CCTP

CCTP Bridge

Circle's Cross-Chain Transfer Protocol (CCTP) enables native USDC transfers between Solana and Arbitrum. The strategy uses CCTP for capital deployment and repatriation.

Bridge Architecture

CCTP provides:

  • Native USDC transfers

  • No wrapped tokens

  • Burn and mint mechanism

  • Attestation service

Outbound Flow (Solana → Arbitrum)

When deploying capital:

  1. Burn USDC on Solana

  2. Get burn attestation

  3. Mint USDC on Arbitrum

  4. Deploy to arbitrage vault

Process characteristics:

  • ~15 minute finality

  • No slippage

  • Fixed fee structure

Inbound Flow (Arbitrum → Solana)

When realizing performance:

  1. Withdraw from arbitrage vault

  2. Burn USDC on Arbitrum

  3. Get burn attestation

  4. Mint USDC on Solana

Epoch Batching

Bridge operations are batched per epoch:

  • Single outbound for all deposits

  • Single inbound for all redemptions

  • Reduces transaction costs

  • Simplifies reconciliation

Batching benefits:

  • Lower total fees

  • Reduced operational complexity

  • Better capital efficiency

Error Handling

Bridge failures are handled through:

  • Attestation verification

  • Retry mechanisms

  • Manual intervention if needed

  • Epoch-based reconciliation

The epoch system provides natural checkpoints for verifying bridge operations completed successfully.

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