Relayer Incentive Alignment

Relayer incentive alignment is the study of how the economic rewards provided to bridge relayers encourage them to act in the best interest of the protocol. Relayers are responsible for monitoring events on one chain and submitting proof to another, a task that requires capital and effort.

If the reward structure is misaligned, relayers might neglect their duties, delay transactions, or act maliciously to maximize personal profit. Effective alignment ensures that the cost of honest operation is lower than the potential gains from malicious activity.

This is crucial for maintaining the throughput and reliability of cross-chain liquidity.