Chainlink’s newly launched cross-chain messaging app aims to solve the pressing security concerns around cross-chain crypto transfers, a Chainlink spokesperson told Cointelegraph:
“Chainlink CCIP, which underpins Transporter, is the only cross-chain protocol that achieves level-5 security, a defense-in-depth design to give users true peace of mind."
Chainlink announced the launch of Transporter, a cross-chain messaging app for bridging tokens, on April 11. Built on Chainlink’s Cross-Chain Interoperability Protocol (CCIP), Transporter aims to foster more secure cross-chain crypto transfers with a beginner-friendly app interface.
Cross-chain bridges help users facilitate transactions between different blockchain networks. They represent some of the most significant points of vulnerability in crypto.
In 2022, Axie Infinity’s Ronin Bridge was drained for more than $600 million worth of cryptocurrency, as one of the largest crypto exploits in history. The exploit targeted a private key multi-signature scheme, a security measure that ultimately proved inadequate.
Transporter enables users to track their cross-chain transactions in real-time through Chainlink’s CCIP Explorer, without charging additional transaction fees beyond the CCIP service provider fee.
It currently supports the Arbitrum, Avalanche, Base, BNB Chain, Ethereum, Optimism, Polygon, and WEMIX blockchain networks.
Related: Funds hacked in 2024 increased by 15.4% vs. the same period in 2023 — Immunefi
Cross-chain vulnerabilities account for 50% of DeFi hacks
Since 2016, decentralized finance (DeFi) protocols have been hacked for a total of $5.85 billion worth of cryptocurrency. Cross-chain bridges account for over 48%, or $2.83 billion of the total value lost to exploits, according to DeFiLlama data.
Transporter aims to reduce these vulnerabilities by facilitating safer cross-chain transfers for both institutions and retail users:
“Transferring crypto across chains has historically been a risky activity, with bridge hacks accounting for nearly 50% of all value hacked in Web3. Transporter leverages Chainlink CCIP’s unmatched levels of security, which include an independent Risk Management Network that continuously monitors and validates the behavior of every cross-chain transaction over CCIP.”
While the amount of cross-chain exploits has fallen since the beginning of the year, hackers are still looking to exploit blockchain bridge vulnerabilities. At the beginning of January, Orbit Chain was hacked for $81 million worth of digital assets, due to a cross-chain bridge vulnerability.
Related: Binance Labs shifts investment focus to Bitcoin DeFi
