Definition ∞ DeFi bridges are technological solutions that enable the transfer of digital assets and data between different blockchain networks. These mechanisms facilitate interoperability, allowing users to move assets from one chain to another to access diverse decentralized finance applications. Without bridges, blockchains would operate in isolation, severely limiting the utility and reach of decentralized finance protocols. They are crucial for a connected blockchain ecosystem.
Context ∞ The security and efficiency of DeFi bridges are central to current discussions, given the significant value locked within them and their susceptibility to exploits. Debates often center on the trade-offs between centralized and decentralized bridge designs, as well as the associated risks of asset bridging. Future advancements are expected to focus on enhancing security audits, improving cross-chain communication protocols, and developing more robust bridge architectures to mitigate potential failure points. The interoperability landscape is rapidly changing.
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