What is the Inter-Blockchain Communication Protocol (IBC)?
January 26, 2022
The Inter-Blockchain Communication Protocol (IBC) allows independent blockchains to directly communicate and trade assets
The Inter‐Blockchain Communication Protocol (IBC), an open‐source protocol for relaying messages between independent distributed ledgers, was created to connect independent blockchains to one another.
IBC allows heterogeneous chains to trustlessly communicate with each other and exchange value, particularly tokens, which makes them interoperable.
A key feature of IBC is that the connected blockchains do not need to communicate with each other directly. Instead, they are able to send packets of information via dedicated channels using smart contracts to connect to the chains.
The Tendermint‐based decentralized exchange Osmosis allows token holders to directly benefit from what IBC offers by enabling seamless swaps of tokens from different chains.
It’s no longer unusual to hear people in the crypto ecosystem say "the future is multichain." As our Business Development Manager, Harry Alford, wrote in a recent post, "In Web2, the bigger network wins. In Web3, whoever builds the biggest network together