Uniswap Labs and Across Protocol have launched ERC-7683, a new Ethereum token standard that promises to simplify cross-chain transactions and interoperability.
The new standard introduces a new way to handle transactions between different blockchains. It creates a common network that connects these blockchains, solving the problem of having different systems that don’t work well together. ERC-7683 also lowers costs and makes the process simpler for everyone involved.
Enhancing Cross-Chain Interoperability
Uniswap Labs has adopted ERC-7683 for cross-chain swaps on UniswapX, enhancing trading across automated market makers (AMM) and other liquidity sources.
“ERC-7683 proposes that all cross-chain intents follow the same order structure, so that a universal, shared filler network can fulfill transactions,” Across Protocol noted.
Different blockchains manage transactions differently, making it complex and expensive to transfer assets across them. ERC-7683 aims to standardize this process, reducing the need for each blockchain to have its own system. This standardization makes cross-chain interactions more efficient and cost-effective, benefiting users by lowering fees and speeding up transactions.
Read more: How To Use Uniswap — The Complete Step-by-Step Guide
Uniswap Labs and Across Protocol have shared their proposal on the Ethereum Magicians forum, seeking feedback and further discussions. Following its announcement, Uniswap’s native token, UNI, saw a 2.43% increase in value, trading at $7.79.
ERC-7683 and Its Technical Specifications
ERC-7683 introduces two key features: the CrossChainOrder structure and the ISettlementContract interface. These features create a flexible and unified system for handling trades between different blockchains. The new standard allows developers to customize how transactions are processed while maintaining a consistent framework.
Launching ERC-7683, Uniswap Labs and Across Protocol address major challenges in cross-chain transactions, such as ensuring there is enough liquidity and making the process user-friendly. By standardizing how transactions are handled, ERC-7683 promotes fair competition among transaction processors (fillers). This leads to better fulfillment of user requests and more successful trades. Overall, ERC-7683 represents a significant step forward in making blockchain technology more efficient and accessible.
Disclaimer
In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
