Recent crypto hacks have highlighted security gaps in cross-chain bridges, so the community is turning to new ways to ensure different blockchains can communicate safely. One project has developed a fresh solution called “tunneling,” designed to connect the two most extensive networks in the crypto world, Bitcoin and Ethereum.
One of Bitcoin’s early developers, Jeff Garzi, launched the Hemi Network, a blockchain protocol to link Bitcoin and Ethereum through these tunnels. Hemi sees the two blockchains as key pieces of a more extensive, interconnected system.
The team argues tunneling offers a distinct environment where Bitcoin and Ethereum can “coexist,” unlike cross-chain bridges. This setup helps eliminate the security risks commonly found with traditional bridges. Hemi Labs co-founder and CTO Max Sanchez explained that tunneling fundamentally differs from cross-chain bridging solutions.
BitVM2 enhances Bitcoin security
The executive explained that their system leverages Bitcoin’s robust security to enable safe interactions across different networks. Additionally, Sanchez added that their Hemi Virtual Machine (HVM) helps develop technology for secure interoperability with Bitcoin. BitVM2 was developed to facilitate optimistic computations secured by Bitcoin.
It aims to create a roll-up that processes transactions more efficiently than the traditional blockchain while preserving a similar level of security to the original Bitcoin network. The executive said that the Hemi protocol connects with both Bitcoin and Ethereum, enabling users to transfer their assets from these networks into Hemi. Once users bring their assets into Hemi, they can use them across any applications built on the platform.
According to CoinMarketCap, Hemi Network had successfully raised $15 million, with key contributions from Breyer Capital, Big Brain Holdings, and Binance Labs. Meanwhile, Ethereum co-founder Vitalik Buterin shared some optimistic news about cross-chain interoperability. On Aug. 6, he presented a plan to tackle these issues on the Ethereum network.
Buterin believes that soon, people will be pleasantly surprised by how quickly they resolve the challenges related to layer-2 interoperability. On Sept. 18, the decentralized exchange aggregator 1inch Network introduced a new cross-chain swap solution called “Fusion+.” This innovative system blends off-chain and on-chain liquidity to enhance the swapping process.
