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ApeChain Shifts APE and USDC to Chainlink CCIP Across Yuga Labs’ Cross-Chain Ecosystem

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Key Takeaways:

  • ApeChain is transitioning its cross-chain technical infrastructure from LayerZero to Chainlink CCIP.
  • APE, USDC and other significant assets will be transferred to Chainlink’s Cross-Chain Token (CCT) standard.
  • The upgrade will be rolled out for the wider Yuga Labs ecosystem such as Bored Ape Yacht Club use cases.

ApeChain is revamping its cross-chain capabilities to adopt Chainlink CCIP as the universal standard for cross-chain transfers. The update includes all major tokens on APEChain such as APE, USDC and will be used to establish an identical interoperable layer throughout the Yuga Labs ecosystem.

ApeChain Makes Chainlink CCIP Its Cross-Chain Standard

ApeChain said it will migrate away from LayerZero and adopt Chainlink’s Cross-Chain Interoperability Protocol, or CCIP, as its canonical cross-chain stack. Chainlink said the rollout will extend beyond ApeChain itself, covering flagship Bored Ape Yacht Club applications and the APE token.

It streamlines the cross-chain infrastructure and instead of having separate token transferring platforms throughout Yuga Labs’ ecosystems it supports them together. In the announcement, no deadline or instructions to holders of ApeChain were revealed.

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APE and USDC Will Become Cross-Chain Tokens

APE, USDC, and other critical assets on ApeChain will undergo an upgrade to Chainlink Cross-Chain Tokens, or CCTs. Chainlink’s view on the CCT is a token that is programmed with the ability to send transactions over CCIP. The token developer controls the contracts, pools and cross-chain parameters of the developed tokens.

There are multiple transferring models available for CCTs such as: burn-and-mint, lock-and-mint and lock-and-unlock. This is dependent on the specific configuration of each token on supported chains. ApeChain has not mentioned yet, which model will it use for APE, USDC or other assets.

Read More: Arc Surges $1 Billion in USDC Circulating Supply

CCIP Gives ApeChain One Integration Layer

One of the main benefits of the CCT model is integration simplicity. After the token’s registration, the decentralized application or an aggregator of bridges will make contact with the CCIP router, rather than with each other separately for all the tokens.

This can facilitate dApps and communities within the Yuga Labs ecosystem to help the identical assets on several chains. The token pools also enable issuers to control cross-chain configuration, such as cross-chain transfer limits for each configuration route.

Rate limits are recommended for token pools by Chainlink to curb the amount of value that transacts down the lane over time and lower the operational exposure during an incident.

Yuga Labs Unifies Cross-Chain Infrastructure

The migration brings several Yuga Labs’ products into a common interoperability framework. For the APE and Bored Ape Yacht Club use cases, CCIP is the canonical cross-chain infrastructure for ApeChain, Chainlink explained.

The handling of ApeChain has shifted from adding another bridge to changing its current cross-chain standard to one framework that facilitates token transfer as well as application messaging.

Additionally, CCIP enables programmed token transfers where tokens and instructions are transferred among chains, for example when handling deposits, staking, and swaps. ApeChain and Chainlink have not announced the specifics of the ApeChain fee structure, nor have they come up with the final list nor timetable.

Read More: Kraken USDC Jumps 30% While EURC Trading Nears 1B in Circle Stablecoin Expansion

The post ApeChain Shifts APE and USDC to Chainlink CCIP Across Yuga Labs’ Cross-Chain Ecosystem appeared first on CryptoNinjas.


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