Waypoint provides an easy way to transfer cryptocurrency across chains. The Bridge is currently operational on Polygon and BSC and can be used without transferring first to Ethereum and paying ETH gas fees. More networks to follow in the near future. All smart contracts can be accessed at https://wpnt.org/.
Basic Bridge workflow
- Buy WPNT on a DEX on the chain you transfer from (e.g. PancakeSwap).
- Transfer WPNT to the network you want funds on at wpnt.org/bridge.(Optional) Also transfer enough BNB/Matic to pay for fees on the target network.
- (Optional) Convert the WPNT to the tokens you need on the destination chain (e.g. via QuickSwap)
The fees are kept low — they are there to cover the gas cost on the receiver network for sending users their tokens, and minting the equivalent amount. For example, the fee for a BSC-Polygon transfer is 0.00000028 BNB at the time of writing as gas costs on Polygon is cheap while a Polygon-BSC transfer costs 0.795 Matic as the gas costs on BSC are a bit higher.
Additionally, users can also transfer 0.005 BNB/Matic which increases the fees accordingly.
Behind the scenes
Users initiate a transfer which burns the tokens they are bridging. Waypoint detects the transaction and sends an equivalent amount to the user on the destination network from the staking balance, while also minting the same amount to the staking contract. Waypoint does not mint directly to the user as minting has a built-in 4 hour delay, however, as long the staking balance is high enough users receive the funds immediately.
The 4-hour delay to minting is in place to prevent rug-pulls — savvy users can monitor when a minting has been initiated and tank the price if a large abnormal mint has been started before it has actually occurred. Staking (with >100% APY currently) is in place to keep a large enough balance of WPNT for immediate transfers during bridging.
Things to watch out for
Currently the DEX liquidity is on the low side but growing every day. This means that buying and selling larger amounts might incur some losses during trading. Similarly if many people transfer at the same time from one network to another and immediately sell, the price on the target network can be temporarily lower — on the other hand transferring in the opposite direction can make you a profit. Thus, we recommend not to sell too much at once without checking the prices first.
In order to address this we are growing the liquidity, and plan to launch rewards to Liquidity Providers in the near future to speed up the process.