How it works
While blockchains brought about a revolutionary way of creating
decentralized databases with tokens that can be more secure than in any
traditional monetary system, a major problem is that each blockchain is
typically completely isolated, with no way to communicate with other
In today’s world, where there are many different blockchains with
different use cases - some optimizing for institutional use, others for
decentralization or speed - it’s become necessary to bridge this gap and
allow users of one chain to transfer tokens or data to another chain, and
that’s where our token bridge comes in.
What the bridge allows is for anyone that holds XLM tokens on their native
Stellar blockchain to bring them over to Polygon in the form of wrapped
XLM (wXLM), where they can be traded and used in Polygon’s rapidly growing
DeFi ecosystem. These wXLM tokens represent XLM tokens at a 1:1 ratio and
can always be redeemed back for native XLM through our bridge.
What does the token bridge do?
Simply put, the Stellar - Polygon token bridge allows you to swap your XLM
on Stellar for wXLM on Polygon, where you can trade it on decentralized
exchanges or use it in DeFi protocols, just like any other token on
Polygon. You can also swap wXLM back to Stellar XLM at any point, and the
transactions in either direction only take up to a minute to complete
(depending on network congestion).
What are the fees?
Because both Stellar and Polygon have very low transaction fees, the fee
for swapping between XLM and wXLM is only 5 XLM, regardless of transaction
size. The fee is used to cover the gas fees, as well as the independent
Chainlink node that monitors the swap wallets to make the process as
secure as possible.
What are the use cases of the bridge and wXLM?
Stellar and Polygon are two extremely popular ecosystems, but they have
very different use cases, with Stellar focusing on cross-border value
transfers and institutional adoption, while Polygon is leading the way in
scaling EVM (Ethereum Virtual Machine)-based DeFi. With our bridge, you
don’t have to choose between holding XLM and taking part in Polygon’s
rapidly growing DeFi ecosystem: you can swap your XLM for wXLM on Polygon
and back again for XLM on Stellar at any point and in a matter of seconds!
Is the bridge safe?
The bridge utilizes a variety of security mechanisms to make sure that
your funds are always safe, such as different nodes that transmit the
transaction data from one chain to the other and Chainlink’s Proof of
Reserve feature, which constantly tracks the token balances on the swap
wallets with an independent node. Furthermore, the bridge has been audited
by Proxima, and you can find their audit report
Nevertheless, do keep in mind that DeFi in general is an emerging field,
and this brings higher rewards as well as higher risk. While we’re
committed to providing the highest level of security that is currently
achievable, NewsCrypto is not responsible for any losses incurred in
connection with smart contract bugs or third-party software.
We’ll create a detailed video tutorial soon after the bridge is live on
mainnet, and we’ll add a link to it here. Overall, though, the process is
very simple: enter the amount of XLM or wXLM that you want to swap, copy
and paste your destination wallet address, and follow the directions shown
on the screen to complete the swap.
Just make sure that your Ethereum-compatible wallet is switched to the
Polygon network in order to use the bridge. To configure the Polygon
network in your MetaMask, refer to the tutorial
Then, add the wXLM tokens to your wallet by clicking on “Add Token” and
pasting the following contract address: