SOL that’s compatible with the underlying blockchain.  

Blockchain bridges therefore open up new markets and use cases and demonstrate the path towards an exciting, multichain future. However, despite being an incredibly useful innovation, blockchain bridges also bring new problems. 

One of the main types of blockchain bridge is the unidirectional, or one-way bridge, which only allows users to port assets in one direction - to the target blockchain, but not the other way round. So, the Wrapped Bitcoin bridge makes it possible to send Bitcoin to Ethereum. The user converts their BTC into WBTC, which is an ERC-20 stablecoin that’s pegged to the value of BTC. However, it’s not possible to use this bridge to send ETH to the Bitcoin blockchain. 

We also have bidirectional blockchain bridges such as Multichain and Wormhole, which are two-way bridges. In other words, users can convert their assets back and forth between two different blockchains. It’s possible to send SOL to Ethereum, or alternatively send ETH to Solana, for example. 

It’s also important to note that