Today, industry-leading web3 services platform, Chainlink, announced its global cross-chain communication standard, Cross-Chain Interoperability Protocol (CCIP), is live on the Ethereum, Optimism, Polygon, and Avalanche blockchains. On July 20, CCIP will also be available to developers on the Arbitrum Goerli, Avalanche Fuji, Ethereum Sepolia, Optimism Goerli, and Polygon Mumbai testnets.
Top DeFi protocols including Synthetix and Aave are among the first to integrate CCIP to power cross-chain smart contracts.
Synthetix’s Synth Teleporter is utilizing CCIP to secure its unique burn-and-mint model for transferring liquidity between chains, promoting higher capital efficiency and bypassing the need for liquidity pools.
“As one of the first users of Chainlink Data Feeds, we’re thrilled to get first access to CCIP and all the functionality it unlocks for Synthetix,” said Synthetix Founder Kain Warwick in a press release.
Following an Aave community vote, web3 development initiative BGD Labs is integrating CCIP into Aave Governance V3 in order to future-proof the non-custodial liquidity protocol’s multi-chain governance mechanism.
“We’re excited to leverage Chainlink CCIP for secure, reliable, and scalable cross-chain communication on the next iteration of the Aave protocol,” said BGD Labs co-founder Ernesto Boado. “With seamless integration into the cross-chain governance mechanism, CCIP is set to save valuable developer time that can be better spent enhancing the core features of Aave.”
CCIP is simultaneously making waves in traditional finance. Last month, Swift, the world’s biggest provider of secure financial messaging services, announced it’s collaborating with over a dozen top financial institutions to develop how banks can transact with a variety of blockchains through Swift’s PKI and Chainlink CCIP.
Swift’s Chief Innovation Officer, Tom Zschach, said CCIP’s enterprise abstraction layer makes it possible for traditional financial institutions to participate in the tokenized asset space amid a “highly fragmented” multi-chain ecosystem.
“CCIP is solving both sides of the connectivity puzzle by connecting the world’s leading DeFi dApps to any chain and then connecting the world’s leading global banks to any chain,” said Chainlink co-founder Sergey Nazarov in an official statement. “CCIP will be the only connectivity standard that allows value to flow between multi-trillion dollar traditional capital markets systems and the rapidly growing Web3 application ecosystem.”
CCIP is secured by the same decentralized oracle network that has enabled more than $8 trillion in transaction value throughout the decentralized economy. For thousands of projects that have already integrated Chainlink services such as Price Feeds, VRF, and Automation, CCIP is ideally suited to unlock cross-chain communications.
As Chainlink Labs Chief Product Officer Kemal El Moujahid explained during a recent product Q&A, “If you’re using data feeds and you have a cross-chain need, then you’re going to want to use CCIP, because it doesn’t introduce a new trust assumption.”
In a comprehensive blog post, El Moujahid detailed a series of use cases facilitated by CCIP, as well as the full spectrum of advantages CCIP offers over other more complex and less secure cross-chain systems.
Envisioning CCIP’s foundational role in connecting the global financial system to on-chain financial products, Sergey Nazarov conveyed the significance of CCIP’s mainnet launch.
“Chainlink CCIP finally gives developers one platform for building applications that securely operate across any blockchain. Backed by the Chainlink Network’s time-tested infrastructure and novel security approaches, which have enabled over $8 Trillion in Transaction Value, CCIP is a cross-chain solution that banking and DeFi builders both need to 10x the on-chain economy in their respective verticals.”
To learn more, read the CCIP mainnet launch blog post and CCIP developer documentation.
Sign up for CCIP Mainnet Early Access and register to be notified when CCIP is available on testnet.