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Aayush
@aayush
🧵 Rebalancing in Cross-Chain Bridges & Intent Networks - why it matters more than ever: Every time users bridge assets across chains, someone has to make sure there's liquidity on the other side. That "someone" is often a market maker or LP.
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Aayush
@aayush
But this setup doesn’t scale unless we talk about rebalancing. Let's break it down👇
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Aayush
@aayush
Imagine you're a bridge LP with $1M on Ethereum and $1M on Arbitrum. If everyone keeps bridging ETH --> Arbitrum, your Arbitrum side will get drained. You’ll be stuck with ETH on L1 and no liquidity to serve new users on L2 / Arb. That’s where rebalancing comes in.
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Aayush
@aayush
In intent-based architectures, rebalancing becomes even more critical. Intents abstract what the user wants, not how it's executed. Solvers must make sure liquidity exists where and when it's needed, or the intent fails.
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@aayush
Protocols like @socket, @acrossprotocol, and @unionlabs are experimenting with solver networks, auctions, and modular execution layers where rebalancing is a first-class citizen. This isn’t just infra ops. it’s part of core UX.
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