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Why i’m bullish on Zilliqa (long read)

Edit: TL;DR added in the comments
 
Hey all, I've been researching coins since 2017 and have gone through 100s of them in the last 3 years. I got introduced to blockchain via Bitcoin of course, analyzed Ethereum thereafter and from that moment I have a keen interest in smart contact platforms. I’m passionate about Ethereum but I find Zilliqa to have a better risk-reward ratio. Especially because Zilliqa has found an elegant balance between being secure, decentralized and scalable in my opinion.
 
Below I post my analysis of why from all the coins I went through I’m most bullish on Zilliqa (yes I went through Tezos, EOS, NEO, VeChain, Harmony, Algorand, Cardano etc.). Note that this is not investment advice and although it's a thorough analysis there is obviously some bias involved. Looking forward to what you all think!
 
Fun fact: the name Zilliqa is a play on ‘silica’ silicon dioxide which means “Silicon for the high-throughput consensus computer.”
 
This post is divided into (i) Technology, (ii) Business & Partnerships, and (iii) Marketing & Community. I’ve tried to make the technology part readable for a broad audience. If you’ve ever tried understanding the inner workings of Bitcoin and Ethereum you should be able to grasp most parts. Otherwise, just skim through and once you are zoning out head to the next part.
 
Technology and some more:
 
Introduction
 
The technology is one of the main reasons why I’m so bullish on Zilliqa. First thing you see on their website is: “Zilliqa is a high-performance, high-security blockchain platform for enterprises and next-generation applications.” These are some bold statements.
 
Before we deep dive into the technology let’s take a step back in time first as they have quite the history. The initial research paper from which Zilliqa originated dates back to August 2016: Elastico: A Secure Sharding Protocol For Open Blockchains where Loi Luu (Kyber Network) is one of the co-authors. Other ideas that led to the development of what Zilliqa has become today are: Bitcoin-NG, collective signing CoSi, ByzCoin and Omniledger.
 
The technical white paper was made public in August 2017 and since then they have achieved everything stated in the white paper and also created their own open source intermediate level smart contract language called Scilla (functional programming language similar to OCaml) too.
 
Mainnet is live since the end of January 2019 with daily transaction rates growing continuously. About a week ago mainnet reached 5 million transactions, 500.000+ addresses in total along with 2400 nodes keeping the network decentralized and secure. Circulating supply is nearing 11 billion and currently only mining rewards are left. The maximum supply is 21 billion with annual inflation being 7.13% currently and will only decrease with time.
 
Zilliqa realized early on that the usage of public cryptocurrencies and smart contracts were increasing but decentralized, secure, and scalable alternatives were lacking in the crypto space. They proposed to apply sharding onto a public smart contract blockchain where the transaction rate increases almost linear with the increase in the amount of nodes. More nodes = higher transaction throughput and increased decentralization. Sharding comes in many forms and Zilliqa uses network-, transaction- and computational sharding. Network sharding opens up the possibility of using transaction- and computational sharding on top. Zilliqa does not use state sharding for now. We’ll come back to this later.
 
Before we continue dissecting how Zilliqa achieves such from a technological standpoint it’s good to keep in mind that a blockchain being decentralised and secure and scalable is still one of the main hurdles in allowing widespread usage of decentralised networks. In my opinion this needs to be solved first before blockchains can get to the point where they can create and add large scale value. So I invite you to read the next section to grasp the underlying fundamentals. Because after all these premises need to be true otherwise there isn’t a fundamental case to be bullish on Zilliqa, right?
 
Down the rabbit hole
 
How have they achieved this? Let’s define the basics first: key players on Zilliqa are the users and the miners. A user is anybody who uses the blockchain to transfer funds or run smart contracts. Miners are the (shard) nodes in the network who run the consensus protocol and get rewarded for their service in Zillings (ZIL). The mining network is divided into several smaller networks called shards, which is also referred to as ‘network sharding’. Miners subsequently are randomly assigned to a shard by another set of miners called DS (Directory Service) nodes. The regular shards process transactions and the outputs of these shards are eventually combined by the DS shard as they reach consensus on the final state. More on how these DS shards reach consensus (via pBFT) will be explained later on.
 
The Zilliqa network produces two types of blocks: DS blocks and Tx blocks. One DS Block consists of 100 Tx Blocks. And as previously mentioned there are two types of nodes concerned with reaching consensus: shard nodes and DS nodes. Becoming a shard node or DS node is being defined by the result of a PoW cycle (Ethash) at the beginning of the DS Block. All candidate mining nodes compete with each other and run the PoW (Proof-of-Work) cycle for 60 seconds and the submissions achieving the highest difficulty will be allowed on the network. And to put it in perspective: the average difficulty for one DS node is ~ 2 Th/s equaling 2.000.000 Mh/s or 55 thousand+ GeForce GTX 1070 / 8 GB GPUs at 35.4 Mh/s. Each DS Block 10 new DS nodes are allowed. And a shard node needs to provide around 8.53 GH/s currently (around 240 GTX 1070s). Dual mining ETH/ETC and ZIL is possible and can be done via mining software such as Phoenix and Claymore. There are pools and if you have large amounts of hashing power (Ethash) available you could mine solo.
 
The PoW cycle of 60 seconds is a peak performance and acts as an entry ticket to the network. The entry ticket is called a sybil resistance mechanism and makes it incredibly hard for adversaries to spawn lots of identities and manipulate the network with these identities. And after every 100 Tx Blocks which corresponds to roughly 1,5 hour this PoW process repeats. In between these 1,5 hour, no PoW needs to be done meaning Zilliqa’s energy consumption to keep the network secure is low. For more detailed information on how mining works click here.
Okay, hats off to you. You have made it this far. Before we go any deeper down the rabbit hole we first must understand why Zilliqa goes through all of the above technicalities and understand a bit more what a blockchain on a more fundamental level is. Because the core of Zilliqa’s consensus protocol relies on the usage of pBFT (practical Byzantine Fault Tolerance) we need to know more about state machines and their function. Navigate to Viewblock, a Zilliqa block explorer, and just come back to this article. We will use this site to navigate through a few concepts.
 
We have established that Zilliqa is a public and distributed blockchain. Meaning that everyone with an internet connection can send ZILs, trigger smart contracts, etc. and there is no central authority who fully controls the network. Zilliqa and other public and distributed blockchains (like Bitcoin and Ethereum) can also be defined as state machines.
 
Taking the liberty of paraphrasing examples and definitions given by Samuel Brooks’ medium article, he describes the definition of a blockchain (like Zilliqa) as: “A peer-to-peer, append-only datastore that uses consensus to synchronize cryptographically-secure data”.
 
Next, he states that: "blockchains are fundamentally systems for managing valid state transitions”. For some more context, I recommend reading the whole medium article to get a better grasp of the definitions and understanding of state machines. Nevertheless, let’s try to simplify and compile it into a single paragraph. Take traffic lights as an example: all its states (red, amber, and green) are predefined, all possible outcomes are known and it doesn’t matter if you encounter the traffic light today or tomorrow. It will still behave the same. Managing the states of a traffic light can be done by triggering a sensor on the road or pushing a button resulting in one traffic lights’ state going from green to red (via amber) and another light from red to green.
 
With public blockchains like Zilliqa, this isn’t so straightforward and simple. It started with block #1 almost 1,5 years ago and every 45 seconds or so a new block linked to the previous block is being added. Resulting in a chain of blocks with transactions in it that everyone can verify from block #1 to the current #647.000+ block. The state is ever changing and the states it can find itself in are infinite. And while the traffic light might work together in tandem with various other traffic lights, it’s rather insignificant comparing it to a public blockchain. Because Zilliqa consists of 2400 nodes who need to work together to achieve consensus on what the latest valid state is while some of these nodes may have latency or broadcast issues, drop offline or are deliberately trying to attack the network, etc.
 
Now go back to the Viewblock page take a look at the amount of transaction, addresses, block and DS height and then hit refresh. Obviously as expected you see new incremented values on one or all parameters. And how did the Zilliqa blockchain manage to transition from a previous valid state to the latest valid state? By using pBFT to reach consensus on the latest valid state.
 
