Axelar Deep Dive: Cross-Chain Pioneers

BY ICISept 8 · 4 min read

1. Introduction to Axelar

Axelar is a groundbreaking platform designed to bridge the gaps between various blockchains, enabling seamless and secure cross-chain communication. At its core, Axelar aims to empower the development of decentralized applications (dApps) that can operate beyond the confines of a single blockchain. This is achieved through a combination of gateway smart contracts, validators, and relayer services.

Overview: Axelar is not just another blockchain platform; it’s a cross-chain communication powerhouse. By leveraging a proof-of-stake model, Axelar provides developers with the tools they need to interact with smart contracts across different chains using popular programming languages like Solidity or JavaScript. Whether it’s sending fungible tokens between Cosmos and Ethereum Virtual Machine (EVM) chains or more complex transfers, Axelar has it covered. One of its standout features is the General Message Passing, which facilitates calling smart contract functions across blockchains.

2. Axelar’s Technical Architecture

Gateway Smart Contracts: These contracts are pivotal to Axelar’s operations, enabling it to relay messages across all connected chains. Each EVM chain linked to the Axelar network boasts a Gateway contract, which is instrumental in transmitting messages from Axelar to the associated chain. This contract is governed by a key, maintained collectively by all Axelar validators through a sophisticated multi-party cryptography scheme.
Validators: Validators are the backbone of the Axelar network. They not only participate in consensus, producing blocks, and validating transactions like other proof-of-stake chains but also oversee all cross-chain activities processed by the network. This dual responsibility mandates Axelar validators to run nodes for supported chains and monitor those external chains for activity.
Relayer Services: These are optional services provided by Axelar to facilitate cross-chain communication. While they can be executed by anyone, they play a crucial role in ensuring smooth communication across chains.
Developer Tools: Axelar goes the extra mile to support developers. It offers a plethora of tools, including a curated collection of interchain examples and the Axelar JavaScript SDK. Developers can also simulate chains locally, deploy custom contracts to simulated EVM chains, and test their dApps against local RPC endpoints.

3. Axelar’s Journey Through 2023

February 2023: Axelar’s Integration with Chainflip and Squid: Axelar’s partnership with Chainflip and Squid marked a significant stride in expanding DeFi to new assets. This collaboration aimed to bridge the gap between various blockchains, ensuring seamless interoperability and fostering a more cohesive crypto ecosystem.
March 2023: Axelar’s Collaboration with 88x Finance: Axelar teamed up with 88x Finance to create a cross-chain yield aggregator. This partnership showcased Axelar’s commitment to enhancing yield farming opportunities across multiple blockchains, making it more accessible and efficient for users.
April 2023: Axelar’s Launch on LBANK Exchange: In a significant move to increase its market presence, Axelar’s native token, WAXL, was listed on the LBANK Exchange. This listing provided Axelar with a broader audience and increased liquidity, further solidifying its position in the crypto market.
June 2023: Axelar’s $60M Startup Ecosystem Program: In a bid to foster innovation and support emerging projects, Axelar launched a $60 million startup ecosystem program. This initiative aimed to provide financial and technical support to startups integrating with the Axelar network, driving innovation and growth within the Axelar ecosystem.
July 2023: Axelar’s Partnership with Microsoft: One of the most significant milestones for Axelar in 2023 was its collaboration with tech giant Microsoft. This partnership aimed to develop integrated and intelligent Web3 services, combining Microsoft’s technological prowess with Axelar’s blockchain expertise to push the boundaries of what’s possible in the decentralized web.
August 2023: Axelar’s Virtual Machine Launch: In a move to enhance its platform’s versatility, Axelar launched a virtual machine that allows decentralized applications (dApps) to run on every chain. This development marked a significant step in Axelar’s mission to create a truly interconnected blockchain ecosystem.
September 2023: Axelar’s Integration with Orbs on Ethereum’s Arbitrum: Axelar’s integration with Orbs on Ethereum’s layer-2 scaling solution, Arbitrum, showcased its commitment to enhancing cross-chain interoperability. This integration facilitated seamless token swaps across leading blockchains, further expanding Axelar’s reach and utility in the crypto space.

In conclusion, Axelar is not just a blockchain platform; it’s a vision for a more interconnected and integrated blockchain future. Through its innovative solutions and strategic partnerships, Axelar is poised to redefine the way we perceive and interact with blockchains. The future looks bright for Axelar, and it’s a project worth keeping an eye on.