Bitfinex launches the first L2 bridge from CeFi to DeFi

The bridge will facilitate ERC-20 token transactions between centralized and decentralized exchanges.

Crypto exchange Bitfinex has today announced a market-debut service to bridge its centralized platform with the layer-2 decentralized trading platform and subsidiary DeversiFi. 

The bridge will provide users access to the permissionless and privacy-centric experiences of DeFi, in combination with the highly-liquid, accessible features of CeFi. A release from the company noted that transactions will be initially exclusive to Tether (USDT) — a stablecoin affiliated with the exchange — but may eventually open-up to various ERC-20 tokens in future.

Ethereum-based DeversiFi is a trading platform built upon StarkWare’s scalable technology. Two months ago, they launched the first layer-2 bridge between Ethereum and Polygon Network.

Related: Ethereum-based DeFi platform DeversiFi raises $5M in strategic investments

Will Harborne, CEO and Co-Founder of DeversiFi, said: “Layer-2 is the future of blockchain. Whether it’s the Lightning Network for Bitcoin or roll-ups such as DeversiFi for Ethereum, cryptocurrencies and DeFi are finally on the verge of becoming accessible to everyone.