Cross-chain transactions are like this: you want to exchange your RMB for USD, but suddenly there are seven or eight middlemen popping up, each taking a cut, and they keep telling you "System upgrade, please wait." Annoying, right?

PACT SWAP @Pact_Swap has raised $5 million in funding, and their goal is to make cross-chain token swaps as smooth as a single-chain DEX, without relying on those nerve-wracking cross-chain bridges.

Technically, they operate based on the PACT framework from Coinweb, implementing what they call "trustless interoperability." Basically: you initiate a transaction on the Bitcoin chain, and it directly connects with Ethereum or other L1/L2 chains, without needing additional validator nodes to attest. Official data claims it's up to 95% cheaper than existing cross-chain solutions. If true, that’s quite impressive.

What I find most interesting is that it supports native BTC transactions. Not wrapped BTC or synthetic assets, but real Bitcoin. Plus, it also supports Litecoin, Dogecoin, and other BTC-based coins. For old-school crypto enthusiasts who swear by "not your keys, not your coins," this should be quite appealing.

Additionally, each swap has an over-collateralization mechanism, with automatic compensation if issues arise. This isn’t a new trick, but in the cross-chain scene, it definitely provides more peace of mind.

The only question is—will it run smoothly in practice? We’ll have to wait until the product launches. The concept sounds great, but the cross-chain space has seen too many projects fall into pitfalls.