3. Switch

What is Switch Protocol?

Switch Protocol is a newly developed cross-chain asset swap protocol under BurgerSwap, that aims to solve the issue of circulation of assets across various public chains. Through this protocol, true asset cross-chain between various public chains can be realized.

Switch Protocol operation model: When users realize the transfer of A chain assets to B chain transactions, through the cross-chain asset protocol, the Switch Protocol, the user transfers the assets in their wallet address to the smart contract of A chain, and the distributed cross-chain service center will detect the user's transaction in real time, and notify the signature service node of the cross-chain service center, the node will sign the user's transaction data, and notify the settlement service node (the agency or the user himself) of the cross-chain service center after the signature is completed. The agency or the user himself will then transfer the corresponding amount of assets to the user's address from the smart contract of B chain. In relation to the above transaction process, Switch Protocol will generate a unique order number, one on A chain and one on B chain, and the order number generated on B chain will be associated with the order number of A chain to prevent repeated processing or forgery of orders and ensure cross-chain consistency of information. In addition, all transaction information will be a transaction event on the public chain, and order information can be queried publicly on the chain.

The Switch Protocol cross-chain service center supports multi-signatures and multi-nodes. In the future, credible nodes will be introduced to further decentralised the cross-chain communication protocols, increase the throughput of cross-chain asset agreements, allow participation of governance of the cross-chain asset agreements, and obtain the true value to be generated from the agreements.

The first batch of chains to be supported are Ethereum, BSC, HECO and Polygon, supported cross-chain assets include the three stable currencies: USDT, USDC and DAI. Liquidity providers can add liquidity to supported assets on each chain, and receive transaction fees and additional rewards for the official version launch. Users can use the platform-supported assets for cross-chain transactions between the above public chains and corresponding layer 2s.

In the future, we will continue to expand support for mainstream asset types such as BTC and ETH, while expanding to other new public chains and Layer 2, such as Solana, Polkadot, Avalanche, Terra, and Arbitrum, Optimistc Rollup, ZK Rollup and other networks.

Features of Switch:

1) Supports cross-chain swap of the same asset between different public chains;

2) No slippage in transactions;

3) There are two types of fees for cross-chain transactions, namely Gas Fee and Bridge Fee. Gas Fee is the gas fee required to send users assets to the target chain; while Bridge Fee is the transaction fee (Switch Protocol charges 0.3% for each transaction, of which 0.2% will be allocated to the Liquidity Provider of the user transaction’s target chain, and 0.1% will be allocated to the treasury).