Steemit Crypto Academy Contest / S5W1 - The Blockchain Bridge

Hey friends,

It's with great pleasure that I am submitting my first entry for this engagement contest in this community, as always the topic looks amazing. It was indeed a new topic to me but it has also become a very educative and knowledgeable one. It's indeed a self-explained topic because most of us are already used to the term "Blockchain" and "Bridge" which brings about "Blockchain Bridge"

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What do you understand by a blockchain bridge? And what necessitated bridges in the blockchain.

The term Blockchain Bridge as I had earlier said was coined from two different words Blockchain and Bridge, we all know that the term Bridge always has to do with a link, a pathway of a portal between two objects, mass or substance.

So, therefore, a Blockchain bridge can also be defined as an intermediary between two Blockchain technology so that data can be sent across two individual Blockchain. A blockchain bridge is a protocol that allows interactions between two economically and technologically distinct blockchains. These protocols act as a physical bridge connecting two islands, with the islands representing separate blockchain ecosystems. A blockchain bridge is a development on a blockchain that allows it to easily communicate and exchange data with other blockchains. Blockchain bridges make it simple to exchange cryptocurrencies between different blockchains, share data, sign smart contracts, and many other tasks that would otherwise be impossible without the use of a bridge.

As we all know physical bridge help connect two lands and it was aid successful transportation, communication, and interaction between both lands, In the same way, the Blockchain bridge aid connection, communication, and interaction between two different and individual Blockchain technology.

Also, I want to give another example, just as an interpreter would help improve communication, and interaction, communication between two different language-speaking individuals like an English-speaking British citizen and a Latin-speaking Brazilian, although both individuals can't interact because they all have a different tongue or language but the interpreter will help create an understanding of the information or message the other individuals is about the past.

And what necessitated bridges in the blockchain.

You might be wondering why such awesome technology which might have spent much time to develop was actually innovated or developed

As we had earlier said the major reasons for the development of the

• Cross-blockchain collateral

Before the submission or collection of collateral on the Blockchain was so stressful as Blockchain couldn't be used as collateral for another Blockchain but the scientist can together discover this awesome technology known as Blockchain bridge to help make cross-chain collateral easier and possible.
The new blockchain known as cross-blockchain collateral allows users to transfer digital assets from a blockchain with significant value but few dapps of its own, such as Bitcoin, to one with a developed Defi ecosystem and a need for additional liquidity, such as Tron, Steem, Ethereum, or Litecoin.

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• Improve Blockchain Efficiency.

This Blockchain technology was lacking behind with some restricted features when it was first innovated of which this cross-blockchain collateral was among but now new innovations and projects like Blockchain bridge have brought new flexibility into the Blockchain ecosystem. Now users can send and receive micro transfers quickly and without incurring high transaction fees, resulting in improved gaming and e-commerce experience.

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What are the benefits of the blockchain bridge? How does the bridge work?

• Since the discovery of Blockchain bridge the had been an improvement in communication between different blockchain technologies, this improvement has made so many things easier because before extra time and cash is spent from swapping and transferring data or assets from one Blockchain to another.

• Before the innovation of Blockchain bridge transfer of assets and messages across other Blockchain technology has really been stressful and expensive because it has to go through a third-party software which will surely charge for their activities or services. This Blockchain bridge has helped us traders or Blockchain users bypass this expensive experience, so therefore we wouldn't be needing any third-party software to interfere with our transactions.

• Safety of assets

So many have lost valuable assets because they were searching for third-party software to help swap or change the asset due to cross-blockchain activities were not acceptable, but with the help of Blockchain, bridge users don't have to undergo such risk of going through fake third-party agencies or software. Now transactions can occur directly between different blockchain technologies without any sort of conflict or problem

As blockchain technology is adopted in more areas, the need for data communication between blockchains grows. As Blockchains are considered to be a closed system, this distinct recurring problem in Blockchain emerged: a lack of communication (data sharing) between Blockchains. Blockchain initially communicated with Blockchain oracles, which act as a mediator (data translators) between two Blockchains or between real-world data and a Blockchain.

How does the bridge work?

Before now for a transaction to occur between two different blockchain assets like Steem and Tron it's either the Tron is swapped to Tron or the Tron would be sold out on any exchange to buy steem with equivalent value or worth. Now with the help of Blockchain bridge that long process that will cost a trader more can now be overlooked and ignored because when a trader wants it has between two different blockchains he can do it by using Blockchain bridge which would lock or freeze the trader asset, then a new wrapped version of the asset would be printed for the trader to use. This wrapped asset would be compatible with the new asset Blockchain.

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First, a token equivalent is locked within the Blockchain, and a synthetic derivative is minted within the Blockchain. The minted derivative is displayed as a "wrapped" token in proportion to the locked token. The wrapped token is moved to the second Blockchain.

