Stargate bridge is an omnichain liquidity protocol for native-asset transfers

A native USDC transfer from Ethereum to Arbitrum

One Stargate bridge transfer moves USDC between two supported networks while preserving the asset symbol and presenting the destination amount before the wallet signs.

Begin by connecting an EVM wallet and selecting Ethereum as the source, USDC as the asset, and Arbitrum One as the destination. The interface requests a live quote rather than assuming every route has capacity. That quote specifies the token contracts, route type, amount debited, amount delivered, protocol adjustment, and messaging fee. Stargate V2 performs same-asset bridging, so this pooled path transfers USDC to USDC; it does not turn USDC into USDT. If Hydra supplies the destination, the quote names the backed OFT representation that will arrive.

An ERC-20 route that needs a fresh allowance uses two source-chain transactions: one approval and one transfer. Native ETH or an existing sufficient allowance reduces the flow to one send transaction. The wallet must also hold enough ETH for Ethereum gas; the transferred USDC does not pay that source fee.

After confirmation, LayerZero carries the transfer instruction, and Stargate releases pool liquidity on Arbitrum or mints a Hydra OFT where that route applies. The destination is a 20-byte EVM address, although contract interfaces encode the receiver as bytes32. The connected wallet normally fills it automatically; Advanced mode accepts another compatible address.

Verification has two layers. The source explorer records the approval and send, while LayerZero Scan follows the message toward its destination transaction. The final check is the token balance under Arbitrum One, including the exact contract that the quote named. That comparison avoids relying on the interface's selected-network label alone. Only then is the asset ready for a swap on Uniswap, collateral on Aave, or another supported application.

Pooled liquidity, CCTP, and intent-based routes

Three established route models solve different transfer jobs: Stargate uses coordinated pools, Circle CCTP burns and mints USDC, and Across Protocol fills intent-based orders. Stargate suits same-asset transfers where a quoted pool or Hydra path exists. CCTP removes source USDC and issues native USDC on the destination without liquidity providers. Across uses relayers to advance destination funds before later settlement. Canonical options such as Arbitrum Bridge and Optimism Standard Bridge tie assets directly to their rollups. The asset contract, target application, route limit, and quoted cost decide among these designs.

What happens after the source transaction confirms?

Four Stargate transfer patterns begin after source confirmation: pool-to-pool, pool-to-OFT, OFT-to-OFT, and OFT-to-pool settlement coordinated through LayerZero V2 messaging and route credits.

Two contract families perform those patterns. StargatePool holds native ERC-20 tokens or ETH on core chains and allocates credits to remote paths. StargateOFT represents pool-backed assets on Hydra chains, where minting and burning extend the same liquidity base without opening another funded pool. A pool-to-pool transfer locks incoming value on one core chain and releases available value on another. Pool-to-OFT locks against the core reserve and mints the representation; OFT-to-pool burns that representation and unlocks the native asset. OFT-to-OFT burns on one Hydra chain and mints on the next. Each route preserves the quoted asset relationship.

Credits are accounting units, not user tokens. Stargate enforces two balance invariants: each pool covers its local and remote credit allocations, and aggregate pool balances cover Hydra OFT supply plus locked value. Dynamic planning reallocates credits toward active pathways. This structure gives source-side settlement certainty, although LayerZero delivery and destination execution still consume time, as explained in Stargate bridge walkthrough.

Taxi and Bus cost mechanics

Two Stargate V2 transport modes divide delivery costs differently: Taxi sends one transfer per message, while Bus batches a configured 2-10 passengers.

Taxi pays the messaging and destination execution cost for its own message, so it starts delivery after source finality and supports a composed call on arrival. Bus shares one batch's message cost among riders on the same pathway. A bus departs when its configured seats are paid or its waiting limit is reached; a sender may purchase the remaining seats to dispatch it earlier. The apparent bridge cost therefore combines source-chain gas, the quoted LayerZero messaging amount, any pathway treasury fee or reward, and an optional destination gas drop. Four cost entries deserve separate attention.

The quote owns the numbers because gas markets and pathway adjustments move. quoteOFT returns transfer limits, fee or reward detail, and the amount received; quoteSend prices the cross-chain message. Comparing amountSentLD with amountReceivedLD reveals the token-side adjustment, while the wallet displays source gas separately. LD means local decimals. Requote after changing the chain, token, amount, recipient, or mode.

Which wallets, tokens, and network settings are required?

Three prerequisites start a Stargate bridge transfer: an EVM-compatible wallet, an available same-asset route, and the source network's native gas token.

Wallet network labels should match chain IDs, since identical addresses appear on several EVM networks. Ethereum uses chain ID 1, Arbitrum One uses 42161, Optimism uses 10, Base uses 8453, BNB Smart Chain uses 56, and Avalanche C-Chain uses 43114. A quote, not that list alone, confirms whether the selected token pair is available. USDC uses 6 decimal places, while ETH and WETH use 18; the interface converts human-readable amounts into each token's local units.

The following decision checklist keeps the signature aligned with the intended route.

• Match the source token contract and destination asset shown in the quote.
• Keep the source gas asset separate from the amount being transferred.
• Use the connected address unless a tested 20-byte EVM recipient is required.
• Choose Taxi when a destination contract call is part of the transfer.
• Choose Bus only when batching is available and waiting fits the task.

Developers pass seven fields in SendParam: destination endpoint, 32-byte receiver, local amount, minimum local amount, execution options, compose message, and transport command. Ordinary users see the same controls as networks, recipient, slippage tolerance, Advanced settings, and Fast or Economy selection. Record the quote and transaction hash before leaving the source chain.

Liquidity limits and approval boundaries

Two independent limits govern every Stargate quote: the sender's source balance and the credits allocated to the selected destination pathway. The maximum receivable amount comes from quoteOFT, so splitting a transfer does not create credits that the path lacks. A minAmountLD that exceeds the recalculated output stops execution rather than accepting a lower amount. An ERC-20 allowance remains active until changed or consumed, and a custom recipient cannot be edited after signing. Requote after changing any field, then confirm the destination balance before making the next move.

When should a transfer use Taxi instead of Bus?

Two conditions make Taxi the required Stargate mode: the transfer needs immediate dispatch, or one destination compose call must execute after delivery.

Composability uses composeMsg and extraOptions to ask a destination contract to continue the workflow, such as depositing received assets into a vault. Bus does not invoke lzCompose, because a batch distributes funds without that per-rider execution path. Developers signal Taxi with an empty oftCmd; a one-byte command selects Bus. The destination contract also needs enough execution gas in the quoted options.

The same subject is covered in practice. Routine wallet-to-wallet movement can favor Bus when the route offers it and the waiting window is acceptable. Treasury rebalancing, time-sensitive collateral movement, or an application call favors Taxi, subject to the displayed quote. If the recipient merely needs spending gas, use the route's destination gas option rather than composing an unrelated contract action. The final choice should follow the recipient's next operation, not the transport label.