The NEAR Foundation, responsible for the Layer 1 NEAR Protocol, has revealed a new protocol that supports chain signatures, allowing users multichain access from their NEAR account, according to a report they released today during the BUIDL Asia in Seoul, South Korea.

Today at BUIDL Asia in Seoul, Korea, NEAR Co-Founder and NEAR Foundation CEO Illia Polosukhin announced the launch of Chain Signatures on NEAR. Chain Signatures enable NEAR accounts, including smart contracts, to sign transactions for any blockchain.

This is powered by a decentralized MPC network which uses NEAR staking and Eigenlayer ETH restakers for security. Chain Signatures currently supports Bitcoin, Ethereum, Cosmos chains, DogeCoin, and XRP Ledger and will soon support Solana, TON Network, Polkadot, and others.

NEAR's Chain Signatures

The chain signatures network is secured partly by Eigenlayer. Developers can now build decentralized finance (DeFi) products that use assets from other chains without bridging these assets, added the press release. The offering is the latest step towards NEAR’s initiative of “chain abstraction,” which aims to tackle the user experience in crypto by simplifying the hurdles that exist in a multichain environment.

“Since day one, the NEAR ecosystem has focused on simplifying access to Web3 for developers and mainstream users,” said Illia Polosukhin, co-founder of NEAR. “Chain Signatures is the next step in that journey, making it significantly easier to transact on any blockchain while also defragmenting liquidity across the ecosystem.”

Chain signatures introduce threshold signatures for any blockchain, controlled by NEAR accounts and smart contracts, NEAR said.

A NEAR account, which can also be a smart contract thanks to the NEAR account model, can request that the NEAR validators or MPC nodes sign an arbitrary payload, which could be a transaction for some other blockchain, and get a signed payload back to then send to the destination chain.

The first of its kind, Chain Signatures is a major advancement in DeFi adoption by enhancing cross chain interoperability and unlocking a new variety of use cases for mainstream users and Web3 builders. Chain signatures makes it easier to build DeFi products for particular chains and assets (while utilizing assets from other chains e.g. USDC/T, SOL, etc). For example, users can use XRP as collateral to borrow USDC, or trade DOGE for SOL. The launch of Chain Signatures delivers an elevated user experience that simplifies the transaction process while increasing accessibility to liquidity on non-smart contract chains such as Bitcoin, DogeCoin, XRP Ledger, and more. This also means that Chain Signatures let app developers serve all ecosystems at once from one interface rather than having to commit to a single chain or pool of liquidity.

The Unstoppable Rise of NEAR

NEAR's native token, NEAR, has been on an impressive trajectory over the past few months, marking a significant increase in value. Since the start of October, the token has seen a roughly seven-fold increase, including an astounding doubling in value within a single week earlier this month. This surge has not only caught the attention of investors and traders but has also sparked discussions about the factors driving this remarkable growth.

NEAR Protocol, a layer-one blockchain designed as a community-run cloud computing platform, aims to offer a scalable and user-friendly environment for dApps. Its native token's performance is seen as a reflection of the growing interest and confidence in the platform's potential to compete with other blockchain ecosystems.

"The remarkable surge in NEAR's value reflects the growing interest in decentralized platforms."

Behind the Surge

Several factors contribute to the bullish sentiment surrounding NEAR's token. Among these, the platform's continuous development, strategic partnerships, and the broader acceptance of blockchain technology play pivotal roles. Additionally, the crypto market's dynamics, including investor sentiment and market trends, significantly impact the token's performance.

The Future of NEAR

As NEAR continues to grow, both in terms of its technology and its token's market performance, the crypto community watches closely. The platform's vision for a more accessible and efficient blockchain ecosystem resonates with many, suggesting that NEAR's rise may be more than just a temporary trend.

Implications for the Crypto Market

NEAR's recent performance is a testament to the vibrant and dynamic nature of the cryptocurrency market. As the industry continues to evolve, the success stories of tokens like NEAR provide valuable insights into the factors driving growth in the blockchain space. As such, NEAR's journey offers a fascinating case study for investors, developers, and enthusiasts alike.