For example :

If I have $500 worth of Steem and I want to use it to perform a transaction on Tron Blockchain, instead of selling my Steem asset and buying Tron asset I could use Blockchain bridge that would freeze or lock my asset in Steem Blockchain and print $500 worth of wrapped Steem token which would be easily compatible with TRX (Tron Chain), this would be sent to my Tron wallet automatically.

A Wrapped assert is any Cryptocurrency that has undergone tokenization for some important reasons or conditions, In other words, a wrapped Steem is a tokenized version of Steem Cryptocurrency. One good fact is that this wrapped asset can be used in every transaction just as every other asset, also it's said to be pegged to the asset it represents. This wrapped asset remains until you feel like unwrapping the token, this is done easily by reversing the step used for wrapping the asset

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Highlight the types of blockchain bridges by category. Pick an example of a blockchain bridge in existence and explain how it works.

• Trusted Bridges

One unspoken disadvantage of blockchain bridges is centralization. Users must give up control of their coins to convert them to another cryptocurrency, essentially putting their trust in the hands of someone else. If you've ever seen a wrapped token, like wBTC, it's because of this process. They take your Bitcoin and "wrap" it in an ERC-20 contract, giving it the functionality of an Ethereum token.

When transferring a large amount of cryptocurrency, trust-based bridges are a quick and cost-effective option, but the pool of reliable services is relatively small. Venturing into less-known brand territory can increase risks, making it unappealing to smaller traders.

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• Trustless Bridges

The second type of bridge for blockchain networks is a trustless blockchain bridge. The trustless variant, as opposed to a trusted blockchain bridge, makes use of algorithms and smart contracts over a blockchain network. As a result, a trustless blockchain bridge requires no central intermediaries or custodians.

Users are not required to entrust their assets to any central authority. Furthermore, a trustless bridge provides complete transparency by leveraging the benefits of mathematics, computer science, and cryptography for transaction security. Furthermore, users have complete control over their assets at all times, for example, Binance Bridge.

Pick an example of a blockchain bridge in existence and explain how it works

Allbridge

Allbridge is one of the most famous and effective Blockchain bridges which has successfully helped so many traders perform cross-blockchain collateral in the past years without much charge, it is among the most latest but successful Blockchain on the net. I love this bridge because it supports both EVM Compactible like polygon, L2, and Non-EVM Compactible like NEAR Blockchain.

Allbridge supports all sorts of native token transfers just as it supports the famous mint-and-burn method, which permits traders to perform large-scale transfers worth millions.

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How to use Allbridge

• Visit the official site allbridge using this link, you could also download their official application

• The Sender should connect his or her wallet to the application by following the steps on the site.

• The Receiving wallet should also be connected
  to the platform, so wrapped tokens can be received.

• Successfully send your asset to be Locked and wait to receive the wrapped asset

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Are there limitations to the blockchain bridges? What do you think about the future of blockchain bridges?

Yes, they are so many downsides, loopholes, or limitations to Blockchain bridge, despite its awesome features and potential, just like every other project, there are disadvantages and downsides of Blockchain bridge.

• Cyber hack:

As we all know no online platform is 100% safe or free from cyber attacks, no matter the security measures taken by the company or project there must be one or two loopholes in the software. With so much skilled and experienced hackers these loopholes in the software can be detected and used against the software owners and their users. All Blockchain bridges whether Centralized or Decentralized can be hacked by skilled hackers, so therefore it's not 100% safe to use.

• Centralized Theft

One major problem with Blockchain Bridges especially those built on a centralized authority is that assets stored on these bridges could be altered and stolen by the center bodies like admin or developers because they have special access to all assets on the platform, this has occurred so many time, especially in a crypto market where fake coins are created to scam people of the money just like Ponzi scams.

• Not Compatibility between Blockchain

Some Blockchain working strategies had been really difficult to compact with some Blockchain assets, for example, we know Steem transaction processing speed is faster than that of bitcoin and this might affect the transaction speed and efficiency between these Blockchains

What do you think about the future of blockchain bridges?

It's no News now that the future of blockchain and Blockchain-related projects like Blockchain Bridges, even though it has so many downsides, its advantages are too go to let fade away. In the future I believe more projects would be built on new and existing Blockchain technologies, this would also force the government to fully accept and adapt to Blockchain and Cryptocurrencies trends.

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Conclusion

In conclusion, I would say Blockchain blocks are an awesome project which makes the use of Blockchain and Cryptocurrencies easier, faster, and better for all users, although just like every project which has a downside, its advantages are too awesome to ignore.

Thanks for going through it, starrchris cares ❤️.

Please drop a vote and comment if you like the post, I am inviting @patjewell @jueco @badmusofficial, and @drqamu to participate in this contest.