Sidechains - Crypto Academy / S4W8 - Homework post for pelon53

chimezunem001 (66)Beginner[4,7]in SteemitCryptoAcademy • 3 years ago (edited)

sidechain blockchain

As the name implies side I.e alternative. It is a blockchain that is fused to another blockchain, the blockchain it is fused to is referred to as the main chain, through a two-way peg.

Sidechain came to existence striving to make blockchain more scalable as well as making it well organized. The sidechain enables tokens with another digital asset from one blockchain to be solid and dependably utilized in another blockchain and then be moved back to the initial blockchain when necessary.

What makes a sidechain thrilling is that the chain function just like the way the ethereum main chain functions . Because it relies on the EMV (ethereum movie venture). It doesn't utilize ethereum, it is ethereum. This gives a summary of utilizing your dapp on a sidechain.

It is simply a problem of sending your code to this sidechain. It looks feel, as well behave Exactly like a mainnet- you compose contracts in strength and collaborate with the chain using the web3 programming interface.

1. explaining sidechain using ZK-Rollups

The ZK-Rollup is created as an alternative for layer 2 construction that rises scalability via a bunch of transfers, processing rolled into a single transaction. Zk-rollup pile hundred of transactions into a single transaction.

The presence of smart contrast will resolve and validate all the transfers that is been held in a single transaction.

A zero-knowledge proof is utilized to introduce and openly record the validity of the block on the ethereum blockchain. ZK lessens computing with storage resources for authorizing the block by diminishing the amount of data held in a transaction. Zero knowledge of the entire data is required.

There are two types of users in the ZK-Rollup which are the transactors and relayers.

transactor this user generates their transfer and publish I.e make the transfer public to the network in the transfer data, you can find an indexed “to” with “from” addresses also a rate to transfer, the network fee as well as the nonce.
the Relayers: these users take a huge amount of transfer to develop a rollup. The relayers their work is to produce the SNARK PROOF.

The SNARK PROOF function is to distinguish a picture of the blockchain before and after the transfer I.e the wallet values. It reports only the differences in a verifiable hash to the mainnet.

experience while using the ZK-Rollups.

Those using the apps running on the ZK-Rollup project will pay a fewer fee while transacting. Before a zero-knowledge proof can be created, a large amount of computing power will be needed the execution is proposed to be a “submit check” approach.

The delay will increase for a block to be confirmed reason is that the SNARK PROOF slows down by several blocks what this means is that users won't be known how they will be affected until execution.

Advantage of ZK-Rollups

it lessens the fee for each user transfer
it does not need a fraud game verification just like optimistic Rollup, which can slow down withdrawals for weeks.
it promotes decentralization because the block will be computed in a parallel computing model.

disadvantage

The first setup of ZK-Rollups makes the centralized project advanced.
quantum computing causes a threat for the blockchain to be hacked.

2. explain the liquid network sidechain

A liquid network sidechain is the type of sidechain that enables bitcoin to flow in the middle of the liquid as well as a bitcoin network accompanied by a two-way peg.

There are network members called the functionaries whose duty is to manage and ensure the verifiable equivalent amount of BTC, bitcoin utilized in the network is known as L-BTC.

Note that the L-BTC can not be traded or exchanged in another network apart from the liquid network only.

In the liquid sidechain, all legal transactions wait to be verified by the bitcoin network. Any transaction made await processing. This project was created by Blockstream to improve and settle the process for digital assets.

The network is unique and can connect various exchanges, brokers, with financial institutions in a. Network. We have companies like bitfinex, bitmex, Okcoin, etc.

credit
^{screenshot from liquid network website to show the liquid federation members}

It has been mentioned above that has L-BTC which is their traditional digital token. Another exciting feature of the liquid network, sidechain is that all L- BTC and main bitcoin are pegged which signals that you can swap L-BTC for the main bitcoin at any point in time.

The liquid network looks like the lightning network, the main vision is to invite huge financial institutions as well as exchange, as it establishes to assist in settling high-volume transactions.

features of liquid network

rapid transfer
confidential transaction
secure trading

There are so many of them but let's discuss the above 3 listed.

Rapid transfer: bitcoin transfers on liquid are completely fixed within two minutes, permitting traders to move money quickly in the middle of the broker with their wallets without confronting long, dubious authorization time.

Confidential transaction: asset types with amounts are concealed naturally on the Liquid sidechain, keeping merchants touchy in monetary information and secure than from outsiders as well as avoiding the front running of huge orders.

Secure trading: all assets on the liquid can be traded for some other asset utilizing the open-source liquid swap device. By limiting counterparty insecure, you can be self-assured to work with more trading members.

advantage of liquid network sidechain

the network can't be regulated by Blockstream itself rather consensus is needed.
exchange, financial institutions brokers etc they can regulate only one nonce.
transactions are timely in less than one minute. Blook/finalization in less than two minutes.

disadvantage of liquid sidechain network.

limited nodes, more centralized, albeit via high exchange with financial institutions.
fee harvesting layers. Meaning that this sidechain divert power with profit from the mines to the creators.

3. steps to connect the Metamask wallet and the Polygon network wallet.

I logged into my metamask and click on the 3 horizontal lines at the top left hand corner.

In the second step, I clicked on browser

In the third step, I copied the polygon link and pasted it in the search. After searching, it showed the polygon wallet

In the fourth step, I clicked on the polygon wallet. And a page displayed.

Here is the display in the next step, which I clicked on metamask because am connecting to metamask.

I clicked on connect

I clicked on sign in.

Here is my connected polygon wallet. Which I can now receive and send any tokens supported by the polygon wallet.

Additionally, you can click on the 3 horizontal lines at the top left-hand corner in case you want to see the tokens polygon wallet support

Click on the asset on the polygon.

You can see the list of the assets on the polygon wallet including the native token of the wallet MATIC (plasma) which you can stake to earn reward also.

4. According to the polygon scan block explorer, when will the block 25,000,000 be generated.

I visited the polygonscan explorer and search for block 25,000,000 this is how it looks below

From the above screenshot, we can see that block 25000000 will be generated in 124 days, 12 hours, 01 minutes, and 27 seconds.

The estimated target date is Tuesday 01 March 2022
Time is 22:00:24 GMT+ 0100(WAT).

explore the 12,000,000 block at that time what was the price of the magic.

From the polygon scan explorer, it shows that the price of magic is $0.38/matic.

conclusion

A sidechain start as a look-alike of the blockchain it is connected to before it goes live. Transactions that took place on a sidechain does not require to be entailed in the main blockchain block. The reason is that there won't be any experience on network fee by transacting over the sidechain.

Thanks for reading through indeed it is a wonderful topic chosen by the processor@pelon53 which has made me know more about sidechains, how they solve the scalability problem, and how they authorize transactions quickly.

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