After having obtained the entry ticket, miners execute pBFT to reach consensus on the ever-changing state of the blockchain. pBFT requires a series of network communication between nodes, and as such there is no GPU involved (but CPU). Resulting in the total energy consumed to keep the blockchain secure, decentralized and scalable being low.
 
pBFT stands for practical Byzantine Fault Tolerance and is an optimization on the Byzantine Fault Tolerant algorithm. To quote Blockonomi: “In the context of distributed systems, Byzantine Fault Tolerance is the ability of a distributed computer network to function as desired and correctly reach a sufficient consensus despite malicious components (nodes) of the system failing or propagating incorrect information to other peers.” Zilliqa is such a distributed computer network and depends on the honesty of the nodes (shard and DS) to reach consensus and to continuously update the state with the latest block. If pBFT is a new term for you I can highly recommend the Blockonomi article.
 
The idea of pBFT was introduced in 1999 - one of the authors even won a Turing award for it - and it is well researched and applied in various blockchains and distributed systems nowadays. If you want more advanced information than the Blockonomi link provides click here. And if you’re in between Blockonomi and the University of Singapore read the Zilliqa Design Story Part 2 dating from October 2017.
Quoting from the Zilliqa tech whitepaper: “pBFT relies upon a correct leader (which is randomly selected) to begin each phase and proceed when the sufficient majority exists. In case the leader is byzantine it can stall the entire consensus protocol. To address this challenge, pBFT offers a view change protocol to replace the byzantine leader with another one.”
 
pBFT can tolerate ⅓ of the nodes being dishonest (offline counts as Byzantine = dishonest) and the consensus protocol will function without stalling or hiccups. Once there are more than ⅓ of dishonest nodes but no more than ⅔ the network will be stalled and a view change will be triggered to elect a new DS leader. Only when more than ⅔ of the nodes are dishonest (66%) double-spend attacks become possible.
 
If the network stalls no transactions can be processed and one has to wait until a new honest leader has been elected. When the mainnet was just launched and in its early phases, view changes happened regularly. As of today the last stalling of the network - and view change being triggered - was at the end of October 2019.
 
Another benefit of using pBFT for consensus besides low energy is the immediate finality it provides. Once your transaction is included in a block and the block is added to the chain it’s done. Lastly, take a look at this article where three types of finality are being defined: probabilistic, absolute and economic finality. Zilliqa falls under the absolute finality (just like Tendermint for example). Although lengthy already we skipped through some of the inner workings from Zilliqa’s consensus: read the Zilliqa Design Story Part 3 and you will be close to having a complete picture on it. Enough about PoW, sybil resistance mechanism, pBFT, etc. Another thing we haven’t looked at yet is the amount of decentralization.
 
Decentralisation
 
Currently, there are four shards, each one of them consisting of 600 nodes. 1 shard with 600 so-called DS nodes (Directory Service - they need to achieve a higher difficulty than shard nodes) and 1800 shard nodes of which 250 are shard guards (centralized nodes controlled by the team). The amount of shard guards has been steadily declining from 1200 in January 2019 to 250 as of May 2020. On the Viewblock statistics, you can see that many of the nodes are being located in the US but those are only the (CPU parts of the) shard nodes who perform pBFT. There is no data from where the PoW sources are coming. And when the Zilliqa blockchain starts reaching its transaction capacity limit, a network upgrade needs to be executed to lift the current cap of maximum 2400 nodes to allow more nodes and formation of more shards which will allow to network to keep on scaling according to demand.
Besides shard nodes there are also seed nodes. The main role of seed nodes is to serve as direct access points (for end-users and clients) to the core Zilliqa network that validates transactions. Seed nodes consolidate transaction requests and forward these to the lookup nodes (another type of nodes) for distribution to the shards in the network. Seed nodes also maintain the entire transaction history and the global state of the blockchain which is needed to provide services such as block explorers. Seed nodes in the Zilliqa network are comparable to Infura on Ethereum.
 
The seed nodes were first only operated by Zilliqa themselves, exchanges and Viewblock. Operators of seed nodes like exchanges had no incentive to open them for the greater public. They were centralised at first. Decentralisation at the seed nodes level has been steadily rolled out since March 2020 ( Zilliqa Improvement Proposal 3 ). Currently the amount of seed nodes is being increased, they are public-facing and at the same time PoS is applied to incentivize seed node operators and make it possible for ZIL holders to stake and earn passive yields. Important distinction: seed nodes are not involved with consensus! That is still PoW as entry ticket and pBFT for the actual consensus.
 
5% of the block rewards are being assigned to seed nodes (from the beginning in 2019) and those are being used to pay out ZIL stakers. The 5% block rewards with an annual yield of 10.03% translate to roughly 610 MM ZILs in total that can be staked. Exchanges use the custodial variant of staking and wallets like Moonlet will use the non-custodial version (starting in Q3 2020). Staking is being done by sending ZILs to a smart contract created by Zilliqa and audited by Quantstamp.
 
With a high amount of DS; shard nodes and seed nodes becoming more decentralized too, Zilliqa qualifies for the label of decentralized in my opinion.
 
Smart contracts
 
Let me start by saying I’m not a developer and my programming skills are quite limited. So I‘m taking the ELI5 route (maybe 12) but if you are familiar with Javascript, Solidity or specifically OCaml please head straight to Scilla - read the docs to get a good initial grasp of how Zilliqa’s smart contract language Scilla works and if you ask yourself “why another programming language?” check this article. And if you want to play around with some sample contracts in an IDE click here. The faucet can be found here. And more information on architecture, dapp development and API can be found on the Developer Portal.
If you are more into listening and watching: check this recent webinar explaining Zilliqa and Scilla. Link is time-stamped so you’ll start right away with a platform introduction, roadmap 2020 and afterwards a proper Scilla introduction.
 
Generalized: programming languages can be divided into being ‘object-oriented’ or ‘functional’. Here is an ELI5 given by software development academy: * “all programs have two basic components, data – what the program knows – and behavior – what the program can do with that data. So object-oriented programming states that combining data and related behaviors in one place, is called “object”, which makes it easier to understand how a particular program works. On the other hand, functional programming argues that data and behavior are different things and should be separated to ensure their clarity.” *
 
Scilla is on the functional side and shares similarities with OCaml: OCaml is a general-purpose programming language with an emphasis on expressiveness and safety. It has an advanced type system that helps catch your mistakes without getting in your way. It's used in environments where a single mistake can cost millions and speed matters, is supported by an active community, and has a rich set of libraries and development tools. For all its power, OCaml is also pretty simple, which is one reason it's often used as a teaching language.
 
Scilla is blockchain agnostic, can be implemented onto other blockchains as well, is recognized by academics and won a so-called Distinguished Artifact Award award at the end of last year.
 
One of the reasons why the Zilliqa team decided to create their own programming language focused on preventing smart contract vulnerabilities is that adding logic on a blockchain, programming, means that you cannot afford to make mistakes. Otherwise, it could cost you. It’s all great and fun blockchains being immutable but updating your code because you found a bug isn’t the same as with a regular web application for example. And with smart contracts, it inherently involves cryptocurrencies in some form thus value.
 
Another difference with programming languages on a blockchain is gas. Every transaction you do on a smart contract platform like Zilliqa or Ethereum costs gas. With gas you basically pay for computational costs. Sending a ZIL from address A to address B costs 0.001 ZIL currently. Smart contracts are more complex, often involve various functions and require more gas (if gas is a new concept click here ).
 
So with Scilla, similar to Solidity, you need to make sure that “every function in your smart contract will run as expected without hitting gas limits. An improper resource analysis may lead to situations where funds may get stuck simply because a part of the smart contract code cannot be executed due to gas limits. Such constraints are not present in traditional software systems”. Scilla design story part 1
 
Some examples of smart contract issues you’d want to avoid are: leaking funds, ‘unexpected changes to critical state variables’ (example: someone other than you setting his or her address as the owner of the smart contract after creation) or simply killing a contract.
 
Scilla also allows for formal verification. Wikipedia to the rescue: In the context of hardware and software systems, formal verification is the act of proving or disproving the correctness of intended algorithms underlying a system with respect to a certain formal specification or property, using formal methods of mathematics.
 
Formal verification can be helpful in proving the correctness of systems such as: cryptographic protocols, combinational circuits, digital circuits with internal memory, and software expressed as source code.
 
Scilla is being developed hand-in-hand with formalization of its semantics and its embedding into the Coq proof assistant — a state-of-the art tool for mechanized proofs about properties of programs.”
 
Simply put, with Scilla and accompanying tooling developers can be mathematically sure and proof that the smart contract they’ve written does what he or she intends it to do.
 
Smart contract on a sharded environment and state sharding
 
There is one more topic I’d like to touch on: smart contract execution in a sharded environment (and what is the effect of state sharding). This is a complex topic. I’m not able to explain it any easier than what is posted here. But I will try to compress the post into something easy to digest.
 
