Overview
Bungee aggregates all asset bridges and DEXs into a single meta-bridge, selecting and routing funds through the most suitable bridge based on user preferences such as cost, latency, or security. By incorporating DEXs and DEX aggregators into our meta-bridge, we significantly enhance its utility, enabling straightforward transfers of Token A from Chain X to Token B on Chain Y, with extensive token support across various chains.
Bungee supports two flows for bridging tokens between chains:
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Single Transaction Bridging - Users can bridge tokens between chains in a single transaction from the source chain. However, this approach restricts the number of tokens users can receive on the destination chain to only those supported by the bridge, as it does not facilitate token swaps on the destination chain.
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Multi Transaction bridging - Users can bridge any token between chains via two or more transactions. This flow allows the user to bridge any token from Chain A to any token on Chain B. Generally, this flow involves two transactions :
- Swap + Bridge on source chain.
- Swap on the destination chain.
Bungee is powered by an on-chain component and optional off-chain component:
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Contracts (on-chain): The Bungee smart contracts facilitate the bridging process, enabling users to bridge tokens between chains. Refer to Contract Architecture for more details.
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Backend Quote Engine + API (off-chain): The Backend Quote Engine leverages DEXs and bridge liquidity data to determine optimal bridging routes for specific tokens. Coupled with the Bungee API, it facilitates data flow to the frontend, enabling route generation and transaction data for seamless bridging. This process, integrated into Bungee’s smart contracts, allows for efficient token swapping and bridging in a single action. Refer to Backend Architecture for more details.
Lifecycle of Bridging Session: The lifecycle of a bridging session involves multiple steps, including quote generation, approval, and transaction building. Refer to Lifecycle for more details.