Yieldly Bridges: A World First Frictionless Interoperability Solution Bridging Algorand to the Wider DeFi Sector

Interoperability is one of the most constraining issues facing the crypto industry today. Countless blockchains remain siloed, existing separately from one another, unable to communicate or share value. Today, we launch Yieldly Bridges, the world’s first cross-blockchain bridge designed to unlock liquidity across the Algorand (ASA) platform and other major chains, including Ethereum, Polygon, and Binance.

While Ethereum has primarily dominated the decentralized finance (DeFi) sector, the platform’s exorbitant transaction fees have led users to migrate en masse to competing ecosystems, including Binance Smart Chain, and now — with the launch of Yieldly — Algorand.

However, swapping between ecosystems can be a laborious task, involving multiple token swaps via numerous pathways. Understanding this pain point was the direct motivation behind creating the ecosystem-defining Yieldly bridges.

Proprietarily developed in-house and subsequently audited by leading cybersecurity firm Halborn, Yieldly Bridges represents the world’s first audited interoperability protocol connecting Algorand and broader DeFi ecosystems.

Yieldly’s ERC-20 bridge is the first to go live and will connect Algorand Standard Assets (ASA)-based tokens and ERC-20 standard tokens, as well as their native ecosystems. Plans are in the works to construct more bridges and expand pathways for any ASA token holder to interact across chains and vice versa, increasing utility and adoption in the Algorand ecosystem.

On top of allowing seamless access to the Algorand network from ETH and vice versa, the bridge will also soon enable cross-chain staking for ASA, ERC- 20, BEP-2, and BEP-20, along with other emerging cryptocurrency protocols, including Polygon’s POLY standard.

Our recent IDO with Trustswap demonstrated that there is untapped demand for ETH holders to port tokens out of the Ethereum ecosystem and open up new opportunities in the broader DeFi sector. In addition, the vast majority of people from the IDO — around 80% — have staked their YLDY [Yieldly’s native token] on our platform, showing its being heavily used on the platform.

How do transactions on Yieldly Bridges work?

This two way ASA-ERC20 bridge will be natively integrated into the Yieldly platform. It will be accessible in the same way that a user accesses the products. Its initial use case is to allow the ethereum community to access the Algorand based Yieldly platform. So a user can buy a wrapped YLDY ERC-20 token and convert it to ASA YLDY via Uniswap: no-loss lottery and https://v2.info.uniswap.org/pair/0x6f9e023c0881ec3d8f56630a6c4fd137c025419e.

The user journey will be displayed in videos that will be updated to the resource centre over the next day. To use the bridge, users select the destination chain for the bridge via the Yieldly platform (i.e,. Algorand -> Ethereum or Ethereum -> Algorand). After that, the user can connect their wallet account containing Algo YLDY or ERC-20 YLDY to the bridge and specify the destination address.

The swap fee is pre-calculated and presented to the user prior to the transaction. If the user accepts, the transaction is submitted to the internal validation processes before being finally verified. Once all of the backend transactions occur, the YLDY is released into the receiver’s specified wallet address.

The steps in detail

ALGO to ETH Bridge

• A user connects their My Algo Wallet in the same way that they would for using the other Yieldy products.
• A user navigates to the top right of the website, clicks the blue button next to their balance, clicks it and then clicks “Opt-in” on the emerging side panel.
• A user selects the amount of YLDY (ASA) that they wish to swap to the ERC-20 YLDY. ( Ie no decimals or fractions of YLDY can be transferred across the bridge at this time )
• Once the whole number of YLDY is selected, the user will then select their ETH wallet address for the wrapped YLDY to be sent to.
• Press Swap and watch the smart contracts do its thing until a wrapped YLDY appears in the users ETH wallet.

ETH to ALGO Bridge

• A user connects their Metamask to the Bridge interface.
• A user connects their My Algo Wallet in the same way that they would for using the other Yieldy products.
• A user navigates to the top right of the website, clicks the blue button next to their balance, clicks it and then clicks “Opt-in” on the emerging side panel.
• A user selects the amount of wrapped YLDY (ERC-20) that they wish to swap to the Algorand ecosystem.
• Once # of wrapped YLDY selected, the user will then select their My Algo Wallet address for the ASA YLDY to be sent to.
• Press Swap and watch the smart contracts do its thing until an ASA YLDY appears in the users My Algo Wallet.

This elegantly simple process belies a much more significant technical achievement for the DeFi and Aglorand ecosystems. It is the first bridge to be deployed between these ecosystems.

It is now the first time that Metamask and MyAlgoWallet can be used simultaneously within one platform.

This product is a labor of love. Our team has looked to crack the problem of creating a seamless bridge between these two ecosystems since we started the project.

FAQs:

1. What is the YLDY token address?

• ASA YLDY token: 226701642
• ERC-20 YLDY token: 0x88cb253d4C8caB8CDF7948A9251Db85a13669E23

2. How to add ERC-20 YLDY to metamask?

Open Metamask. Under the Assets tab, select New Asset. Open the Custom Token tab. Enter the following details:

• Token Contract Address: 0x88cb253d4C8caB8CDF7948A9251Db85a13669E23
• Token Symbol: YLDY
• Decimal Places: 18

3. How to add ASA YLDY to MyAlgoWallet?

Firstly setup a My Algo Wallet using

Send a minimum 0.201 ALGO to the wallet address to allow you to Opt-in.

Opt-in to the YLDY asset using Yieldly’s . Here is a video guide for the opt-in process.

4. How do we use the bridge?

Once released, the bridge can be found in the main menu on app.yieldly.finance.

The user journey will be displayed in videos that will be updated to the resource centre within the next 24 hours. To use the bridge, users select the destination chain for the bridge via the Yieldly platform (i.e,. Algorand → Ethereum or Ethereum → Algorand).

After that, the user can connect their wallet account containing Algo YLDY or YLDY to the bridge and specify the destination address. This means we will have both MyAlgoWallet and Metamask supported on our webapp for the bridge (no metamask for any of the other products).

5. How much does the bridge cost?

The Yieldly bridge is extremely cost efficient. The swap fee is pre-calculated and presented to the user prior to the transaction. If the user accepts, the transaction is submitted to the internal validation processes before being finally verified. Once all of the technicalities are out of the way, the YLDY is released into their receiver’s specified wallet address.

Based on recent prices, we expect a swap to cost between $30 — $60. This cost is dynamic reflecting the prevailing market.

6. How will the wrapped ERC-20 YLDY Uniswap pool affect the rewards of the No-Loss Lottery/YLDY Staking?

After 24 hours, the dynamic price will be included in the rewards calculations of the NLL and Staking pools. For the first 24 hours the rewards calculations will reflect the initial pool price of YLDY.

8. Just to clarify, can we buy and sell on uniswap?

Yes, you will soon be able to buy and sell the wrapped ERC-20 YLDY on Uniswap.

9. Can we swap other ETH or ASA tokens via the Yieldly Bridge?

This is the v.1 of the world’s first two way ASA — ETH bridge. Over time we expect to be able to support any ASA-ETH token. We will keep the community updated as to how/when this can be implemented.

Originally published at https://yieldly.finance on June 17, 2021.