Earlier on we have established that Zilliqa can process transactions in parallel due to network sharding. This is where the linear scalability comes from. We can define simple transactions: a transaction from address A to B (Category 1), a transaction where a user interacts with one smart contract (Category 2) and the most complex ones where triggering a transaction results in multiple smart contracts being involved (Category 3). The shards are able to process transactions on their own without interference of the other shards. With Category 1 transactions that is doable, with Category 2 transactions sometimes if that address is in the same shard as the smart contract but with Category 3 you definitely need communication between the shards. Solving that requires to make a set of communication rules the protocol needs to follow in order to process all transactions in a generalised fashion.
 
And this is where the downsides of state sharding comes in currently. All shards in Zilliqa have access to the complete state. Yes the state size (0.1 GB at the moment) grows and all of the nodes need to store it but it also means that they don’t need to shop around for information available on other shards. Requiring more communication and adding more complexity. Computer science knowledge and/or developer knowledge required links if you want to dig further: Scilla - language grammar Scilla - Foundations for Verifiable Decentralised Computations on a Blockchain Gas Accounting NUS x Zilliqa: Smart contract language workshop
 
Easier to follow links on programming Scilla https://learnscilla.com/home Ivan on Tech
 
Roadmap / Zilliqa 2.0
 
There is no strict defined roadmap but here are topics being worked on. And via the Zilliqa website there is also more information on the projects they are working on.
 
Business & Partnerships
 
It’s not only technology in which Zilliqa seems to be excelling as their ecosystem has been expanding and starting to grow rapidly. The project is on a mission to provide OpenFinance (OpFi) to the world and Singapore is the right place to be due to its progressive regulations and futuristic thinking. Singapore has taken a proactive approach towards cryptocurrencies by introducing the Payment Services Act 2019 (PS Act). Among other things, the PS Act will regulate intermediaries dealing with certain cryptocurrencies, with a particular focus on consumer protection and anti-money laundering. It will also provide a stable regulatory licensing and operating framework for cryptocurrency entities, effectively covering all crypto businesses and exchanges based in Singapore. According to PWC 82% of the surveyed executives in Singapore reported blockchain initiatives underway and 13% of them have already brought the initiatives live to the market. There is also an increasing list of organizations that are starting to provide digital payment services. Moreover, Singaporean blockchain developers Building Cities Beyond has recently created an innovation $15 million grant to encourage development on its ecosystem. This all suggests that Singapore tries to position itself as (one of) the leading blockchain hubs in the world.
 
Zilliqa seems to already take advantage of this and recently helped launch Hg Exchange on their platform, together with financial institutions PhillipCapital, PrimePartners and Fundnel. Hg Exchange, which is now approved by the Monetary Authority of Singapore (MAS), uses smart contracts to represent digital assets. Through Hg Exchange financial institutions worldwide can use Zilliqa's safe-by-design smart contracts to enable the trading of private equities. For example, think of companies such as Grab, Airbnb, SpaceX that are not available for public trading right now. Hg Exchange will allow investors to buy shares of private companies & unicorns and capture their value before an IPO. Anquan, the main company behind Zilliqa, has also recently announced that they became a partner and shareholder in TEN31 Bank, which is a fully regulated bank allowing for tokenization of assets and is aiming to bridge the gap between conventional banking and the blockchain world. If STOs, the tokenization of assets, and equity trading will continue to increase, then Zilliqa’s public blockchain would be the ideal candidate due to its strategic positioning, partnerships, regulatory compliance and the technology that is being built on top of it.
 
What is also very encouraging is their focus on banking the un(der)banked. They are launching a stablecoin basket starting with XSGD. As many of you know, stablecoins are currently mostly used for trading. However, Zilliqa is actively trying to broaden the use case of stablecoins. I recommend everybody to read this text that Amrit Kumar wrote (one of the co-founders). These stablecoins will be integrated in the traditional markets and bridge the gap between the crypto world and the traditional world. This could potentially revolutionize and legitimise the crypto space if retailers and companies will for example start to use stablecoins for payments or remittances, instead of it solely being used for trading.
 
Zilliqa also released their DeFi strategic roadmap (dating November 2019) which seems to be aligning well with their OpFi strategy. A non-custodial DEX is coming to Zilliqa made by Switcheo which allows cross-chain trading (atomic swaps) between ETH, EOS and ZIL based tokens. They also signed a Memorandum of Understanding for a (soon to be announced) USD stablecoin. And as Zilliqa is all about regulations and being compliant, I’m speculating on it to be a regulated USD stablecoin. Furthermore, XSGD is already created and visible on block explorer and XIDR (Indonesian Stablecoin) is also coming soon via StraitsX. Here also an overview of the Tech Stack for Financial Applications from September 2019. Further quoting Amrit Kumar on this:
 
There are two basic building blocks in DeFi/OpFi though: 1) stablecoins as you need a non-volatile currency to get access to this market and 2) a dex to be able to trade all these financial assets. The rest are built on top of these blocks.
 
So far, together with our partners and community, we have worked on developing these building blocks with XSGD as a stablecoin. We are working on bringing a USD-backed stablecoin as well. We will soon have a decentralised exchange developed by Switcheo. And with HGX going live, we are also venturing into the tokenization space. More to come in the future.”
 
Additionally, they also have this ZILHive initiative that injects capital into projects. There have been already 6 waves of various teams working on infrastructure, innovation and research, and they are not from ASEAN or Singapore only but global: see Grantees breakdown by country. Over 60 project teams from over 20 countries have contributed to Zilliqa's ecosystem. This includes individuals and teams developing wallets, explorers, developer toolkits, smart contract testing frameworks, dapps, etc. As some of you may know, Unstoppable Domains (UD) blew up when they launched on Zilliqa. UD aims to replace cryptocurrency addresses with a human-readable name and allows for uncensorable websites. Zilliqa will probably be the only one able to handle all these transactions onchain due to ability to scale and its resulting low fees which is why the UD team launched this on Zilliqa in the first place. Furthermore, Zilliqa also has a strong emphasis on security, compliance, and privacy, which is why they partnered with companies like Elliptic, ChainSecurity (part of PwC Switzerland), and Incognito. Their sister company Aqilliz (Zilliqa spelled backwards) focuses on revolutionizing the digital advertising space and is doing interesting things like using Zilliqa to track outdoor digital ads with companies like Foodpanda.
 
Zilliqa is listed on nearly all major exchanges, having several different fiat-gateways and recently have been added to Binance’s margin trading and futures trading with really good volume. They also have a very impressive team with good credentials and experience. They don't just have “tech people”. They have a mix of tech people, business people, marketeers, scientists, and more. Naturally, it's good to have a mix of people with different skill sets if you work in the crypto space.
 
Marketing & Community
 
Zilliqa has a very strong community. If you just follow their Twitter their engagement is much higher for a coin that has approximately 80k followers. They also have been ‘coin of the day’ by LunarCrush many times. LunarCrush tracks real-time cryptocurrency value and social data. According to their data, it seems Zilliqa has a more fundamental and deeper understanding of marketing and community engagement than almost all other coins. While almost all coins have been a bit frozen in the last months, Zilliqa seems to be on its own bull run. It was somewhere in the 100s a few months ago and is currently ranked #46 on CoinGecko. Their official Telegram also has over 20k people and is very active, and their community channel which is over 7k now is more active and larger than many other official channels. Their local communities also seem to be growing.
 
Moreover, their community started ‘Zillacracy’ together with the Zilliqa core team ( see www.zillacracy.com ). It’s a community-run initiative where people from all over the world are now helping with marketing and development on Zilliqa. Since its launch in February 2020 they have been doing a lot and will also run their own non-custodial seed node for staking. This seed node will also allow them to start generating revenue for them to become a self sustaining entity that could potentially scale up to become a decentralized company working in parallel with the Zilliqa core team. Comparing it to all the other smart contract platforms (e.g. Cardano, EOS, Tezos etc.) they don't seem to have started a similar initiative (correct me if I’m wrong though). This suggests in my opinion that these other smart contract platforms do not fully understand how to utilize the ‘power of the community’. This is something you cannot ‘buy with money’ and gives many projects in the space a disadvantage.
 
