@engines

Cross-chain bridges allow the transfer of assets or data between different blockchain networks, enabling interoperability. These bridges act as connectors, allowing users to move tokens from one blockchain (e.g., Ethereum) to another (e.g., Binance Smart Chain) without needing to rely on centralized exchanges. Typically, assets are locked on the source chain and minted or issued on the destination chain, maintaining a 1:1 peg. Cross-chain bridges expand the utility of assets across various ecosystems, enabling users to access the best features of multiple blockchains. However, these bridges come with risks, such as smart contract vulnerabilities and potential exploits, since the assets are temporarily locked and managed by the bridge’s mechanism.

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