The growing popularity of crypto currency has led to a new asset class where you can invest and trade to generate income. With cross chain support many exchanges are offering state of the art facilities for new traders. If you are someone who is new to the world of crypto currency then you will have to understand how cross chains help blockchains communicate with each other. In the hay das of blockchains and cryptocurrencies, it was envisioned that blockchain will a single chain where all the transactions will be recorder. But as the system grew it became impractical to save all transactions or blocks in a single chain because of scalability limits and innovation constrains. This led to the creation of different blockchains but they need to communicate with each other or share blocks according to user’s requirements. A cross chain helps two relatively independent blockchains communicate with each other.
How does a blockchain work
Blockchain is a sort of digital ledger where records of transactions are stored. But unlike bank transactions where there is a single intermediary, blockchains are completely decentralised. Instead of one main copy of the ledger, the records are stored in all the computer or nodes that are connected to the system. This way there is minimum chances of getting hacked. The transactions are encrypted in to blocks and then these blocks are sent to all the computers that are connected to the blockchain. Once the blocks are broadcasted and then accepted by the nodes, they get added to the end of the ledger. Adding these blocks one after creates a chain of transactions and hence the name blockchain.
How cross chain interactions work
To overcome the limitations of single chain, cross chains were invented. With cross chain interactions you can swap and transfer assets between two blockchains. There are different cross chain platforms that you can use for these interactions. There are two main type of cross chain interaction, namely isomorphic and heterogeneous. When it comes to isomorphic interactions, the security mechanism is almost similar and the block generation verification logic process is consistent so these type of interactions are fairly simple. For isomorphic interaction, the consensus algorithm as network topology of the interaction is consistent throughout making these interactions quick and hassle free. When it comes to heterogeneous interactions, the process is quite complex. For heterogeneous interaction in Bitcoins, it requires PoW algorithm and PBFT consensus algorithm for Tendermint. The block composition for heterogeneous chains are very different as are the deterministic guarantee mechanism. You will require third party ancillary services for cross chain interactions between heterogeneous chains. There are many ancillary service provides that will get you best cross chain support. You can do some research on the internet to find the right agency for the job. There are many websites that regularly rate and review these type of services. You can get a solid opinion by reading these reviews and going through the key points of the service. There is a wide variety of NFT assets and the blockchain technology that underpins them have opened up new possibilities for creators and collectors alike, creating a dynamic and rapidly evolving digital ecosystem
