Bridges

A bridge moves a coin to another blockchain by locking it on the first chain and issuing a matching token on the second.

What it means

The token on the second chain is only as good as the locked coins behind it, and the large locked pool has made bridges a frequent target for hacks.

What to watch

How much the bridge holds, whether its contracts were audited, any past incidents, and that a bridge adds its own smart contract risk on top of both chains.

How Compass-Alpha uses it

Background only; not used in any figure on Compass-Alpha.