- Algorand has just announced that Swingby’s Skybridge is coming to its platform.
- Skybridge will set up bridges for BTC and Ethereum.
- Both companies aim to support more DeFi projects in the future.
As part of its search to fund innovative projects, Algorand has partnered up with Swingby to bring Skybridge to its system. Algorand Foundation announced this on their official Twitter account.
ICYMI: @SwingbyProtocol Skybridge is coming to Algorand! Swingby will work with the @AlgoFoundation to expand the Algorand ecosystem with bridges to Bitcoin and Ethereum. Learn more 👉 https://t.co/UQ3ixoaWzE
— Algorand (@Algorand) April 10, 2021
In a bid to hand out grants for innovative projects, Algorand Foundation has invested in Swingby. It is a strategic move to help bring Skybridge tech to the Algorand chain. As such, both companies will work together and make use of Skybridge to expand the Algorand ecosystem. This would mean that they plan to build bridges to Ethereum and Bitcoin from the platform.
To clarify, Swingby will launch a BTC to Algorand bridge as well as one from Ethereum to Algorand. Using this, the latter will also let existing ERC20 tokens travel easily from one chain to the other. After the launch, liquidity providers existing on Algorand will be combined with the bridges via Skypools.
Additionally, they will release the three updates in a step-by-step process. In this way, the companies seek to mark separate milestones. Further, the updates will go on to achieve a three-fold outcome. First, they will help increase bitcoin availability in the DeFi world. Following that, they will aid utility chains competing with Ethereum to expand their presence. Moreover, they will expand the Skybridge ecosystem itself by adding another bridge and additional use cases.
Not just this, the collaboration between Swingby and Algorand will go a long way to solve issues for the blockchain community. Ultimately, they aim to support and finance more DeFi projects in the future.
Moreover, Swingby’s Skybridge is a staking-powered decentralized bridging protocol. It is used for the cross-chain movement of crypto assets. Further, it builds trustless bridges between Bitcoin, Ethereum, Binance Smart Chain as well as others.
On the other hand, Algorand is the world’s first open-source and permissionless blockchain protocol. It is purely based on a proof-of-stake mechanism. In fact, it empowers DeFi evolution by delivering immediate transactions at very low costs, on a global level.