While competition fosters innovation, the proliferation of different blockchains has resulted in the fragmentation and isolation of liquidity within each ecosystem. Early attempts to address this issue primarily involved bridges and wrapped assets. Unfortunately, these solutions were often vulnerable to hacks and exploits, and the value of wrapped assets was contingent on the security of the wrapper contract, rather than the underlying asset. Cross-chain swaps of native assets hold the promise of resolving liquidity fragmentation, but numerous technological challenges must be overcome to make them as seamless as same-chain swaps.

We were joined by Simon Harman, founder of Chainflip, to discuss multi-chain liquidity fragmentation and how Chainflip’s JIT AMM (Just in Time) aims to solve this, by providing cross-chain native swaps.

Topics discussed in this episode:
0:00 - Introduction
0:23 - Simon’s background
8:17 - (Legacy) Bridging vs. Threshold Signature Scheme
15:22 - Chainflip’s Just in Time (JIT) AMM vs. Uniswap’s V3/X
23:54 - Providing liquidity on Chainflip
26:13 - Slippage and UX
31:30 - Deciding trading pairs
33:45 - Chainflip validators
40:34 - Validator stake auctions
49:33 - Governance
52:59 - Roadmap and bootstrapping liquidity

Links mentioned in this episode:
- Simon Harman on Twitter: https://bit.ly/3tXN1GD
- Chainflip on Twitter: https://bit.ly/3tWuPNz

This episode is hosted by Felix Lutsch. Show notes and listening options: https://epicenter.tv/519
#chainflip #amm #ethereum