Swingby Partners With Chainlink To Integrate Proof-of-Reserve To Help Secure Skybridge

Swingby has announced a partnership with Chainlink for the integration of Chainlink Proof-of-Reserve with Skybridge on the Ethereum mainnet. The partnership’s goal is to enhance security for the Swingby Skybridge, which connects the Bitcoin blockchain to the Ethereum network and allows the adoption of BTC.

According to Swingby, Skybridge can verify that the number of Wrapped Bitcoin (WBTC) tokens on Ethereum equals the quantity of Bitcoin held in the reserve wallet by incorporating Proof-of-Reserve.

Skybridge will suspend users’ ability to swap or create new tokens if Chainlink Proof-of-Reserve indicates that these assets have been delisted.

This suspension will be in effect until the problem is resolved. If the BTC reserves are not adequately secured, users will be unable to mint or swap WBTC.

Swingby stated:

“Essentially, instead of relying on a centralized business-based custodian, users can access a technical custodian that’s much harder to compromise. Ultimately this integration enables Bitcoin to be used as collateral on DeFi protocols running on Ethereum.”

Swingby claims that due to the integration of decentralized infrastructure managed by extremely dependable node operators, Skybridge users can have complete confidence that their source of information on WBTC minting is accurate, highly available, tamper-resistant, and transparent.

According to Swingby, Chainlink Proof-of-Reserves offers automated on-chain audits, high-quality data, and decentralized and transparent features.

Senga Yusaku, CEO of Swingby, said in a statement:

“We consider Chainlink Proof of Reserve to be mission-critical decentralized infrastructure for Swingby’s Skybridge and it will play a key role in preventing users from minting new WBTC tokens or swapping them if the BTC reserves become unpegged from the WBTC token supply. Security is paramount when building a bridge across blockchains, and Chainlink’s battle-hardened and time-tested oracle network is the most reliable in the industry.”