Blockchain Bridges to Ethereum Grow: Canto and Astar Announce Layer-2 Migrations

In the ever-evolving world of blockchain, adaptability and strategic shifts are becoming increasingly crucial. We’re witnessing a fascinating trend: layer-1 blockchains, once touted as Ethereum alternatives, are now turning to Ethereum as a Layer 2 (L2) scaling solution. The latest to join this movement are Cosmos-native Canto and Polkadot’s Astar, both announcing plans to migrate to Ethereum’s ecosystem as zero-knowledge (ZK) rollups. But what’s driving this shift, and what does it mean for the future of blockchain interoperability?

Canto Charts a Course to Ethereum via Polygon ZK-Rollup

Canto, a permissionless, general-purpose blockchain compatible with the Ethereum Virtual Machine (EVM), has set its sights on becoming a key player in decentralized finance (DeFi) for traditional finance. To achieve this ambitious goal, Canto is leveraging Ethereum’s robust infrastructure by migrating to a ZK-rollup on Ethereum Layer 2, powered by Polygon Labs.

This strategic decision, formalized by the Canto Commons, highlights a growing recognition of Ethereum’s dominant position and the benefits of its scaling solutions. Polygon Labs explained the rationale behind this move:

“By leveraging a shared ZK bridge, Canto will eventually tap the liquidity of a unified Polygon ecosystem with easy access to Ethereum.”

Here’s a breakdown of the key benefits Canto expects to gain from this migration:

• Enhanced Security: By inheriting Ethereum’s security through Polygon’s ZK prover, Canto offers users trustless guarantees and robust protection for bridged assets. This cryptography-backed security surpasses the reliance on social-economic incentives found in fraud proofs.
• Access to Ethereum Liquidity: Migrating to a Polygon-powered ZK-rollup grants Canto seamless access to the vast liquidity within the Ethereum ecosystem, boosting opportunities for DeFi applications.
• No Changes to Core Operations: Importantly, Canto validators and staking systems will remain unchanged, ensuring continuity and stability for existing users.

Astar’s Ambition: Expanding Horizons to Ethereum ZK-EVM

Canto isn’t alone in recognizing the strategic advantage of Ethereum L2s. Astar, a leading blockchain within the Polkadot ecosystem, has also announced its foray into the Ethereum realm. Astar is set to build its own Ethereum Layer-2 scaling solution, dubbed Astar ZK-EVM, also leveraging Polygon’s Chain Development Kit (CDK).

According to Sandeep Nailwal, co-founder of Polygon Labs, Astar, along with Gnosis Pay, Palm, and IDEX, are among the protocols choosing Polygon CDK for their ZK Layer 2 endeavors.

Astar’s team articulated their vision in a statement:

“We are building a trustless bridge to Ethereum with high EVM equivalency right out-of-the-box, so dApp developers can use existing tools to build solutions across our entire ecosystem.”

This move signifies Astar’s commitment to interoperability and expanding its reach. Key highlights of Astar’s Ethereum L2 strategy include:

• Trustless Ethereum Bridge: Astar aims to create a secure and trustless bridge to Ethereum, facilitating seamless asset transfers and communication between the two ecosystems.
• EVM Equivalence: High EVM equivalency ensures that developers can easily deploy existing Ethereum-based decentralized applications (dApps) on Astar’s ZK-EVM, reducing development friction.
• Web3 Expansion in Japan and Globally: Polygon Labs believes Astar’s ZK-powered chain will be instrumental in accelerating Web3 adoption for businesses in Japan (Astar’s base) and worldwide, thanks to enhanced speed, scalability, and security.

I’m excited to welcome @AstarNetwork, the leading @Polkadot chain to Ethereum. They are going to launch a zkEVM chain using @0xPolygon CDK, an Ethereum L2 secured by ZK!@AstarNetwork is the leading blockchain of Japan. After launch, it quickly became among the most notable… pic.twitter.com/0SgYE6ENet

— Sandeep Nailwal | sandeep. polygon (@sandeepnailwal) September 13, 2023

Is This the Start of a Rollup Revolution?

Ryan Sean Adams, co-host of the popular Ethereum-focused show Bankless, suggests that these migrations from Canto and Astar could be the beginning of a significant trend – a “rollup avalanche.” This perspective underscores the growing momentum behind Ethereum’s Layer 2 scaling solutions and their potential to become the dominant infrastructure for blockchain applications.

However, it’s crucial to note Astar Network clarified that this Ethereum expansion doesn’t signify a departure from Polkadot. In a post on X (formerly Twitter), Astar emphasized their continued commitment to Polkadot:

“We are expanding, not leaving Polkadot. Our core is based on it, and we just extended our Parachain slot, proving our commitment to the ecosystem. We enhance our Tech stack to enable a multichain future.”

The Tide Turns? Not Everyone is Migrating to Ethereum

While the trend of blockchains migrating to Ethereum L2 is gaining traction, it’s not a one-way street. Interestingly, some protocols are choosing to move away from Ethereum, seeking different ecosystems that align with their specific needs and visions.

Here are a couple of notable examples of protocols exploring alternatives to Ethereum:

• dYdX to Cosmos: Decentralized exchange dYdX announced plans to launch a “purely decentralized” order book exchange on Cosmos. This move signifies a desire for greater decentralization and potentially different performance characteristics offered by the Cosmos ecosystem.
• MakerDAO Considering Solana: MakerDAO, a major Ethereum-native protocol, is exploring a significant shift. Co-founder Rune Christensen proposed forking Solana’s codebase to build a new, more “efficient” chain. Christensen cited Solana’s resilience and strong developer community as key factors in this consideration.
• OnChainMonkey NFTs to Bitcoin: Even the NFT space is seeing migrations away from Ethereum. The OnChainMonkey NFT collection is shifting its entire 10,000 NFT collection from Ethereum to Bitcoin. The rationale includes Bitcoin’s robust security and the burgeoning Bitcoin Ordinals ecosystem.

Conclusion: A Multi-Chain Future Takes Shape

The decisions by Canto and Astar to embrace Ethereum Layer 2 solutions, alongside protocols like dYdX and MakerDAO exploring alternative paths, paint a picture of a dynamic and increasingly multi-chain future for the blockchain space. Ethereum’s robust ecosystem and scaling solutions are undeniably attracting projects seeking enhanced security and liquidity. However, the diverse movements also underscore that there’s no one-size-fits-all solution in blockchain. Protocols are strategically choosing ecosystems that best serve their unique requirements and long-term goals. As the landscape continues to evolve, expect to see more projects making similar calculated decisions, shaping a complex and interconnected web of blockchains.