The Avalanche-Ethereum Bridge (AEB) has been live already thus enabling DeFi users to seamlessly move assets like WBTC, AAVE, UNI, and LINK between the two ecosystems to further manage exposure to high fees, and build without limits.

The new bridge has been connecting Avalanche with Ethereum for DeFi Transfers for more than a month now.

The bridge makes it possible for users of DeFi tools to transfer their assets between the two ecosystems. Thus, developers of DeFi projects on Ethereum will be able to provide users with an alternative platform on which they can transact.

Avalanche is appealing because of its faster transaction times, which is less than a second and the fees is also very low.  By token sales and venture funding the Avalanche project has raised more than 60 million to date.

Emin Gün Sirer, chief executive and co-founder of Ava Labs stated, “This bridge will open the floodgates for hundreds of Ethereum assets, including cornerstone DeFi assets like WBTC, AAVE, and others to flow into Avalanche, fuelling applications like decentralized exchanges, lending protocols, and prediction markets.”

ChainSafe, with Protofire, Hashquark, POA Network, Avascan and Meter.io are the members of the blockchain development group who created this bridge.

To use DeFi, users should lock either Wrapped ETH (WETH), ERC-20 or ERC-721 tokens in a ChainBridge contract on Ethereum. Following this an equivalent token will be minted on Avalanche and it will be then deposited to the desired address. This newly minted asset will be then used in the DeFi applications on Avalanche.

Important to note that the tokens minted in this way on Avalanche will look similar to the token locked in the ChainBridge contract. For instance, LINK, the native token of Chainlink, will look the same on Avalanche as it does on Ethereum. However, it is important to note that Avalanche equivalents are not like stable coins, the value keeps fluctuating.  It should be considered as the same assets which has gotten migrated onto Avalanche.

Recently, The Ava Labs team hosted an hour-long Clubhouse where team members from business development, marketing, and engineering came together to discuss the past, present, and future of Avalanche.

For clarity, Avalanche is an open-source platform for launching decentralized applications and enterprise blockchain deployments in one interoperable, highly scalable ecosystem. Avalanche is the first smart contracts platform that processes 4,500+ transactions/second and instantly confirms transactions. Ethereum developers can quickly build on Avalanche as Solidity works out-of-the-box.