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The current version of the internet has been around for almost 20 years now, starting in around 2005, when we saw the explosion of social networks, video and streaming platforms, and generally everything else that allowed the community to create content and make it available. This is what we call Web 2.0, and before it, the internet was a lot slower, quieter, and emptier, as it didn’t allow that level of community interaction.
Web 1.0, which came before it, did not focus so much on letting just anyone express themselves and publish whatever they wanted. You needed a server and a website to do that, and, in general, it was a lot more technical and down-to-business. Now, however, with the blockchain technology preparing the next version of the internet to arrive, many are excited because of the change, as it promises to bring even more control and power to regular community members.
Web3 is meant to empower the users to the point where they would be in full control over their data, choose who to share it with, and when. Intermediaries of all kinds are expected to be cut out, and content creators would receive rewards from community engagement directly. Projects throughout the blockchain sector are now working on this, as it is a very hot topic. Among them is one highly ambitious project called Router Protocol, which aims to personally become the future of cross-chain interactions.
What Problems Does Router Protocol (ROUTE) Solve?
Router Protocol wishes to solve the problems revolving around interoperability – connections between blockchains that allow for easy transfer of data, money, and assets of value.
Provides a bridge between current and emerging Layer 1 and Layer 2 solutions
Router Protocol is a cross-chain liquidity aggregator platform created to allow for a seamless bridging infrastructure between current and emerging Layer 1 and Layer 2 blockchain solutions. In doing so, it provides quick, simple, and cheap token swaps between different networks, which is not possible without interoperability.
Cross-chain settlement engine
Router Protocol also has a solution called the cross-chain settlement engine. Essentially, by settling all transactions that take place atomically, the project ensures that users would never encounter an issue where their funds are blocked.
When it emerged, blockchain technology promised near-instant speeds of transaction settling. Of course, given that Bitcoin, the first-ever cryptocurrency, takes around 10 minutes to solve a block and process transactions, this is not exactly true. It seemed true 13 years ago when an alternative for international transactions was waiting for days for them to be completed.
However, these days, blockchains have grown to be a lot faster, and so near-instant transactions are more than possible. Not on Bitcoin, of course, as it still requires the same 10 minutes on average to process a block, but there are much more powerful blockchains out there. While Router Protocol is not unique in this regard, it is still good to know that you are not going to have to wait for a long time for your payment to arrive.
Another issue with blockchains of previous generations is the cost per transaction. Blockchain was invented and made to be cheap because the banks were, and still are, charging massive amounts per transaction, sometimes even up to 5%.
However, older blockchains started becoming more expensive over time. Ethereum is a good example of this, as the user chooses how much they want to pay. Meanwhile, the miners choose to first process the transactions that offer the highest fee. So, if there are plenty of projects waiting to be processed, you offering a higher fee will speed things up for you. But, that raises the cost of an average transaction, as everyone who is in a rush will copy your fee, which means that those who are in a hurry would offer an even higher fee, and the cycle continues until transaction cost reaches the heights that only really wealthy people can afford.
This is why it is important for the project to guarantee that it can offer transactions at low cost and that there will be no need for transaction (gas) fees to escalate, and Router Protocol offers just that.
Integration with every chain
One of the project’s goals is to integrate every chain and enable swaps with the coins that run on them. So far, Router Protocol managed to ensure integrations with Ethereum, Polygon, Fantom, Elrond, Near, Polkadot, Cosmos, Algorand, Solana, BSC, Terra, Optimism, Arbitrum, Avalanche, Harmony, and Moonbeam. Of course, with its goal being every chain out there, this list is bound to grow in time.
Benefits of Router Protocol (ROUTE)
So far, Router Protocol really seems to be a game-changer for the crypto and blockchain industries. However, it can also offer things to you, as an individual. This includes things like:
Swapping assets between networks seamlessly
The ability to swap assets between networks, directly, is a major game-changer for the crypto world. So far, users had to use intermediaries such as crypto exchanges in order to go from one chain to the other, where they would exchange their existing cryptos for the native coins of the chain they wanted to switch to.
This, of course, leads to transaction fees, deposit/withdrawal/exchange fees, depending on the platform, and alike. By enabling users to swap assets between networks directly, users will no longer have to waste money on exchanges.
Router Protocol allows for the creation of cross-chain dApps, which can offer pretty much any kind of service or feature. Combining them with DeFi would enable things such as cross-chain lending, governance, and much more, regardless of whether the chain is EVM or non-EVM.
Bug Bounty program
Finally, it is also important o note that the project is determined to perfect its blockchain and code as much as possible, which is why it is supporting white-hat hackers. By granting them access to its code and challenging them to find flaws, the project is improving itself, and reducing the chance of being exploited like so many others did, especially in the DeFi sector.
How Does Router Protocol (ROUTE) Work?
Router Protocol is an infrastructure layer enabling communication between different blockchains. Basically, what this means is that it is connecting to other chains in order to enable cross-chain swaps, cross-chain DeFi, cross-chain data transfers, and more.
Furthermore, it offers optimal prices for token swaps, unified gas fees, a cross-chain settlement engine, SDK for developers, the multi-chain token standard for the development of new cryptos, and alike. In other words, the project is rich with features meant to enable Web 3.0, and in a way, it has already started establishing connections that would allow Web3 to be officially born. Now, this doesn’t mean that this project could singlehandedly create Web3, but it is contributing to its creation by setting a foundation on which the Web3 will be built, and because of that, we see it as an incredibly important project for the creation of the next version of the internet.
At the very least, it plays a very important role in creating the first stage of Web3, which is what definitely makes it worth a second look.
How to Buy Router Protocol (ROUTE)
Currently, Router Protocol (ROUTE) is available for purchase on the following exchanges.
KuCoin – This exchange currently offers cryptocurrency trading of over 300 other popular tokens. It is often the first to offer buying opportunities for new tokens. USA Residents are Prohibited.
Gate.io – This exchange was established in 2013, and is one of the more popular & reputable exchanges. Gate.io currently accepts most international jurisdictions including Australia & the UK. USA & Canada residents are prohibited.
Router Protocol (ROUTE) — The future of cross-chain
Router Protocol is a project that is looking towards the future, and it sees Web3 as a massive change and a major goal that needs to be achieved as soon as possible. This is why so many projects are seeking interoperability these days, and why so many decentralized services are being developed and ready to be used once the internet becomes blockchain-based.
Ali is a freelance writer covering the cryptocurrency markets and the blockchain industry. He has 8 years of experience writing about cryptocurrencies, technology, and trading. His work can be found in various high-profile investment sites including CCN, Capital.com, Bitcoinist, and NewsBTC.
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