Index Coop Integrates Chainlink CCIP To Unlock Cross-Chain Access To Indexes

We’re excited to announce that Index Coop has integrated Chainlink CCIP—the industry standard for secure cross-chain interoperability—across the Ethereum and Aribtrum mainnets. We’re leveraging CCIP’s Simplified Token Transfer capabilities to facilitate cross-chain transfers for the DPI and MVI index tokens, enabling low-fee access.

We selected CCIP as our preferred interoperability solution because Chainlink has the most proven track record of maintaining the highest standard of security and reliability in the Web3 industry. Furthermore, CCIP is backed by the Risk Management Network—a separate, independent network that continually monitors and verifies cross-chain operations for suspicious activity. This additional layer of security is particularly important given historical industry exploits and the billions in user funds lost due to insecure and unreliable cross-chain infrastructure.

Until now, the high-fee environment on Ethereum mainnet has been a major inhibiting factor to the adoption of our onchain products. Unlocking cross-chain liquidity for our products is critical to provide the best possible experience for users that will now be accessible on Arbitrum’s Ethereum layer-2 network.

In order to help secure our cross-chain strategy for our flagship index tokens, we needed access to a highly secure and reliable interoperability solution. After reviewing various solutions, we integrated Chainlink CCIP because it provides a multitude of important benefits and features, such as:

• Time-tested security and reliability—CCIP’s consensus and interoperability layer is powered by Chainlink decentralized oracle networks, which have already secured tens of billions of dollars for smart contracts and enabled over $9 trillion in onchain transaction value. CCIP also features additional layers of protection and reliability via the Risk Management Network and Smart Execution.

• Secure Token Transfers—CCIP features a plug-and-play solution consisting of audited token pool contracts that handle the complexity of burning and minting or locking and minting tokens across chains. CCIP Token Transfers also have additional security features like Rate Limits, and enable ecosystem partners to easily build new capabilities around a supported token via a single CCIP interface.

• Programmable Token Transfers—CCIP messages are programmable, meaning token transfers and arbitrary data transfers can be one atomic transaction. This enables instructions to be passed in the data payload regarding what to do with the tokens once they arrive at the destination chain. 

• Future-proof—CCIP is built to support continuous updates, such as the integration of new blockchains, the introduction of advanced functionalities, and the addition of other defense-in-depth approaches to security. Thus,  integrating CCIP eliminates future switching costs should new cross-chain functionalities be required. 

“Chainlink's long-standing commitment to security and reliability is what drew us to CCIP. When it comes to bridging, we wanted to maximize safety and minimize latency for our end users, and CCIP proved to be the optimal solution for Index Coop.”—Allan Gulley, Head of Product at Index Coop.

About Chainlink

Chainlink is the industry-standard decentralized computing platform powering the verifiable web. Chainlink has enabled over $10 trillion in transaction value by providing financial institutions, startups, and developers worldwide with access to real-world data, offchain computation, and secure cross-chain interoperability across any blockchain. Chainlink powers verifiable applications and high-integrity markets for banking, DeFi, global trade, gaming, and other major sectors. 

Learn more about Chainlink by visiting chain.link or reading the developer documentation at docs.chain.link.

About Index Coop

The Index Coop is a decentralized autonomous organization (DAO) and the leading provider of onchain products. Our diversified and automated products provide exposure to major themes and strategies in crypto.