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Chain Abstraction

Estimated time to read: 3 minutes

For Web3 app users, managing multiple chains, tokens, and accounts often leads to liquidity fragmentation in their wallets. Even with sufficient overall token asset balance, users struggle to transact because funds are scattered across several chains. To transact, users must convert assets from two or more source chains into those accepted on the target chain. This is a complex, time-consuming process not everyone can navigate.

Chain Abstraction lets users view and access a unified balance across chains associated with their wallet account, enabling them to transact on any chain. It shifts the focus from having to bootstrap funds to transact on the destination chain to specifying a clear intent for the transaction. This simplifies the transaction process and makes it accessible to a wider audience.

With CA
Arcana's Chain Abstraction

Unified balance

Unified balance shows all the liquidity in a user's EoA account across multiple chains in one view. It lets users transact seamlessly on any chain without needing bridges or pre-provisioning gas for token swaps.

For instance, let us take the case where a user has 0 USDC , 4 ETH on Optimism, 10 USDC on Arbitrum, and 15 USDC on Base but intends to send 16 USDC on Optimism. This would typically require multiple clicks and steps including swapping or bridging assets available on the source chains to get the tokens required for spending on the destination chain. With chain abstraction, user can view the unified token balance across Arbitrum, Base and just sign the intent to send 16 USDC on Optimism.

Chain abstraction handles all the complexity involved in multi-chain transaction while enabling better UX through a single intent approval.

With CA
Single chain liquidity vs. Unified Balance with Chain Abstraction

Wagmi Plug & Play Widget

Arcana CA Wagmi SDK provides a plug and play widget that displays the Unified balance associated with the user's wallet address. This widget is available only for the Wagmi apps.

Follow these steps to use this widget:

  1. Install and integrate the app with the Arcana CA SDK.
  2. Use CAProvider to enable the plug-and-play unified balance widget in the app. Learn more...
With CA
Plug & Play Unified Balance Widget

Allowance

Allowances help activate the Chain Abstraction (CA) feature offered by the Arcana Network. They let Web3 users unlock fragmented liquidity across source chains and spend it on any destination chain, even when they lack sufficient balance there.

With a unified balance on the source chains, users can request funds on the destination chain. By setting up allowances, users permit Arcana Vault contracts on the source chains to collect the funds required to execute the transaction seamlessly on the destination chain.

Allowances can be set up anytime before a multi-chain transaction is initiated by the user.

Benefits

Chain abstraction and unified balances simplify and streamline Web3 transactions by offering:

  • Lower Complexity: Users specify their desired outcome and maximum price. Behind the scenes, solvers handle swaps, conversions, and routing securely and transparently.
  • Unified Liquidity: Users see a consolidated view of their assets across all chains without needing manual bridges or swaps.
  • Simplified UX: It eliminates the technical and time-consuming multi-step hurdles, creating a seamless experience for both experts and casual users by eliminating the clutter between user expectation and reality of blockchain ecosystem.
  • Streamlined DX: Developers can enable unified balances in dApps without altering existing stacks. With the Arcana Chain Abstraction SDK, they can integrate seamlesslyβ€”no need to write smart contracts or manage chain switching for transactions on new chains.

Last update: February 12, 2025 by shaloo