As the number of Blockchain is increasing including L1, L2, and Rollups, the ecosystem is getting increasingly fragmented. Each blockchain has its own gas fees, SDK, and standards, so it is difficult to interact with different chains in a decentralized manner. Developers struggle to choose suitable blockchains for their applications while users have to undergo a long process resulting in a web3 experience that is much more difficult. Chain abstraction helps solve this interoperability issue without any intermediary, making web3 a better place.
Chain Abstraction is the concept of abstracting the complexity of interacting with blockchain applications across multiple blockchain networks for users and developers for a better user experience.
This article delves into the chain abstraction concept and how it improves overall user experience in web3 applications.
Understanding Chain Abstraction
Web3 applications are less user-friendly especially for newcomers because of complicated wallet setup, multiple steps, and security concerns. Let us consider an example scenario:
Alice wants to buy a token on Chain A but the funds are distributed on 3 different chains. She can approach this in three different ways:
- Depend on Bridge or Bridge aggregator
- Use Centralized crypto exchanges
- Ask other users and get scammed
Traditionally, users need to handle different wallets, switch between networks, and require tokens according to the chain they are using which are time-consuming, costly, tiring processes and risk of centralization. This complexity prevents a large number of users from being onboard on web3. Chain abstraction aims to make web3 experience as seamless as web2 by simplifying interactions without revealing the complexity of multiple chains.
Chain Abstraction allows users to use applications and interact from one blockchain to another without worrying about which blockchain is involved. Abstracting on chain complexities for users and developers simplifies the following:
- Interactions across multiple blockchains
- Freedom for developers to build anywhere
- Composability across users, assets, and chains
Chain Abstraction for Better UX
User Interaction
Chain abstraction brings seamless interactions to users similar to using applications on web2. The applications automatically detect networks and interact effortlessly in a few clicks eliminating underlying complexity.
Wallet Management
Before chain abstraction users are required to use multiple wallets for different chains and switch form one network to another. There are multi-chain compatible wallets that let users interact with various chains in one place. However, these wallets don’t allow users to send tokens from one chain to another without depending on bridges or cross-chain solutions.
Chain Abstraction integrated wallets offer unified wallets to interact with various chains seamlessly through the same interface.
Cross Chain Transaction
Transaction across chains widely relies on bridges or bridge aggregators that require multiple steps and some technical knowledge. With chain abstraction applications can interact with multiple chains in a user-friendly interface without relying on any intermediary.
Enhanced Liquidity
The fragmented ecosystem causes fragmented liquidity of assets across chains. Through chain abstraction, users can manage their assets in any chain from a single wallet interface, and no need to fund with native tokens specific to a network. This benefits users to utilize their liquidity increasing the utility of assets.
Why Chain Abstraction Matters?
The biggest barrier to entry in web3 is the complexity of onboarding new users. Blockchain and its applications should not be limited to tech-savvy but for everyone who stands for trustless decentralized application. Chain abstraction simplifies interactions with blockchain for a better user experience. Here is why it matters in web3:
- New user onboarding as chain abstraction removes technical complexity from users offering a more user-friendly interface.
- Developers can build applications in any network allowing them to use multiple resources and benefits of different chains.
- Enable interoperability of blockchain networks, users can transfer and use assets across any chain.
- Increase efficiency and scalability of dApps as developers can opt for suitable cost-effective blockchains for their applications.
Conclusion
Chain abstraction solves a major limitation that exists in web3 ecosystem fragmentation by interconnecting different blockchain networks. It makes the web3 user experience as seamless as web2, as the user does not have to worry about underlying blockchain complexity. This will mainstream adoption and significantly onboard a large number of users to web3 revealing its true potential.
