Blockchain Interoperability: Bridging Different Distributed Ledger Technologies
Keywords:
Blockchain interoperability, distributed ledger technologies, cross-chain transactionsAbstract
Blockchain technology has swiftly grown, resulting in multiple distributed ledger technologies (DLTs) for diverse applications and use cases. These DLTs' walled structures limit interoperability, which is necessary for blockchain solution adoption. This article discusses blockchain interoperability frameworks that ensure DLT communication.
Blockchain interoperability is needed for cross-chain transactions, data sharing, and platform collaboration. Integrating blockchain networks boosts efficiency, innovation, and applications. The research examines interoperability standards and frameworks introduced until March 2020. We study atomic swaps, hash time-locked contracts (HTLCs), sidechains, interledger protocols (ILP), and blockchain bridges.
Interoperable blockchain technologies are scalable and adaptive. The research examines interoperability-related consensus, data formats, and security issues. Practical implementation methods demonstrate blockchain network interoperability solutions. Polkadot, Cosmos, and Interledger Protocol demonstrate interoperability concerns and solutions. These case studies demonstrate how blockchain interoperability enhances cross-chain transaction efficiency, data integrity, and business models and applications.
Development of blockchain interoperability is also covered in the paper. Standards for interoperability and quantum computing are considered. This paper studies blockchain interoperability and advancements until March 2020 to fully understand DLT integration and future potential for a more connected and collaborative blockchain ecosystem.
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