Inter-blockchain communication

Inter-blockchain communication is a protocol design that lets separate blockchains send data, messages, or assets to each other. It is most closely associated with the Cosmos ecosystem, where the Inter-Blockchain Communication protocol lets independent chains communicate without relying on one single chain to process everything. Inter-blockchain communication can support token transfers, cross-chain applications, and shared activity between app-specific blockchains. It is different from a basic bridge because it is built as a standardized communication layer between compatible blockchains.

For example, a user has ATOM on Cosmos Hub and wants to use it on Osmosis, a decentralized exchange in the Cosmos ecosystem. Inter-Blockchain Communication lets the user transfer ATOM from Cosmos Hub to Osmosis so it can be traded or used there.