Terabethia is a bridge and communication protocol that contracts across chains (starting with Ethereum & the Internet Computer) can use to send messages to each other, as well as automatically mirror & use Ethereum assets (ERC20, ERC721, ERC1155) on the IC.
Smart Contract to Canister Messaging Protocol.
Terabethia uses StarkWare's messaging protocol to allow any smart contract on Ethereum, or canister on the Internet Computer, to send messages to contracts on other networks. Doing this will extend the functionality & value of Ethereum assets by enabling them to access the IC's (and soon other chains) unique capabilities without needing to modify any contracts or code!
Magic Proxy: Move & Use Ethereum Assets on the IC.
Two key aspects of the Terabethia bridge protocol, the Magic Proxy & Token Factory, enable anyone on Ethereum to bridge any ERC20, ERC721, and ERC1155 asset to the IC (and back!), by locking it on the Magic Proxy contract, and minting an equal wrapped amount on the IC. The bridge will programmatically deploy a canister for that asset using equivalent DIP20, DIP721, and, DIP1155 standards.