In the rapid development of blockchain technology, interoperability and liquidity issues have always been the core challenges faced by the industry. With the emergence of more and more blockchain networks (whether Layer 1 or Layer 2) and different virtual machine environments (EVM and non-EVM), users and developers are in urgent need of a solution that can seamlessly exchange assets between multiple networks.
Symbiosis, as a cross-chain AMM DEX platform, was born to solve these problems. This article will introduce in detail the working principle, technical advantages, background information of Symbiosis and why Symbiosis is underestimated.
The current status and challenges of cross-chain transactions
Before fully understanding the advantages of Symbiosis, we first need to understand the main problems currently faced by cross-chain transactions. With the continuous launch of various L1 and L2 public chains, EVM public chains and non-EVM public chains, more and more projects choose to build on different blockchains. However, this diversity also brings bottlenecks in interoperability between networks. Although the traditional single-chain structure has advantages in security and stability, it has huge limitations in communication and asset circulation between chains.
The main problems currently faced by most cross-chain projects include:
- Complex operations: Users usually need to go through multiple steps to exchange assets between different blockchains, involving different wallets and bridge services, which makes the process cumbersome and error-prone.
- High fees: Cross-chain transactions involve fees from multiple networks, and these costs can add up significantly, especially when performed frequently.
- Security risks: Cross-chain bridges and relay services are often targeted by hackers, and the security of funds is difficult to guarantee. There have been many incidents in history where huge amounts of funds have been stolen due to cross-chain bridge attacks.
- Cross-chain assets are single and have too many restrictions: Due to the high cost and complexity of cross-chain technology, most cross-chain projects only support cross-chain of a part of the assets of a part of the chain, which has too many restrictions and poor experience.
In this context, Symbiosis provides a more efficient, secure and user-friendly cross-chain solution.
Symbiosis' core functions and technical architecture
Symbiosis is a decentralized cross-chain automated market maker (AMM) platform that aims to aggregate liquidity on different blockchains, whether they are EVM-compatible or non-EVM-compatible, even including the BTC ecosystem. Through Symbiosis, users can easily exchange tokens between different networks and complete complex cross-chain transactions in a single operation in the form of Swap. Behind this seamless user experience, it relies on Symbiosis' unique technical architecture.
On-chain smart contracts
Symbiosis uses on-chain smart contracts to handle the logic of cross-chain transactions. These contracts are deployed on multiple supported blockchain networks to ensure the decentralization and transparency of cross-chain transactions. Every cross-chain transaction initiated by a user will be processed through these smart contracts to ensure the accuracy and security of the transaction.
Off-chain relay network
In addition to the smart contracts on the chain, Symbiosis has also designed an off-chain relay network. These relays are responsible for transmitting messages and assets between different blockchains, thereby achieving cross-chain communication. The non-custodial design of the relay network ensures the security of transactions while improving the efficiency of transactions.
Seamless cross-chain exchange
The Symbiosis platform allows users to seamlessly complete cross-chain asset exchanges on a single interface, which is more flexible and supports more types of tokens than other cross-chain platforms. No matter what tokens users hold, no matter which network they are on, they can easily exchange and transfer them through Symbiosis.
Pool and Zap
Users can provide liquidity and earn yield on any Symbiosis-supported chain, or use the Zap feature to simplify cross-chain and DeFi interactions into a one-stop operation. Any asset on any blockchain can be provided to lending, farming protocols or Symbiosis Octopools on another blockchain with a single click (one transaction). Cross-chain Zaps currently support AAVE, LIDO and BEEFY.
Symbiosis's strengths and innovations
The emergence of Symbiosis not only solves many pain points of current cross-chain transactions, but also has unique advantages in many aspects, making it the future paradigm and leader of cross-chain projects.
High interoperability
Symbiosis supports liquidity of up to 34 blockchains, covering EVM-compatible chains and non-EVM-compatible chains, including TRON, TON, part of the BTC ecosystem, etc., and is the core cross-chain bridge of TON.
Generally, cross-chain projects only support the cross-chain of a few types of assets, and there are many restrictions. Symbiosis supports multiple assets to obtain any supported assets after cross-chain. This broad network support means that users can freely flow funds in a wider ecosystem without being restricted by a single network.
Minimalistic user experience
Symbiosis presents the cross-chain and swap process to users through a simple UI, allowing users to complete complex transactions in just one step. It also supports receiving cross-chain assets by simply entering an address, maximizing the user experience.