Zilliqa also released two social products called SocialPay and Zeeves. SocialPay allows users to earn ZILs while tweeting with a specific hashtag. They have recently used it in partnership with the Singapore Red Cross for a marketing campaign after their initial pilot program. It seems like a very valuable social product with a good use case. I can see a lot of traditional companies entering the space through this product, which they seem to suggest will happen. Tokenizing hashtags with smart contracts to get network effect is a very smart and innovative idea.
 
Regarding Zeeves, this is a tipping bot for Telegram. They already have 1000s of signups and they plan to keep upgrading it for more and more people to use it (e.g. they recently have added a quiz features). They also use it during AMAs to reward people in real-time. It’s a very smart approach to grow their communities and get familiar with ZIL. I can see this becoming very big on Telegram. This tool suggests, again, that the Zilliqa team has a deeper understanding of what the crypto space and community needs and is good at finding the right innovative tools to grow and scale.
 
To be honest, I haven’t covered everything (i’m also reaching the character limited haha). So many updates happening lately that it's hard to keep up, such as the International Monetary Fund mentioning Zilliqa in their report, custodial and non-custodial Staking, Binance Margin, Futures, Widget, entering the Indian market, and more. The Head of Marketing Colin Miles has also released this as an overview of what is coming next. And last but not least, Vitalik Buterin has been mentioning Zilliqa lately acknowledging Zilliqa and mentioning that both projects have a lot of room to grow. There is much more info of course and a good part of it has been served to you on a silver platter. I invite you to continue researching by yourself :-) And if you have any comments or questions please post here!
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Why i’m bullish on Zilliqa (long read)

Hey all, I've been researching coins since 2017 and have gone through 100s of them in the last 3 years. I got introduced to blockchain via Bitcoin of course, analysed Ethereum thereafter and from that moment I have a keen interest in smart contact platforms. I’m passionate about Ethereum but I find Zilliqa to have a better risk reward ratio. Especially because Zilliqa has found an elegant balance between being secure, decentralised and scalable in my opinion.
 
Below I post my analysis why from all the coins I went through I’m most bullish on Zilliqa (yes I went through Tezos, EOS, NEO, VeChain, Harmony, Algorand, Cardano etc.). Note that this is not investment advice and although it's a thorough analysis there is obviously some bias involved. Looking forward to what you all think!
 
Fun fact: the name Zilliqa is a play on ‘silica’ silicon dioxide which means “Silicon for the high-throughput consensus computer.”
 
This post is divided into (i) Technology, (ii) Business & Partnerships, and (iii) Marketing & Community. I’ve tried to make the technology part readable for a broad audience. If you’ve ever tried understanding the inner workings of Bitcoin and Ethereum you should be able to grasp most parts. Otherwise just skim through and once you are zoning out head to the next part.
 
Technology and some more:
 
Introduction The technology is one of the main reasons why I’m so bullish on Zilliqa. First thing you see on their website is: “Zilliqa is a high-performance, high-security blockchain platform for enterprises and next-generation applications.” These are some bold statements.
 
Before we deep dive into the technology let’s take a step back in time first as they have quite the history. The initial research paper from which Zilliqa originated dates back to August 2016: Elastico: A Secure Sharding Protocol For Open Blockchains where Loi Luu (Kyber Network) is one of the co-authors. Other ideas that led to the development of what Zilliqa has become today are: Bitcoin-NG, collective signing CoSi, ByzCoin and Omniledger.
 
The technical white paper was made public in August 2017 and since then they have achieved everything stated in the white paper and also created their own open source intermediate level smart contract language called Scilla (functional programming language similar to OCaml) too.
 
Mainnet is live since end of January 2019 with daily transaction rate growing continuously. About a week ago mainnet reached 5 million transactions, 500.000+ addresses in total along with 2400 nodes keeping the network decentralised and secure. Circulating supply is nearing 11 billion and currently only mining rewards are left. Maximum supply is 21 billion with annual inflation being 7.13% currently and will only decrease with time.
 
Zilliqa realised early on that the usage of public cryptocurrencies and smart contracts were increasing but decentralised, secure and scalable alternatives were lacking in the crypto space. They proposed to apply sharding onto a public smart contract blockchain where the transaction rate increases almost linear with the increase in amount of nodes. More nodes = higher transaction throughput and increased decentralisation. Sharding comes in many forms and Zilliqa uses network-, transaction- and computational sharding. Network sharding opens up the possibility of using transaction- and computational sharding on top. Zilliqa does not use state sharding for now. We’ll come back to this later.
 
Before we continue disecting how Zilliqa achieves such from a technological standpoint it’s good to keep in mind that a blockchain being decentralised and secure and scalable is still one of the main hurdles in allowing widespread usage of decentralised networks. In my opinion this needs to be solved first before blockchains can get to the point where they can create and add large scale value. So I invite you to read the next section to grasp the underlying fundamentals. Because after all these premises need to be true otherwise there isn’t a fundamental case to be bullish on Zilliqa, right?
 
Down the rabbit hole
 
How have they achieved this? Let’s define the basics first: key players on Zilliqa are the users and the miners. A user is anybody who uses the blockchain to transfer funds or run smart contracts. Miners are the (shard) nodes in the network who run the consensus protocol and get rewarded for their service in Zillings (ZIL). The mining network is divided into several smaller networks called shards, which is also referred to as ‘network sharding’. Miners subsequently are randomly assigned to a shard by another set of miners called DS (Directory Service) nodes. The regular shards process transactions and the outputs of these shards are eventually combined by the DS shard as they reach consensus on the final state. More on how these DS shards reach consensus (via pBFT) will be explained later on.
 
The Zilliqa network produces two types of blocks: DS blocks and Tx blocks. One DS Block consists of 100 Tx Blocks. And as previously mentioned there are two types of nodes concerned with reaching consensus: shard nodes and DS nodes. Becoming a shard node or DS node is being defined by the result of a PoW cycle (Ethash) at the beginning of the DS Block. All candidate mining nodes compete with each other and run the PoW (Proof-of-Work) cycle for 60 seconds and the submissions achieving the highest difficulty will be allowed on the network. And to put it in perspective: the average difficulty for one DS node is ~ 2 Th/s equaling 2.000.000 Mh/s or 55 thousand+ GeForce GTX 1070 / 8 GB GPUs at 35.4 Mh/s. Each DS Block 10 new DS nodes are allowed. And a shard node needs to provide around 8.53 GH/s currently (around 240 GTX 1070s). Dual mining ETH/ETC and ZIL is possible and can be done via mining software such as Phoenix and Claymore. There are pools and if you have large amounts of hashing power (Ethash) available you could mine solo.
 
The PoW cycle of 60 seconds is a peak performance and acts as an entry ticket to the network. The entry ticket is called a sybil resistance mechanism and makes it incredibly hard for adversaries to spawn lots of identities and manipulate the network with these identities. And after every 100 Tx Blocks which corresponds to roughly 1,5 hour this PoW process repeats. In between these 1,5 hour no PoW needs to be done meaning Zilliqa’s energy consumption to keep the network secure is low. For more detailed information on how mining works click here.
Okay, hats off to you. You have made it this far. Before we go any deeper down the rabbit hole we first must understand why Zilliqa goes through all of the above technicalities and understand a bit more what a blockchain on a more fundamental level is. Because the core of Zilliqa’s consensus protocol relies on the usage of pBFT (practical Byzantine Fault Tolerance) we need to know more about state machines and their function. Navigate to Viewblock, a Zilliqa block explorer, and just come back to this article. We will use this site to navigate through a few concepts.
 
We have established that Zilliqa is a public and distributed blockchain. Meaning that everyone with an internet connection can send ZILs, trigger smart contracts etc. and there is no central authority who fully controls the network. Zilliqa and other public and distributed blockchains (like Bitcoin and Ethereum) can also be defined as state machines.
 
Taking the liberty of paraphrasing examples and definitions given by Samuel Brooks’ medium article, he describes the definition of a blockchain (like Zilliqa) as:
“A peer-to-peer, append-only datastore that uses consensus to synchronise cryptographically-secure data”.
 
Next he states that: >“blockchains are fundamentally systems for managing valid state transitions”.* For some more context, I recommend reading the whole medium article to get a better grasp of the definitions and understanding of state machines. Nevertheless, let’s try to simplify and compile it into a single paragraph. Take traffic lights as an example: all its states (red, amber and green) are predefined, all possible outcomes are known and it doesn’t matter if you encounter the traffic light today or tomorrow. It will still behave the same. Managing the states of a traffic light can be done by triggering a sensor on the road or pushing a button resulting in one traffic lights’ state going from green to red (via amber) and another light from red to green.
 
