Owners of DeFi wallets were alerted by Arkham Research to check the addresses and attempt to get their money back, as it has been trapped in bridge contracts for months.

Welcome to Finance Redefined, a newsletter designed to provide you with the most important developments from the previous week. This is your weekly dose of crucial decentralised finance (DeFi) information.

BNB Chain announced native liquid staking on its BNB Smart Chain (BSC) this past week in DeFi. By making this change, ecosystem players will be able to secure the network without sacrificing the liquidity of their assets.

DeFi protocol In order to improve cross-chain smart contract interoperability across nine blockchain networks, Chainlink introduced a cross-chain protocol.

Additionally, Arkham Research discovered that almost six DeFi wallets with millions of dollars stuck in them DeFi contracts for bridges.

With BNB Chain, native liquid staking on BSC will be possible.

As part of its plan to transfer the operations of the BNB Beacon Chain to BSC when the former is shut down, BNB Chain announced that it will allow native liquid staking on its BNB Smart Chain.

By June 2024, BNB Chain plans to fully shut down the BNB Beacon Chain, according to a statement provided to Cointelegraph. But before it closes, the corporation promised to move its functionality to the BSC.

According to BNB Chain, ecosystem members will be able to safeguard the network while maintaining the liquidity of their assets by permitting liquid staking on BSC.

Although the company did not provide a deadline for the liquid staking feature's launch, BNB Chain said it will happen in April or May

Chainlink debuts new protocol aimed at boosting cross-chain interoperability

Chainlink’s Cross-Chain Interoperability Protocol (CCIP) has entered general availability to foster more cross-chain connectivity.

The protocol lets developers use CCIP permissionlessly for cross-chain token transfers and arbitrary smart contract messaging across different blockchain networks.

Developers will also be able to send and trigger function calls on smart contracts deployed on other blockchains, making cross-chain smart contracts more interoperable.

CCIP’s mainnet general availability will enable a faster and easier implementation for developers, bolstering cross-chain connectivity, according to Sergey Nazarov, co-founder of Chainlink.

EigenLayer on the brink of potential yield crisis

EigenLayer, the largest restaking protocol on Ethereum by total value locked (TVL), could be facing a “major” yield crisis, according to industry watchers.

Due to EigenLayer’s rapid growth in TVL, the protocol may be outgrowing its Actively Validated Services (AVS), which could lead to a major yield reduction, according to Chudnov, a pseudonymous builder at 3Jane derivatives exchange.

EigenLayer removed the limits on all liquid staking tokens (LSTs) on April 16, according to an X announcement. EigenLayer launched on mainnet on April 10.

When a user stakes an LST via EigenLayer, it is automatically delegated to a node operator, which uses the deposits to secure an AVS on EigenLayer while receiving staking rewards.

Part of the staking rewards are passed on to the user. Yet AVS on the protocol require much less staked Ether for security, which could lead to issues in the future.