The independent Web3 Foundation, which specializes in the development and implementation of decentralized protocols, has secured funding for Interlay. The purpose of this investment was the integration of the Polkadot network into the main Bitcoin blockchain. Such a connection will create a transparent and reliable system that uses technologies to ensure assets. In addition, integration will provide an opportunity for network participants to exchange cryptocurrencies in the amount of bitcoins that they need.
Using the “bridge” between the two systems, the PolkaBTC currency can be easily converted to bitcoins and vice versa at any time. The output to the original cryptocurrency will be made using the XCLAIM platform, which uses intermediaries to ensure the correct execution of transactions. The obligation to prove the correct implementation of the online cryptocurrency exchange protects users from possible risks. The project from Interlay will have an open source code, which anyone can see.
Recall that Polkadot is a platform that was developed by Web3 in order to connect and protect different digital chains. The platform combines cryptocurrency exchange scripts regardless of their purpose and structural features. With the help of linking chains and one main Polkadot blockchain, users can exchange data through XCMP messaging technology. While the project is still in development, soon the participants of the cryptocurrency exchange site will be able not only to transfer PolkaBTC tokens to each other, but will also be able to send them to other blockchains that are inside the common system.
The XCLAIM system used by Polkadot aims to permit the issuance and redemption of tokens, which were converted in a 1: 1 ratio to BTC. Such coins provided with bitcoin will be issued on the platform’s main blockchain – BTC-Parachain. At the same time, the system guarantees the redemption of tokens for the corresponding amount of BTC or for DOT – any attempt to steal funds during the exchange of cryptocurrencies is automatically blocked and penalized, and users receive their money back. Financial security of this system is also provided by intermediaries who are obliged to give a pledge and confirm the correct execution of the transaction cryptographically.
According to the developers, the technologies used in Polkadot provide more opportunities for users – any platform client can become an intermediary and get additional benefits. XCLAIM is also a faster and cheaper way to complete a cryptocurrency exchange transaction than other similar chains in the BTC network.