With public blockchains like Zilliqa this isn’t so straightforward and simple. It started with block #1 almost 1,5 years ago and every 45 seconds or so a new block linked to the previous block is being added. Resulting in a chain of blocks with transactions in it that everyone can verify from block #1 to the current #647.000+ block. The state is ever changing and the states it can find itself in are infinite. And while the traffic light might work together in tandem with various other traffic lights, it’s rather insignificant comparing it to a public blockchain. Because Zilliqa consists of 2400 nodes who need to work together to achieve consensus on what the latest valid state is while some of these nodes may have latency or broadcast issues, drop offline or are deliberately trying to attack the network etc.
 
Now go back to the Viewblock page take a look at the amount of transaction, addresses, block and DS height and then hit refresh. Obviously as expected you see new incremented values on one or all parameters. And how did the Zilliqa blockchain manage to transition from a previous valid state to the latest valid state? By using pBFT to reach consensus on the latest valid state.
 
After having obtained the entry ticket, miners execute pBFT to reach consensus on the ever changing state of the blockchain. pBFT requires a series of network communication between nodes, and as such there is no GPU involved (but CPU). Resulting in the total energy consumed to keep the blockchain secure, decentralised and scalable being low.
 
pBFT stands for practical Byzantine Fault Tolerance and is an optimisation on the Byzantine Fault Tolerant algorithm. To quote Blockonomi: “In the context of distributed systems, Byzantine Fault Tolerance is the ability of a distributed computer network to function as desired and correctly reach a sufficient consensus despite malicious components (nodes) of the system failing or propagating incorrect information to other peers.” Zilliqa is such a distributed computer network and depends on the honesty of the nodes (shard and DS) to reach consensus and to continuously update the state with the latest block. If pBFT is a new term for you I can highly recommend the Blockonomi article.
 
The idea of pBFT was introduced in 1999 - one of the authors even won a Turing award for it - and it is well researched and applied in various blockchains and distributed systems nowadays. If you want more advanced information than the Blockonomi link provides click here. And if you’re in between Blockonomi and University of Singapore read the Zilliqa Design Story Part 2 dating from October 2017.
Quoting from the Zilliqa tech whitepaper: “pBFT relies upon a correct leader (which is randomly selected) to begin each phase and proceed when the sufficient majority exists. In case the leader is byzantine it can stall the entire consensus protocol. To address this challenge, pBFT offers a view change protocol to replace the byzantine leader with another one.”
 
pBFT can tolerate ⅓ of the nodes being dishonest (offline counts as Byzantine = dishonest) and the consensus protocol will function without stalling or hiccups. Once there are more than ⅓ of dishonest nodes but no more than ⅔ the network will be stalled and a view change will be triggered to elect a new DS leader. Only when more than ⅔ of the nodes are dishonest (>66%) double spend attacks become possible.
 
If the network stalls no transactions can be processed and one has to wait until a new honest leader has been elected. When the mainnet was just launched and in its early phases, view changes happened regularly. As of today the last stalling of the network - and view change being triggered - was at the end of October 2019.
 
Another benefit of using pBFT for consensus besides low energy is the immediate finality it provides. Once your transaction is included in a block and the block is added to the chain it’s done. Lastly, take a look at this article where three types of finality are being defined: probabilistic, absolute and economic finality. Zilliqa falls under the absolute finality (just like Tendermint for example). Although lengthy already we skipped through some of the inner workings from Zilliqa’s consensus: read the Zilliqa Design Story Part 3 and you will be close to having a complete picture on it. Enough about PoW, sybil resistance mechanism, pBFT etc. Another thing we haven’t looked at yet is the amount of decentralisation.
 
Decentralisation
 
Currently there are four shards, each one of them consisting of 600 nodes. 1 shard with 600 so called DS nodes (Directory Service - they need to achieve a higher difficulty than shard nodes) and 1800 shard nodes of which 250 are shard guards (centralised nodes controlled by the team). The amount of shard guards has been steadily declining from 1200 in January 2019 to 250 as of May 2020. On the Viewblock statistics you can see that many of the nodes are being located in the US but those are only the (CPU parts of the) shard nodes who perform pBFT. There is no data from where the PoW sources are coming. And when the Zilliqa blockchain starts reaching their transaction capacity limit, a network upgrade needs to be executed to lift the current cap of maximum 2400 nodes to allow more nodes and formation of more shards which will allow to network to keep on scaling according to demand.
Besides shard nodes there are also seed nodes. The main role of seed nodes is to serve as direct access points (for end users and clients) to the core Zilliqa network that validates transactions. Seed nodes consolidate transaction requests and forward these to the lookup nodes (another type of nodes) for distribution to the shards in the network. Seed nodes also maintain the entire transaction history and the global state of the blockchain which is needed to provide services such as block explorers. Seed nodes in the Zilliqa network are comparable to Infura on Ethereum.
 
The seed nodes were first only operated by Zilliqa themselves, exchanges and Viewblock. Operators of seed nodes like exchanges had no incentive to open them for the greater public.They were centralised at first. Decentralisation at the seed nodes level has been steadily rolled out since March 2020 ( Zilliqa Improvement Proposal 3 ). Currently the amount of seed nodes is being increased, they are public facing and at the same time PoS is applied to incentivize seed node operators and make it possible for ZIL holders to stake and earn passive yields. Important distinction: seed nodes are not involved with consensus! That is still PoW as entry ticket and pBFT for the actual consensus.
 
5% of the block rewards are being assigned to seed nodes (from the beginning in 2019) and those are being used to pay out ZIL stakers.The 5% block rewards with an annual yield of 10.03% translates to roughly 610 MM ZILs in total that can be staked. Exchanges use the custodial variant of staking and wallets like Moonlet will use the non custodial version (starting in Q3 2020). Staking is being done by sending ZILs to a smart contract created by Zilliqa and audited by Quantstamp.
 
With a high amount of DS & shard nodes and seed nodes becoming more decentralised too, Zilliqa qualifies for the label of decentralised in my opinion.
 
Smart contracts
 
Let me start by saying I’m not a developer and my programming skills are quite limited. So I‘m taking the ELI5 route (maybe 12) but if you are familiar with Javascript, Solidity or specifically OCaml please head straight to Scilla - read the docs to get a good initial grasp of how Zilliqa’s smart contract language Scilla works and if you ask yourself “why another programming language?” check this article. And if you want to play around with some sample contracts in an IDE click here. Faucet can be found here. And more information on architecture, dapp development and API can be found on the Developer Portal.
If you are more into listening and watching: check this recent webinar explaining Zilliqa and Scilla. Link is time stamped so you’ll start right away with a platform introduction, R&D roadmap 2020 and afterwards a proper Scilla introduction.
 
Generalised: programming languages can be divided into being ‘object oriented’ or ‘functional’. Here is an ELI5 given by software development academy: > “all programmes have two basic components, data – what the programme knows – and behaviour – what the programme can do with that data. So object-oriented programming states that combining data and related behaviours in one place, is called “object”, which makes it easier to understand how a particular program works. On the other hand, functional programming argues that data and behaviour are different things and should be separated to ensure their clarity.”
 
Scilla is on the functional side and shares similarities with OCaml: > OCaml is a general purpose programming language with an emphasis on expressiveness and safety. It has an advanced type system that helps catch your mistakes without getting in your way. It's used in environments where a single mistake can cost millions and speed matters, is supported by an active community, and has a rich set of libraries and development tools. For all its power, OCaml is also pretty simple, which is one reason it's often used as a teaching language.
 
Scilla is blockchain agnostic, can be implemented onto other blockchains as well, is recognised by academics and won a so called Distinguished Artifact Award award at the end of last year.
 
One of the reasons why the Zilliqa team decided to create their own programming language focused on preventing smart contract vulnerabilities safety is that adding logic on a blockchain, programming, means that you cannot afford to make mistakes. Otherwise it could cost you. It’s all great and fun blockchains being immutable but updating your code because you found a bug isn’t the same as with a regular web application for example. And with smart contracts it inherently involves cryptocurrencies in some form thus value.
 
Another difference with programming languages on a blockchain is gas. Every transaction you do on a smart contract platform like Zilliqa for Ethereum costs gas. With gas you basically pay for computational costs. Sending a ZIL from address A to address B costs 0.001 ZIL currently. Smart contracts are more complex, often involve various functions and require more gas (if gas is a new concept click here ).
 
