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Li.Fi calls on Uniswap not to deploy on BNB Chain with only one bridge

Quick Take

  • Li.Fi has cautioned Uniswap not to deploy on BNB Chain with only one bridge provider.
  • The crypto bridge aggregator says Uniswap should develop a robust bridge assessment framework.

Li.Fi has urged the Uniswap community not to go forward with the current vote to finalize the deployment of Uniswap v3 on the BNB Chain with Wormhole as the only bridge provider, the project stated via a governance post filed on Feb. 6.

The team argued in favor of a bridge-agnostic deployment. Li.Fi urged Uniswap to prioritize the creation of a framework for assessing cross-chain bridges. This framework would see future Uniswap deployments on other chains happen with several bridge providers in the mix.

“What we are proposing is a genuinely decentralized decision-making process that will end up with a solution utilizing multiple bridges,” Li.Fi CEO Philipp Zentner told The Block.

Li.Fi said that a protocol the size of Uniswap should not rely on only one cross-chain bridge. The crypto bridge aggregator referenced its own research, stating, “No single AMB is tested enough to be considered a robust and secure solution that a project of Uniswap’s size can solely rely on at this point.”

AMB stands for arbitrary messaging bridges. These are a subset of crypto bridges that allow the transfer of data between EVM-compatible networks. Cross-chain bridges in general enable users to transfer crypto tokens across different networks.

Li.Fi suggested that Uniswap should propose the bridge assessment framework as a universal governance model. This could then be pushed as an Ethereum Improvement Protocol, setting a standard for other blockchain apps that use bridge providers.

Race against the clock

Li.Fi’s proposal, if adopted, could see the Uniswap deployment process on the BNB Chain pivot even further. The process has jumped through several hoops amid intense debate among community members. Voting on the proposed deployment is in its second day with 61% of votes cast in favor of the proposed deployment with Wormhole as the only bridge provider.

There is a time crunch associated with the process. The Uniswap v3 business source license that prevents “vampire-forks” like SushiSwap will expire on Apr. 1. Some delegates within the DAO have expressed a desire for Uniswap to finalize its cross-chain deployments before this date to prevent copy-cat projects from launching forks.

Li.Fi acknowledged the time constraint but stated that its recommended process could achieve long-term security for Uniswap.