Users can complete all cross-chain operations on one interface without using third-party tools or complex bridging services, which lowers the usage threshold and helps Web3 release more liquidity.
The design of the platform greatly simplifies the operational process, making cross-chain transactions as simple as single-chain transactions.
Strong security
Symbiosis’s on-chain smart contracts and off-chain relay network are carefully designed to ensure the security and transparency of cross-chain transactions. The non-custodial architecture further reduces the risk of funds being hacked, while also avoiding centralized control of user assets.
Symbiosis has been audited by Omniscia, Zokyo, and SlowMist, and will undergo more audits to ensure the strongest security.
Low cost and high efficiency
The Symbiosis platform's efficient architecture and automated market maker mechanism reduce the cost of cross-chain transactions and provide more efficient transaction speeds. By aggregating liquidity from multiple networks, Symbiosis is also able to provide users with more competitive prices and lower slippage.
Decentralized and community-driven
Symbiosis's fully decentralized design means that all cross-chain transactions are automatically executed by smart contracts without the intervention of centralized institutions. In addition, Symbiosis encourages community participation through governance tokens and various reward mechanisms, allowing users to play an active role in the development of the platform.
Symbiosis Background Information
Symbiosis supports seamless asset exchange on 34 blockchain networks. It has currently processed more than 2.5 billion USD in exchange volume, completed more than 2.34 million transactions, and interacted with nearly 390,000 wallets.
Symbiosis has been integrated into all major aggregators, including Li.fi , Socket, Rubic, DODO, etc., and works closely with OKX DEX, 1inch, OpenOcean, etc.
Symbiosis has received investments from Binance Labs and KuCoin Labs. Symbiosis has also received funding from projects such as Mantle, GMX, AAVE, Taiko, zkSync, and TON, and as the core bridge of TON, it has further enhanced its influence in the cross-chain ecosystem.
The Undervalued Governance Token SIS
Symbiosis's governance token is SIS, with a maximum supply of 100 million, 65% of which are already in circulation. SIS can be used on 5 chains: Ethereum, BNB, zkSync, Linea, and Scroll. It has been listed on more than 20 exchanges including Bybit, OKX, Huobi, Gate, and BingX.
Key features of SIS include:
- Governance voting: SIS holders can participate in the decision-making process by voting, especially regarding the Symbiosis DAO.
- Protocol security: SIS is used for relayer rewards to ensure the stable operation of the relayer network
- SIS adopts the VE model. Holders pledge SIS to obtain veSIS and enjoy multiple rights and interests:
- Symbiosis will distribute a certain number of airdrops (Scroll, Linea, ZetaChain, etc.) to veSIS token holders.
- Voting Rights in Symbiosis DAO
- Improving liquidity provision benefits
- Reduce cross-chain fees by up to 60%
- Native income from staking SIS
- Other possible benefits and rewards
In July, after a DAO vote, a proposal to burn 251,384 SIS tokens was passed, and the destruction was carried out on August 7, accounting for 0.25% of the total supply of SIS.
This destruction marks the beginning of a new phase for Symbiosis. The ecosystem will continue to iterate and optimize, and insert various mechanisms to bring SIS into the era of deflation, enhance the value of SIS, and move further towards Symbiosis v3.
The current total market value of SIS is only 17.64 million. Compared with similar projects, the total market value of Axelar's token AXL is 600 million, and the total market value of Stargate's STG is 310 million. SIS still has 20-30 times the current market value of ZRO and W. In the future, when the big bulls come and the tokens rise generally, this multiple will be magnified several times.
Compared with competitors such as Stargate, Synapse, and Axelar, Symbiosis has a lower market capitalization, but its technological maturity and cooperative network give it great potential and it is likely to be a future dark horse in the cross-chain field.
Symbiosis’ Future Outlook
As a leading cross-chain AMM DEX platform, Symbiosis is reshaping the way assets are exchanged in the blockchain ecosystem. Through its unique technical architecture and innovative solutions, Symbiosis is solving the main pain points in cross-chain transactions and bringing more opportunities and possibilities to Web3.
Looking ahead, with the addition of more blockchain networks and the introduction of more liquidity sources, Symbiosis is expected to further consolidate its position in the Web3 ecosystem and become a leader in cross-chain technology. For users and developers who want to freely flow funds between different blockchains, Symbiosis is undoubtedly a platform worth paying attention to and participating in.
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