"Most bridges are not secure", Chainlink founder

September 29, 2023

But he believes that Chainlink's CCIP is a step in the right direction.

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Chainlink's co-founder, Sergey Nazarov Nazarov thinks most cross-chain bridges are about as secure as a screen door on a submarine.

The issue?

They’re not really decentralized.

Many are just a single server transmitting information and value between two chains.

That's what Nazarov calls “decentralized theater,” to gain more capital.

His solution?

A network with multiple nodes run by independent entities, operating on one single network.

He believes that Chainlink's CCIP is a step in the right direction.

What’s CCIP?

Simply put, CCIP (short for Cross-Chain Interoperability Protocol) allows cross-chain interactions.

It provides a single interface that allows dApps and web3 products to build cross-chain interactions like token transfers and arbitrary messaging.

It has two networks to validate and execute transactions, plus a 3rd network called “Risk Management Network” to approve or deny transactions based on risk parameters.

3rd network doesn’t execute transactions and is important to avoid shutting down all the notes in the network.

CCIP launched on Arbitrum and Base last week.

If you’re curious, read more here.

Big banks like BNP Paribas and BNY Mellon are already hopping on board to test tokenized asset transactions.

Pointing to recent hacks like the $200M breach in Mixin Network, he slams the industry for using decentralization mostly as a buzzword.

He thinks that only Bitcoin, Ethereum, and Chainlink are decentralized.

Other networks are just creating a smokescreen of decentralization while running centralized servers underneath.

Rated: $12.9M

Provider of ratings for Ethereum validators and node operators Rated raised $12.89M in a Series A funding round led by Archetype, with participation from Placeholder, 1confirmation, Cherry Ventures, Semantic Ventures, Robot Ventures, Chorus One, Factor Ventures, Maelstrom.

https://www.rated.network/

Sources

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