Chained protocols refer to a system where multiple blockchain protocols are linked together, allowing for interoperability and data exchange between them. This architectural approach enables different decentralized networks to communicate and transfer assets or information seamlessly. It facilitates the creation of more complex applications that leverage the unique capabilities of various underlying blockchains. Such connections address limitations of isolated ledger systems.
Context
The concept of chained protocols is central to solving the scalability and interoperability challenges faced by the broader blockchain ecosystem. As the number of distinct blockchain networks grows, the need for them to interact becomes increasingly important for liquidity and functionality. Ongoing developments in cross-chain bridges and atomic swaps represent critical progress in establishing robust chained protocols, aiming to unify the fragmented digital asset landscape and expand the utility of decentralized finance.
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