Swingby Teams with Bluzelle Oracle for Skybridge Tool
Taking the crypto industry in a storm with its robust cross-chain swapping protocol hub, Swingby has announced its partnership with Bluzelle, a decentralized data storage channel for DApps. The integration will boost the risk management standards of Swingby’s highly-anticipated Bitcoin to Ethereum bridge named Skybridge. The project is scheduled for a big launch on December 28 by the team.
As per the official statement, Skybridge has been designed as a decentralized protocol that will facilitate seamless movement of digital assets across multiple blockchains such as Bitcoin, Ethereum, and Binance Chain. The first bridge will go live on December 28 and help BTC investors move their assets to Ethereum via WBTC and vice versa. The service will boost the popularity of DeFi and help improve Bitcoin’s accessibility in the fast-growing DeFi market.
The data from oracle networks like Band or Bluzelle will help to keep the following issues away from the Skybridge channel:
- Issue of Over-Staking: The security of Skybridge is maintained if the staked value of digital assets is less than or equal to half of the cumulative value of the bonded assets. The use of Proof-of-custody oracles helps people assess the value of bonded and staked assets accurately. This ensures good security for the Skybridge system.
- Price Inconsistency between Bridged Assets: The system will stop will the conditions are not pursued, and there appears a disproportion between the price of two bridged assets. To solve this, price oracles are used. They detect abnormalities in the market prices of the bridged assets and safeguard the liquidity offerors on Skybridge.
The partnership with Bluzelle oracle will help Swingby’s Skybridge execute Bluzelle and Band Protocol services to benefit the users. This will eliminate the risk of central point of failure, correct redundancy, and increase the manipulation cost of ingesting data. The teams will look forward to exploring more real-life cases for the development of DeFi. The Skybridge solution will make DeFi easy, simple, and secure for new customers and projects planning to enter the field.