Definition
A bridged asset is a crypto asset that exists on a different blockchain than the one it was originally issued on, created through a bridge mechanism. It typically represents a claim on the original asset, maintaining a defined relationship in value and supply between the two networks. The bridged version allows the asset to be used in decentralized finance or other applications on the destination chain without leaving the original chain entirely. This concept supports interoperability by linking liquidity and value across otherwise separate ecosystems.
In many designs, a bridged asset is implemented as a token that is minted on the destination chain when the original asset is locked or otherwise controlled on the source chain. The bridged token is intended to track the price and economic properties of the underlying asset, similar in spirit to a wrapped token but specifically tied to cross-chain movement via a bridge. Because the linkage relies on the correct functioning of the bridge, bridged assets also inherit the technical and security assumptions of that bridge.
Context and Usage
Bridged assets are central to interoperability between blockchains, allowing value to move into new environments where different applications, fee structures, or performance characteristics exist. They are widely used in defi to enable trading, lending, and liquidity provision with assets that originate on other chains. Stablecoin variants and other major tokens are often available as bridged versions on multiple networks, expanding their reach beyond a single blockchain.
The design of a bridged asset depends on the underlying bridge architecture, including how assets are locked, tracked, and released across chains. Because the safety of the bridged representation depends on the security of the bridge, failures or a bridge attack can directly impact the integrity and value of the bridged asset. As a result, bridged assets are understood as distinct from their native or wrapped token counterparts, even when they are intended to mirror the same underlying cryptocurrency.