Angle Protocol has announced to us that Angle has been integrated with LayerZero's cross-chain messaging solution to enable an immediate and secure $agEUR bridge between Ethereum, Polygon, Optimism and Arbitrum.
Angle's Need for Robust Chain-Bridge Solutions
Angle is a decentralized stablecoin protocol which prides itself on having deep and capital efficient liquidity accessible across all ecosystems.
La fragmented stablecoin liquidity on different chains is a major source of friction for DeFi users, as there are often several minutes to wait and a lag to pay when transferring assets from one chain to another in search of new yield opportunities. Also, different chains have different wrapped versions of the same token depending on which bridge they were transferred with, making the UI even more confusing and difficult for end users.
Angle has implemented its stablecoin technology on Ethereum, Polygon, Optimism and Arbitrum to solve this challenge of easy access to agEUR for all users. On each of these chains, our users can borrow agEUR at a profitable price and gain capital-efficient leverage on the collateral assets of their choice with minimized liquidation risks.
Angle's mission goes far beyond the promise of minting robust and scalable stablecoins natively across multiple chains; The ultimate goal of our protocol is build a decentralized money layer that drives a fully open financial ecosystem and empowers DeFi users across all chains.
Fulfilling this mission requires resolving the complex, costly, and historically insecure user experiences involved in the typical cross-chain asset transfer process. Angle envisions a UX that abstracts away the complexities of cross-chain transfer and allows users to enjoy seamless liquidity without needing to be aware of or interoperate with the myriad chains involved in the process.
Integration with LayerZero
Starting today, users can link assets directly through Angle App agEUR tokens between Ethereum, Optimism, Polygon and Arbitrum. The solution used to pass messages from one chain to the other is Layer Zero.
LayerZero recently emerged as one of the most popular generic messaging solutions promising, efficient and safe. Right now, Angle is using LayerZero's technology to enable agEUR's cross-chain bridging, but according to the project the collaboration will not stop there and they will explore more possibilities in the future. For example, Angle x LayerZero could allow passing signals from one chain to another. While LayerZero unifies agEUR liquidity on Polygon and optimistic-based rollups, this integration allows for quick and easy multi-chain liquidity and upgrades to zk rollups in the future.
Beyond these crucial elements of innovation, one of the key benefits of building with LayerZero is that infrastructure is highly customizable and provides user applications with their own security settings. For example, all of Angle's bridge contracts are owned by the DAO, which maintains full control over how much can be bridged and when. Since Angle always tries to put safety first, the bridge is designed to cast with limits on the amounts that can be bridged at any given time. With these custom measures coupled with LayerZero's systematic security measures, the potential impact of an exploit on the system is limited, which is certainly key when using a bridge.
Angle's cross-chain implementation was designed to improve convenience and security, and LayerZero is playing a key role in enabling it. By integrating with LayerZero, Angle expects create an industry leading standard that other stablecoin protocols may consider to achieve simple and secure cross-chain bridging for all DeFi users.
Do you need more info?
Angle contracts are open source and the community is invited from the project to take a look at the custom implementation LayerZero OFT (omnidirectional fungible token).
[highlighted]📚 For a full overview of Angle's cross-chain infrastructure you can consult this documentation. Additionally, cross-chain contract addresses are available here.[/highlighted]
