The timing of the launch of the ShimmerEVM bridge is perfect given the extensive expansion underway in the IOTA ecosystem.
IOTA’s ShimmerEVM protocol is advancing an impressive cross-chain interoperability protocol by integrating technology from LayerZero to enhance bridging capabilities. As reported by Coindesk based on information from the network’s developers, Shimmer Bridge, which can connect to other non-IOTA-based chains on LayerZero via related protocols, has officially been activated.
ShimmerEVM is part of the Shimmer Network, a testing ground for applications before they are released on IOTA, testing new features with Ethereum compatibility, opening up the wider IOTA network to provide stronger liquidity that can be leveraged through a larger smart contract hub. .
The decision to integrate with LayerZero is strategic as the Layer-2 extension protocol supports cross-chain messaging between smart contracts. Currently, LayerZero allows up to 50 blockchain protocols to seamlessly interoperate with each other. This allows Shimmer Bridge to connect with Ethereum, Binance Smart Chain (BSC), Arbitrum, and Fantom.
The importance of interoperability cannot be overemphasized. This is because wider coverage means greater potential for liquidity flows across all networks. Developers building new applications on ShimmerEVM and ultimately the IOTA network no longer need to worry about adoption. This is because users can typically gain incentives from other protocols through the speed and cheap transactions offered by IOTA.
Perfect timing for the launch of IOTA’s ShimmerEVM bridge
The timing of the launch of the ShimmerEVM bridge is perfect given the extensive expansion underway in the IOTA ecosystem. As Coinspeaker previously reported, IOTA established the Web 3.0-based DLT Foundation in the United Arab Emirates (UAE), which raised new funding in late November.
IOTA Ecosystem The DLT Foundation has seeded a total of $100 million to empower all innovators interested in building applications on the IOTA Network. Capital incentives may be attractive, but a potentially closed ecosystem is not favorable. The Shimmer EVM bridge and LayerZero partnership will ultimately help attract developers and put the IOTA ecosystem in the spotlight among its peers.
It is also worth mentioning the implications of open bridges and their impact on the price of IOTA. At the time of writing, IOTA is trading at $0.2953, up 4.24% in the last 24 hours on news of the launch of the ShimmerEVM bridge.
Despite this optimistic outlook, IOTA is still considered relatively undervalued, with a market cap of only $908,384,539. From the beginning of this year to present, the coin has grown only 70.97%, which is a paltry figure compared to the 159.21% recorded by Bitcoin (BTC) over the same period.
The launch and adoption of this bridge is expected to strengthen demand for IOTA and ultimately impact the coin’s price appreciation in the long term.
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