Swingby network, which recently transitioned into a community-owned DAO, is now ready to launch Skypools, its latest project development.
On March 29th the Swingby network plans to roll out the next generation – Skypools. The swap-bridge hybrid builds upon the concept and design of the original Skybridge platform, which enables BTC swapping with wrapped BTC, ETH, and vice-versa.
The Swingby network is fundamentally developed to be a BTC and ERC20 cross-chain swap-bridge hybrid on which platform users are able to hold their own tokens without giving up custody of digital assets.
The ability to swap between tokens that are not available on many other BTC cross-chain swaps without integrating third-party exchanges or platforms into the swapping process, due to the cumbersome backend inner workings of inter-blockchain transfer and exchange.
Skypools bridge-swap hybrid builds on the Skybridge protocol
Skypools will allow for the swapping of the same fundamental tokens that have been swapped already on Skybridge, and now additionally ETH and ultimately other ERC20 tokens on EVM as well.
As is always the case with DAOs, decisions and development beyond this will be up to the holder communities, which in this case is made of token holders who may also hold one or more independent nodes on the independent node validator system design.
An independent validator network is a PoS validation system that places a demand for each individual node to perform validation requirements as extra security steps, prior to reaching total network consensus and approving transactions presented on the decentralized network.
This is a more secured network and measure to guard the network against consorted attacks by false, or malicious nodes.
More on how Skypools works and advances the Swingby network
Swingby network strengths are embedded in the fundamental platform function which allows users to swap multiple forms of Bitcoin and ERC20 tokens on the independent Swingby interface without ever having to be connected to third-party crypto exchanges on the backend in order to facilitate token swaps.
Development has taken time to complete, being done strategically over time with the Skybridge online platform has been available to users for some time now, the past 15 plus months specifically.
Skypools is coined as the advance of the Skybridge stack protocol which first made swapping between BTC and WBTC possible in December 2020, and then later in April 2021 – BTCB too.
The plan was always to introduce the EVM network’s ETH as well as other cryptocurrencies traded on the ERC20 mainnet.
These tokens were envisioned long ago, to be included in Swingby network protocol’s ability to seamlessly swap without dealing with price fluctuations and potential obstacles to matching liquidity, often found with typical cross-chain swaps.
Why the Skypools BTC – ERC20 swap-bridge can be useful for DeFi
Skypools looks to fill a space that is anticipated to potentially have a great demand not far into the future. Only 1-2% of BTC is found in wrapped, or other than traditional BTC form currently.
The fundamental belief and confidence drawn upon by the Skybridge community development team when the initial decision to develop the Swingby network was made is that BTC would become used in a greater capacity across decentralized finance for global payments and digital transactions.
As BTC becomes more used in finance, industry, and business by larger financial institutions and corporations, the need to convert BTC to other networks in wrapped forms in order to quickly and efficiently transfer currency via the most traded digital asset, could become more apparent.
This is where Swingby comes in, and more specifically – Skypools. The protocol allows for the movement of BTC in and out of wrapped form and back and forth with ERC20 all in one location for trustless, in-platform swapping.
The liquidity will be pulled from other AMM aggregators such as Balancer and Sushi Swap. This is allowed by the integration of smart contracts.
Skybridge does the bridging of BTC, and the smart contract within skypools guarantees that the swap for any ERC 20 takes place, by using the large liquidity provided by other AMM aggregators.
Through this, the slippage will be extremely low.
Next steps for the Swingby network
The launch of Skypools on March 29th will see the native project expand its use case and application pretty much instantly.
Hopes are that greater trade volume will be seen on the Skybridge platform, with the expansion of network swapping capability, this, of course, coming not very long after the project’s transition to a community-led and owned DAO.
The outcome will be closely monitored by the community of owners, as the open-source project now looks to simply build greater DeFi adoption into the future.
The focus on BTC and ERC20 inter-swapping has huge implications, with still less than 5% of the world population being integrated into the blockchain space.
As this number increases, applications such as Skybridge and the Skypools swap-bridge hybrid protocol could become almost necessary for the future vision of decentralized finance to become a reality. On March 29 Skypools goes live and the next chapter officially begins for the Swingby network.