Thread by @ParallelFi

Improving cross-chain communication for the #DOT ecosystem will play a vital role in the future of Web3. It's what allows dApps and protocols on separate chains to interact with one another. 🤝

But how does cross-chain comms work within the @Polkadot ecosystem? – XCM 🧵👇

(2/ ) XCM (Cross-Consensus Messaging format) enables communications between blockchains, pallets, bridges, and smart contracts. Within #DOT, XCM messages pass info between parachains and the relay chain. 💻 --- 💻

(3/ ) XCM is not exclusive to a single consensus system – it can be used for comms between blockchains that use different consensus systems.

Ie: Connecting #Polkadot to Ethereum.

(4/ ) XCMv2, the latest iteration of XCM, has been audited for a 2nd time by data security firm @quarkslab for any security threats, bugs, or fairness issues. After the rigorous audit, XCMv2 is now ready for production release. 💪

Full audit details: blog.quarkslab.com/resources/2022…

5/ ) You may be asking, “why is it necessary for XCM to go through this review process?” This is due to the complex nature of blockchain, and the importance of making sure different chains can “talk to each other” efficiently while minimizing any unforeseen security risks. 🔐

(6/ ) Blockchains go through significant growth & evolution throughout their histories. A messaging format used to connect multiple chains must be able to evolve with these chains, which is why XCM aims to be flexible, usable in a wide range of platforms, and future-proof.

(7/ ) Within the scope of DeFi, the type of interoperability that XCM opens up is important for many reasons. Here are a few:

✅ Transact w/ tokens from one chain, on another
✅ Interact w/ & benefit from multiple chains
✅ Interoperable chains = no need for intermediaries