So with Scilla, similar to Solidity, you need to make sure that “every function in your smart contract will run as expected without hitting gas limits. An improper resource analysis may lead to situations where funds may get stuck simply because a part of the smart contract code cannot be executed due to gas limits. Such constraints are not present in traditional software systems”. Scilla design story part 1
 
Some examples of smart contract issues you’d want to avoid are: leaking funds, ‘unexpected changes to critical state variables’ (example: someone other than you setting his or her address as the owner of the smart contract after creation) or simply killing a contract.
 
Scilla also allows for formal verification. Wikipedia to the rescue:
In the context of hardware and software systems, formal verification is the act of proving or disproving the correctness of intended algorithms underlying a system with respect to a certain formal specification or property, using formal methods of mathematics.
 
Formal verification can be helpful in proving the correctness of systems such as: cryptographic protocols, combinational circuits, digital circuits with internal memory, and software expressed as source code.
 
Scilla is being developed hand-in-hand with formalization of its semantics and its embedding into the Coq proof assistant — a state-of-the art tool for mechanized proofs about properties of programs.”
 
Simply put, with Scilla and accompanying tooling developers can be mathematically sure and proof that the smart contract they’ve written does what he or she intends it to do.
 
Smart contract on a sharded environment and state sharding
 
There is one more topic I’d like to touch on: smart contract execution in a sharded environment (and what is the effect of state sharding). This is a complex topic. I’m not able to explain it any easier than what is posted here. But I will try to compress the post into something easy to digest.
 
Earlier on we have established that Zilliqa can process transactions in parallel due to network sharding. This is where the linear scalability comes from. We can define simple transactions: a transaction from address A to B (Category 1), a transaction where a user interacts with one smart contract (Category 2) and the most complex ones where triggering a transaction results in multiple smart contracts being involved (Category 3). The shards are able to process transactions on their own without interference of the other shards. With Category 1 transactions that is doable, with Category 2 transactions sometimes if that address is in the same shard as the smart contract but with Category 3 you definitely need communication between the shards. Solving that requires to make a set of communication rules the protocol needs to follow in order to process all transactions in a generalised fashion.
 
And this is where the downsides of state sharding comes in currently. All shards in Zilliqa have access to the complete state. Yes the state size (0.1 GB at the moment) grows and all of the nodes need to store it but it also means that they don’t need to shop around for information available on other shards. Requiring more communication and adding more complexity. Computer science knowledge and/or developer knowledge required links if you want to dig further: Scilla - language grammar Scilla - Foundations for Verifiable Decentralised Computations on a Blockchain Gas Accounting NUS x Zilliqa: Smart contract language workshop
 
Easier to follow links on programming Scilla https://learnscilla.com/home Ivan on Tech
 
Roadmap / Zilliqa 2.0
 
There is no strict defined roadmap but here are topics being worked on. And via the Zilliqa website there is also more information on the projects they are working on.
 
Business & Partnerships  
It’s not only technology in which Zilliqa seems to be excelling as their ecosystem has been expanding and starting to grow rapidly. The project is on a mission to provide OpenFinance (OpFi) to the world and Singapore is the right place to be due to its progressive regulations and futuristic thinking. Singapore has taken a proactive approach towards cryptocurrencies by introducing the Payment Services Act 2019 (PS Act). Among other things, the PS Act will regulate intermediaries dealing with certain cryptocurrencies, with a particular focus on consumer protection and anti-money laundering. It will also provide a stable regulatory licensing and operating framework for cryptocurrency entities, effectively covering all crypto businesses and exchanges based in Singapore. According to PWC 82% of the surveyed executives in Singapore reported blockchain initiatives underway and 13% of them have already brought the initiatives live to the market. There is also an increasing list of organisations that are starting to provide digital payment services. Moreover, Singaporean blockchain developers Building Cities Beyond has recently created an innovation $15 million grant to encourage development on its ecosystem. This all suggest that Singapore tries to position itself as (one of) the leading blockchain hubs in the world.
 
Zilliqa seems to already taking advantage of this and recently helped launch Hg Exchange on their platform, together with financial institutions PhillipCapital, PrimePartners and Fundnel. Hg Exchange, which is now approved by the Monetary Authority of Singapore (MAS), uses smart contracts to represent digital assets. Through Hg Exchange financial institutions worldwide can use Zilliqa's safe-by-design smart contracts to enable the trading of private equities. For example, think of companies such as Grab, AirBnB, SpaceX that are not available for public trading right now. Hg Exchange will allow investors to buy shares of private companies & unicorns and capture their value before an IPO. Anquan, the main company behind Zilliqa, has also recently announced that they became a partner and shareholder in TEN31 Bank, which is a fully regulated bank allowing for tokenization of assets and is aiming to bridge the gap between conventional banking and the blockchain world. If STOs, the tokenization of assets, and equity trading will continue to increase, then Zilliqa’s public blockchain would be the ideal candidate due to its strategic positioning, partnerships, regulatory compliance and the technology that is being built on top of it.
 
What is also very encouraging is their focus on banking the un(der)banked. They are launching a stablecoin basket starting with XSGD. As many of you know, stablecoins are currently mostly used for trading. However, Zilliqa is actively trying to broaden the use case of stablecoins. I recommend everybody to read this text that Amrit Kumar wrote (one of the co-founders). These stablecoins will be integrated in the traditional markets and bridge the gap between the crypto world and the traditional world. This could potentially revolutionize and legitimise the crypto space if retailers and companies will for example start to use stablecoins for payments or remittances, instead of it solely being used for trading.
 
Zilliqa also released their DeFi strategic roadmap (dating November 2019) which seems to be aligning well with their OpFi strategy. A non-custodial DEX is coming to Zilliqa made by Switcheo which allows cross-chain trading (atomic swaps) between ETH, EOS and ZIL based tokens. They also signed a Memorandum of Understanding for a (soon to be announced) USD stablecoin. And as Zilliqa is all about regulations and being compliant, I’m speculating on it to be a regulated USD stablecoin. Furthermore, XSGD is already created and visible on block explorer and XIDR (Indonesian Stablecoin) is also coming soon via StraitsX. Here also an overview of the Tech Stack for Financial Applications from September 2019. Further quoting Amrit Kumar on this:
 
There are two basic building blocks in DeFi/OpFi though: 1) stablecoins as you need a non-volatile currency to get access to this market and 2) a dex to be able to trade all these financial assets. The rest are build on top of these blocks.
 
So far, together with our partners and community, we have worked on developing these building blocks with XSGD as a stablecoin. We are working on bringing a USD-backed stablecoin as well. We will soon have a decentralised exchange developed by Switcheo. And with HGX going live, we are also venturing into the tokenization space. More to come in the future.”*
 
Additionally, they also have this ZILHive initiative that injects capital into projects. There have been already 6 waves of various teams working on infrastructure, innovation and research, and they are not from ASEAN or Singapore only but global: see Grantees breakdown by country. Over 60 project teams from over 20 countries have contributed to Zilliqa's ecosystem. This includes individuals and teams developing wallets, explorers, developer toolkits, smart contract testing frameworks, dapps, etc. As some of you may know, Unstoppable Domains (UD) blew up when they launched on Zilliqa. UD aims to replace cryptocurrency addresses with a human readable name and allows for uncensorable websites. Zilliqa will probably be the only one able to handle all these transactions onchain due to ability to scale and its resulting low fees which is why the UD team launched this on Zilliqa in the first place. Furthermore, Zilliqa also has a strong emphasis on security, compliance, and privacy, which is why they partnered with companies like Elliptic, ChainSecurity (part of PwC Switzerland), and Incognito. Their sister company Aqilliz (Zilliqa spelled backwards) focuses on revolutionizing the digital advertising space and is doing interesting things like using Zilliqa to track outdoor digital ads with companies like Foodpanda.
 
Zilliqa is listed on nearly all major exchanges, having several different fiat-gateways and recently have been added to Binance’s margin trading and futures trading with really good volume. They also have a very impressive team with good credentials and experience. They dont just have “tech people”. They have a mix of tech people, business people, marketeers, scientists, and more. Naturally, it's good to have a mix of people with different skill sets if you work in the crypto space.
 
Marketing & Community
 
Zilliqa has a very strong community. If you just follow their Twitter their engagement is much higher for a coin that has approximately 80k followers. They also have been ‘coin of the day’ by LunarCrush many times. LunarCrush tracks real-time cryptocurrency value and social data. According to their data it seems Zilliqa has a more fundamental and deeper understanding of marketing and community engagement than almost all other coins. While almost all coins have been a bit frozen in the last months, Zilliqa seems to be on its own bull run. It was somewhere in the 100s a few months ago and is currently ranked #46 on CoinGecko. Their official Telegram also has over 20k people and is very active, and their community channel which is over 7k now is more active and larger than many other official channels. Their local communities) also seem to be growing.
 
