Polygon’s AggLayer Explained: Aggregating Liquidity Across Chains

Polygon's AggLayer is an interoperability layer designed to solve Ethereum's liquidity fragmentation problem by connecting multiple chains into one unified ecosystem. Instead of requiring separate bridges between each chain pair, AggLayer uses a Unified Bridge, Pessimistic Proof system, and State Transition Proof to enable atomic cross-chain transactions. This liquidity-first approach treats assets natively across chains, allowing DeFi applications to access deeper liquidity pools and users to interact seamlessly without managing multiple wrapped tokens or bridges.