Bridge | Move Assets Cross-Chain
Swift bridging through Syncer powered cross-chain transfers
Overview
Delta enables the seamless transfer of blue-chip assets across blockchains on a 1:1 ratio. When a transfer is initiated, Delta holds the specified amount on the executing chain until the swap is confirmed on the destination chain. Once confirmed, the amount is deposited into the executing chain’s Liquidity Pool. Delta uses LayerZero to facilitate the transfer of amount information across chains through two transactions—one on the initiating chain and one on the receiving chain—to ensure liquidity on the destination chain.
In a balanced liquidity environment, the same amount deposited on the executing chain will be released on the target chain, thus increasing liquidity on the executing chain and decreasing it on the target chain.
Example: ✅ Transfer ETH on Ethereum 👉 ETH on Binance Smart Chain ❌ Transfer SOL on Fantom 👉 WBTC on Avalanche
If liquidity on the destination chain changes during LayerZero processing, making the swap impossible, the user can revoke the swap and reclaim the held funds on the source chain.
What Happens When the Bridge is Used
Bridge transactions are supported by liquidity reserves. When a user bridges tokens from Chain A to Chain B, they deposit the amount on Chain A and withdraw an equivalent amount on Chain B. This process relies on having sufficient liquidity reserves on Chain B for a successful withdrawal.
Delta’s single-asset pools allow users to earn Delta tokens through farming and share fees via Delta staking.
Example: User A adds 100 liquidity to Chain A and receives LP tokens on Chain A. Initial State:
Chain A: 100 Liquidity Pool Balance
Chain B: 0 Liquidity Pool Balance
User A then bridges tokens from Chain B to Chain A. For bridging to succeed, Chain B must have sufficient liquidity. After Bridging: User B "pays" 100 on Chain B and "receives" 100 on Chain A.
Chain A: 0 Liquidity Pool Balance
Chain B: 100 Liquidity Pool Balance
To convert LP tokens and withdraw liquidity, User A must do so on Chain A where the LP tokens originated. If there is insufficient liquidity, User A can withdraw their liquidity cross-chain by "burning" their LP tokens on Chain A and receiving the equivalent tokens from Chain B.
Fees
Protocol Fee: A 0.025% bridging fee applies to all non-Delta token transfers. Collected fees are redirected to the protocol treasury, governed by Delta holders, for buyback and redistribution of Delta tokens.
Rebalancing Fee: When there is an imbalance between Liquidity Pools, a rebalancing fee is charged for transferring from the high liquidity side to the low liquidity side. This fee is collected in a reward pool on the low liquidity side and distributed when transferring from the low to the high liquidity side. The fee amount is proportional to the degree of imbalance.
Delta’s approach ensures efficient, secure, and flexible cross-chain asset transfers while maintaining liquidity balance and providing opportunities for users to earn rewards.
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