Moreover, their community started ‘Zillacracy’ together with the Zilliqa core team ( see www.zillacracy.com ). It’s a community run initiative where people from all over the world are now helping with marketing and development on Zilliqa. Since its launch in February 2020 they have been doing a lot and will also run their own non custodial seed node for staking. This seed node will also allow them to start generating revenue for them to become a self sustaining entity that could potentially scale up to become a decentralized company working in parallel with the Zilliqa core team. Comparing it to all the other smart contract platforms (e.g. Cardano, EOS, Tezos etc.) they don't seem to have started a similar initiatives (correct me if I’m wrong though). This suggest in my opinion that these other smart contract platforms do not fully understand how to utilize the ‘power of the community’. This is something you cannot ‘buy with money’ and gives many projects in the space a disadvantage.
 
Zilliqa also released two social products called SocialPay and Zeeves. SocialPay allows users to earn ZILs while tweeting with a specific hashtag. They have recently used it in partnership with the Singapore Red Cross for a marketing campaign after their initial pilot program. It seems like a very valuable social product with a good use case. I can see a lot of traditional companies entering the space through this product, which they seem to suggest will happen. Tokenizing hashtags with smart contracts to get network effect is a very smart and innovative idea.
 
Regarding Zeeves, this is a tipping bot for Telegram. They already have 1000s of signups and they plan to keep upgrading it for more and more people to use it (e.g. they recently have added a quiz features). They also use it during AMAs to reward people in real time. It’s a very smart approach to grow their communities and get familiar with ZIL. I can see this becoming very big on Telegram. This tool suggests, again, that the Zilliqa team has a deeper understanding what the crypto space and community needs and is good at finding the right innovative tools to grow and scale.
 
To be honest, I haven’t covered everything (i’m also reaching the character limited haha). So many updates happening lately that it's hard to keep up, such as the International Monetary Fund mentioning Zilliqa in their report, custodial and non-custodial Staking, Binance Margin, Futures & Widget, entering the Indian market, and more. The Head of Marketing Colin Miles has also released this as an overview of what is coming next. And last but not least, Vitalik Buterin has been mentioning Zilliqa lately acknowledging Zilliqa and mentioning that both projects have a lot of room to grow. There is much more info of course and a good part of it has been served to you on a silver platter. I invite you to continue researching by yourself :-) And if you have any comments or questions please post here!
submitted by haveyouheardaboutit to CryptoCurrency [link] [comments]

A Grab Bag of Thoughts on ETC and Forks

1) Three months ago I made a statement in an interview with Morgen Peck as follows:
I generally support just about every secession attempt that comes along,” he says. “If in the future there is that kind of a dispute in Ethereum, I’d definitely be quite happy to see Ethereum A go in one direction and Ethereum B go the other.
I do have principles, and this is a principle that I have so far held consistently. It would of course be grossly hypocritical for me to (correctly) decry bitcoin maximalism back in 2014, and then start shouting "one chain to rule them all! network effects!" the moment it becomes suitable to me. Rather, I believe, just as I had stated in my 2014 post on silos, that:
If there truly is one consensus mechanism that is best, why should we not have a large merger between the various projects, come up with the best kind of decentralized computer to push forward as a basis for the crypto-economy, and move forward together under one unified system? In some respects, this seems noble; “fragmentation” certainly has undesirable properties, and it is natural to see “working together” as a good thing. In reality, however, while more cooperation is certainly useful, and this blog post will later describe how and why, desires for extreme consolidation or winner-take-all are to a large degree exactly wrong – not only is fragmentation not all that bad, but rather it’s inevitable, and arguably the only way that this space can reasonably prosper.
I personally admittedly find ETC's social contract, community and raison d'être less exciting and satisfying and would not personally feel the same passion for it that I do for ETH, but this is simply my judgement, and the judgement of the very many members of the community that have voted or otherwise expressed assent to the fork. Anyone who feels sufficiently strongly in the other direction is welcome to focus on the ETC chain, and we will see if it remains viable.
2) But those were just my beliefs and intermediate values. How do we know that this "let a hundred flowers bloom" position is actually correct? We can actually discover a lot of facts from the current situation. First of all, though we can see that the price of ETH + ETC has been remarkably stable around $14.3 for the past 2.5 days, despite great volatility in each component. This is still early-stage, but suggests that the value of at least the cryptocurrency component of the ecosystem actually isn't a superlinear function that favors monopoly.
Second, we can see from several sources (including exchange order books, but also public pronouncements from Barry Silbert et al) that incoming interest into ETC is actually coming from the bitcoin side even more than it is from the ethereum side. And this is a core tenet of blockchain pluralism: by leaving open an option to join an alternate system if an individual so chooses, you can satisfy the varying needs of larger groups of people.
3) I may as well offer my own views on hard forking. I do not believe that using hard forks as a primary paradigm to resolve thefts or to deal with unethical applications is a long-term viable strategy. This time, we got very lucky that the stolen DAO ETH were conveniently stuck in a known address for 35 days. Next time around, the funds will likely be being sold on exchanges before the developers even know it, and the only solution will be a rollback - and Casper will make rollbacks infeasible due to its economic finality mechanism in any case.
3b) "Evil dapps" can constantly move their contracts around in ways that evade a necessarily slow-moving hard fork, so while we can annoy them, "softer" means of mitigating the harm of such applications must necessarily still be sought out.
3c) The blockchain itself is very far from the eventual vision of a hyper-scalable, efficient and secure world computer and will see several more iterations to move closer to that goal; if you wish you may view Casper as a completely independent blockchain that happens to have a 100% state-copying premine from ETH, and in fact this may even be the cleanest way to implement it in code. I personally was okay with a fork in light of this context, together with a philosophical belief that a principle does not need to have literally infinite weight in order to have value.
In the near to mid-term future, I expect that there will be many small applications rather than one big application, and so no single failure will be enough to greatly impact the ecosystem; hence it strikes me as quite unlikely that application rescue hard forks will become a regular thing (note that some disagree; Vlad would love to have hard forks for many more things, though I'll let him defend his own views :) )
At this point, I am hypothetically open to two kinds of application rescue hard forks:
i) A fork in the very unlikely case that the Solidity compiler proves to have a serious bug that puts 5-10 million ETH in danger. ii) There has been a medium amount of ether that has been sent to unspendable addresses because users were using buggy ethereum-js libraries that created the address from the public key incorrectly. I would be OK with a change, for example as part of metropolis, that adds a new transaction type that effectively makes the most common categories of such unspendable addresses spendable by their cryptographically provable rightful owners (but I would only be ok with this with broad consensus and even still it's dependent on technical feasibility and tradeoffs in code complexity).
In the future, I suspect that both possibilities will recede over time.
3d) In the short and medium term, we are still under conditions of high technical uncertainty. For example, Vlad and I continue to argue about whether or not a fixed currency supply can offer sufficient incentives through transaction fees alone to secure the network. If we had agreed, for example, to a "100 million ETH and never a single bit more" principle on day one, we would have dug ourselves into a rather deep hole if the research ends up showing that low inflation (or something more complex, like expected low deflation but the possibility of low inflation under conditions of low Casper participation) is the only safe way forward. Similarly, "it is possible to create a contract that lasts forever" is also something that is economically dangerous to commit to. Hence, principles on these kinds of matters may need to be settled only later.
4) Concerns about moral hazard are, in this case, IMO overblown; on the contrary, despite the fork, I have been extremely impressed by the sheer number of formal verification and other secure contract programming projects that have recently emerged in academia. Writing this from inside the middle of an Ethereum research workshop in Cornell, I am very optimistic that the number of bugs in code will decrease greatly over the next year.
4b) This does however mean that there is now a much larger burden on high-level language developers, and I personally do not have the time or ability to maintain Serpent at a level that I personally find satisfactory. I am personally continuing to use it as a language for experimenting with Casper simulations, but I welcome proposals from the community for how and if it can find a niche in other contexts.
submitted by vbuterin to ethereum [link] [comments]

IEEE Security & Privacy on the Blockchain (IEEE S&B 2019) - CALL FOR PAPERS! Submission deadline: Feb. 18.

