Multi-chain Separation

Under the multi-soruce pegging mechanism, atETH does not have an absolute pegging target. Across different chains, the same stablecoin on different chains are actually different. It may be bridged through different bridges or may be a native stablecoin, which means it is no longer essentially the same token and can lead to price discrepancies.

If each chain's atETH is a bridge-able token, it introduces larger risks. Moreover, the AMOs of atETH <> eth-stETH and atETH <> arb-stETH, in the case of price differences between the two atETH (e.g., bridge hacks or chain hacks), cannot achieve the same effect as different stablecoins on the same chain due to the inability to execute fast, low-cost cross-chain transactions between cross-chain DEXs.

Therefore, each chain's atETH adopts an independent issuance approach, where they are all native stablecoins with independent AMOs and pegging targets. This will produce better results in risk control and pegging target selection.