While we still not be riding the bulls at this time, that doesn’t mean that Decentralized Finance (DeFi) hasn’t seen a meteoric rise in popularity over the past few years. With this, cross-chain swaps have emerged as a crucial component in unlocking the full potential of it, as they facilitate asset transfers between different blockchain networks, enabling greater liquidity, efficiency, and accessibility.
In previous blog posts, we have covered many of the issues facing cross-chain interoperability and the way much of it is still done via the slow process of figuring out the best DEXs and bridges to use and navigating each of them.
In order to better show those who are new to Magpie Protocol, maybe you’ve just recently joined us through The Magpie Mafia, what we’re all about, today we’ll talk about how Magpie is solving obstacles in DeFi of going cross-chain, including security vulnerabilities, scalability concerns, and the user experience.
Security & Vulnerabilities 🔐
Security remains one of the top concerns for those who spend much of their time in DeFi, and making your way cross-chain is one of the areas in which many are most concerned (see our previous blog post about the billion dollar bridge problem here). The complex interactions between multiple blockchains and smart contracts introduce new systems and vectors that bad actors could potentially exploit. Vulnerabilities such as smart contract bugs, oracle manipulation, and token-related issues can put yours and others funds at risk.
To ensure the integrity of Magpie Protocol, we’ve gone through multiple rigorous security audits by D3ploy. Audits help identify and rectify any potential vulnerabilities or issues. Through Magpie’s audit, we were found to have no Critical, Major, Medium, or Minor issues. Additionally, our informational and discussion issues are currently being worked on or have been addressed by the team.
Bug Bounty 🐞
Implementing a bug bounty program encourages white-hat hackers to find and report vulnerabilities responsibly, rewarding them for contributing to the security of the protocol. Magpie Protocol has recently launched our first bug bounty program through ImmuneFi, where we are challenging all the wise old owls out there to help us find anything that may be of concern.
Magpie is non-custodial, meaning that we are never in control of your assets and utilize existing reputable liquidity sources in order to facilitate swaps, lessening risk compared to custodial bridges and cross-chain swap services.
As DeFi expands, scalability becomes an issue for both the chains being used and the protocols that facilitate swaps on and between them. The growing demand for efficient asset transfers across various blockchain networks can lead to network congestion, higher fees, and slower transaction times. You can read about how Magpie is helping to solve scalability issues here, but we’ll go over a bit of it here for all the new birds out there.
Magpie aggregates billions in liquidity from DEXs and bridges across seven of the most popular blockchains in DeFi. This means is that as blockchains grow in popularity, Magpie provides the an easy, secure, efficient, and the most user-friendly way to find the best deal on tokens without having to worry about where to go to get them or how to find them, no matter which chain you’re on or trying to go to. Don’t worry about finding the DEX with the most liquidity or lowest price, we’ll find it for you.
User Adoption 🧑💻
We all know by now that for DeFi to receive mass adoption, it is necessary to provide an intuitive and user-friendly experience. Many potential users may be unfamiliar with the complexities of blockchain technology, making it challenging to onboard new participants. This is where Magpie comes in to help.
Simplified User Interface 📲
Creating a user interface that abstracts away the technical complexities and provides a straightforward, easy-to-understand and use process can make cross-chain swaps easier for everyone, and more welcoming to those new to DeFi entirely. Magpie’s interface is incredibly intuitive and allows users to easily swap on or cross-chain in just a few clicks, it really doesn’t get easier.
Offering educational materials and documentation can help users learn to navigate DeFi more confidently. At Magpie, we have what we like to call Wednesday Wisdom, where most Wednesdays we will post a new blog to our Medium page here to help users learn about and understand both how things work in DeFi and how Magpie is tackling those same issues. Be sure to come back each week and learn a bit about what’s going on in the world of Magpie, it just takes a few minutes.
What wallet should you use, what is it compatible with? We’re trying to help solve this issue as well. Currently, you can use one wallet if you’d like across all seven chains that Magpie supports: Ethereum, BNB Chain, Polygon, Avalanche, Arbitrum, Optimism, and Polygon zkEVM.
With Magpie, when your wallet is connected to our protocol, we will import all your tokens and balances information to our app, so there’s no need to constantly switch dApps to see what you’ve got. Rather, you can carry out your swaps and check your balances — all from one place!
Cross-chain swaps hold an enormous amount of potential to revolutionize DeFi by birdging, sorry, bridging the gap between blockchain networks and unlocking a multichain world of new possibilities.
As Magpie helps solve these issues, we move closer to a future where cross-chain swaps play a pivotal role in reshaping the financial landscape, offering unrivaled accessibility and opportunities for all.