Bridging Module

Tunnel, the Parallel bridging module is a secure, scalable, and decentralized bridging infrastructure which enable seamless transfer of PAR and paUSD between supported chains. The module is designed to be highly flexible while maintaining robust security, allowing the Parallel Protocol to expand across multiple chains without compromising the stability of its stablecoins. Built on LayerZero's infrastructure, it offers several key features:

Security & Architecture

• Utilizes LayerZero's decentralized message verification and execution infrastructure

• Implements a modular security stack with configurable Decentralized Verifier Networks (DVNs)

• Employs an "X of Y of N" security model allowing flexible combinations of validators

• Includes fallback mechanisms through permissionless execution if automated systems fail

• Follows the Omnichain Fungible Token (OFT) standard

Key Features

• Daily & Global Limits: Configurable mint and burn limits to manage risk

• Isolation Mode: Optional feature to contain risk from less secure chains

• Fee System: Flexible fee structure for sustaining operations

• Emergency Controls: Pause/unpause functionality for risk management

• Fully DAO Controlled: All parameters and operations managed by governance

Risk Management

• Mint/burn limits on both daily and global levels

• Chain-specific isolation modes to prevent risk propagation

• Multiple DVNs required for transaction verification

• Automatic transaction reversal if required validators are unavailable

• Full governance control over all security parameters

Codebase & License

The Bridging Module codebase is publicly available here and is released under the MIT License. The code has been audited by Bail Security, with the audit costs covered by Mimo Labs. The audit report is available here.

More technical informations available in the developers documentation.