Interoperability Protocol

Definition ∞ An interoperability protocol is a set of rules and standards that enables different blockchain networks or decentralized applications to communicate and exchange data or assets with one another. These protocols facilitate cross-chain functionality, allowing for seamless interaction between disparate distributed ledger technologies. They are critical for building a connected and cohesive blockchain ecosystem.
Context ∞ The advancement of interoperability protocols is a significant area of focus in the blockchain industry, addressing the fragmentation of the digital asset space. News related to these protocols often highlights new bridge deployments, cross-chain transaction capabilities, and the ongoing efforts to create a more unified decentralized web.