IEEE Security & Privacy on the Blockchain (IEEE S&B)
An IEEE EuroS&P affiliated Workshop
20th June 2019, in Stockholm, Sweden
https://blockchain.kcl.ac.uk/ieee-sb2019/

Important Dates
- Submission deadline: 18th February 2019 - Notification of acceptance: 28th March 2019 - Camera-ready deadline: April 18th 2019 - Workshop: 20th June 2019

Call for Papers
The emergence of Bitcoin and decentralized cryptocurrencies, and their fundamental innovation -- blockchains -- have allowed for entities to trade and interact without a central trusted third party. This has led to a captivating research activity in multiple domains and across different venues, such as top security and distributed systems conferences and journals, as well as a vibrant startup rush on this new technology.
The third IEEE Security and Privacy on the Blockchain workshop aims to unite interested scholars as well as industrial members from all relevant disciplines who study and work in the space of blockchains. We solicit previously unpublished papers offering novel contributions in both cryptocurrencies and wider blockchain research. Papers may present advances in the theory, design, implementation, analysis, verification, or empirical evaluation and measurement of existing systems. Papers that shed new light on past or informally known results by means of sound formal theory or through empirical analysis are welcome. Suggested contribution topics include (but are not limited to) empirical and theoretical studies of:
- Anonymity and privacy issues and measures to enhance them - Applications using or built on top of blockchains - Atomic Swapping - Big Data and blockchain technology - Bitcoin, Ethereum, Monero, ZCash protocol, other coins and extensions (cryptography, scripting/smart contract language etc.) - Case studies (e.g., of adoption, attacks, forks, scams etc.) - Censorship - Consensus protocols for blockchains - Cryptocurrency adoption and economic impact - Cryptocurrency adoption and transition dynamics - Decentralized Applications (Exchanges, Mining Pools, Trading Platforms) - Adoption of blockchains in developing countries - Economic and monetary aspects - Economics and game theory of mining - Forensics and monitoring - Formal verification of Blockchain protocols and Smart Contracts - Fraud detection and financial crime prevention - Governance - Identity, Identification and trust in blockchain systems - Implications for existing business models - Interfacing fiat and cryptocurrencies - Intermediates in different industries and their future - Internet of things (IoT) and blockchains - Legal and policy implications of Smart Contracts - Legal status of ICO/TGE - Legal, ethical and societal aspects of (decentralized) virtual currencies - New applications of the blockchain - New business models for permissioned and permissionless blockchains - Off-chain payment channels - Peer-to-peer broadcast networks/topologies - Permissioned (e.g. Hyperledger) and permissionless (e.g. Bitcoin) blockchains - Privacy and anonymity-enhancing technologies - Proof-of-work, and its alternatives (e.g., proof-of-stake, proof-of-burn, and virtual mining) - Real-world measurements and metrics - Regulation and law enforcement - Relation to other payment systems - Scalability and scalable services for blockchain systems - Security of blockchains - Smart Contract Programming Languages and VMs - Transaction graph analysis - Usability and user studies
This topic list is not meant to be exhaustive. S&B is interested in all aspects of the blockchain research relating to security and privacy. Papers that are considered out of scope may be rejected without full review. We encourage submissions that are "far-reaching" and "risky."

Submission
All submissions must be original work and should be submitted for blind review. Short position papers may not exceed 4 pages total and full papers may not exceed 10 pages, including references and appendices. Authors should use the IEEE conference proceedings templates.
Please find more information about the workshop, including further submission instructions, on the website: https://blockchain.kcl.ac.uk/ieee-sb2019/

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DragonEx Roadshow Recap

DragonEx Roadshow Recap
In support of our new partnership, DragonEx Exchange invited Kambria Team members to participate in an exclusive online roadshow with both the DragonEx English and Chinese-speaking communities.
The event featured Kambria community managers Annie Wang (CH) and William Ryan (EN). Both sessions were focused and very active. Here is a recap of the conversation with William in the English channel; for clarity, the original text has been lightly edited for grammar and spelling.
Do you have any idea about Kambria? Today’s roadshow is mainly about Kambria’s project progress. and its future planning.
I understand the bulk of the conversation is going on in the DragonEx Chinese channel, but in case there are any English speakers here who are interested, we were recently listed on DragonEx. I met the team in May in New York City, and was very impressed with their professionalism. They are awesome people to know, and I am even more excited to now be working with DragonEx. They are a great exchange!
I wanna know, how is Kambria different from other AI projects?
Kambria is an open innovation platform designed to cut down and drastically reduce the time and cost it takes to innovate robotics, AI, and other frontier technologies. Kambria allows for innovators to collaborate on every aspect of the innovation process. So a company can host a bounty to utilize developers to help them build their ideas. This also allows for innovators to modularize their ideas and allow other innovators to utilize their work, and earn KAT in the process.
Can the Kambria project run without blockchain?
Kambria’s Open Innovation Platform is designed around the KAT token. It technically could work without a blockchain, but it likely would not because we all know that incentives are the basis for the work that most people do. So we use KAT to power the network, pay bounties, pay developers, companies, and innovators who contribute to the network.
The best way to achieve this is to use a decentralized blockchain with smart contracts. No one would contribute without incentives. That is the backbone to any healthy economy. That is why we believe we do need a token.
But how advanced is the project in terms of progress?
Currently, the features that we are focusing on are building out Github support to allow developers to import the githubs to build out the Kambria codebase, which will be utilized in the Kambria codebase, the backbone of the platform. Additionally, we are creating innovation hubs across the world that will allow roboticists and AI developers to come in and innovate new products.
What if a big company copies Kambria? Are there any barriers to competition?
There are currently no other companies who are doing what we are doing. Our platform encompasses every single aspect of the innovation process from concept, to design, to manufacturing, to sourcing materials, to production, to delivery. We will also not open source all of our intellectual property. Because of our experience with OhmniLabs, Kambria’s sister company, we have discovered ways to build robots using 3-D printing far cheaper than most have heard of.
Could you please introduce your team members to us?
Yes. My name is William, and I am the American Community Manager, and I have with me Annie Wang, who is our Chinese Community Manager.
Let me get you some info on the rest of the team. Let’s start with the top :)
Dr. Thuc Vu — Co-Founder & CEO — AI & Game Theory Dr. Thuc is a serial entrepreneur, with multiple company acquisitions, the last one by Google. He has deep expertise in game theory, tournament design and multi-agent systems. He earned his Ph.D. from Stanford and BS from Carnegie Mellon, both in computer science. Dr. Thuc is a social entrepreneur in Vietnam, involved in several community projects.
Dr. Thuc Vu, first of all, is just incredible to work with. He is the nicest man, but he’s also very talented. He is also a very generous person who sows back into the communities around him. He has created several foundations in the world to “give back” to people, including his very own VietSeeds Foundationin Vietnam that helps poor Vietnamese children get a great college education. He sold one of his companies to Google, and then created OhmniLabs, which is Kambria’s sister company. You can visit the OhmniLabs.com website for more information.
Here’s a pic of our founders with the OhmniLabs robot.
Our CTO, Jared Go, met Dr. Thuc Vu in college. They both attended Stanford University and Carnegie Mellon together.
Jared Go — Co-Founder & CTO — Robotics — Jared is an avid maker and roboticist, previously CTO and founding member at a networks startup. He has extensive experience in blockchain, AI, real-time graphics, VR, mechanical engineering and electrical engineering. Jared is a Stanford Graduate Fellow, and has a BS in computer science from Carnegie Mellon University.
Tingxi Tan — Co-Founder & CPO — Blockchain & Cloud Computing — Tingxi has a background in cloud computing, network infrastructure and distributed system design. He has been active in Crypto Investment since 2010. He was responsible for building the global scale cloud infrastructure at a networks startup. He graduated from MSc Computer Science U of Calgary and BSc Applied Math Western University.
Dr. Tra Vu — COO — Operations & Infrastructure — Tra has a background in Financial and Civil Engineering. She earned her Master’s in Financial Engineering and her PhD in Transportation Planning & Engineering from the NYU Tandon School of Engineering. Tra currently teaches at her alma mater and was responsible for leading her previous company in designing the first city-wide Transit Signal Priority system in New York City.
Tingxi, Dr. Tra Vu, and Jared are also just fantastic people to work with. The team is not only wildly talented, but also very pleasantly nice. It’s refreshing to see.
Is artificial intelligence a moral issue? How can I overcome this problem?
I believe it could be; however, it is up to us how we build such technologies. In our open collaboration system, everyone has the ability to solve this problem. If you want to solve it, you simply can participate in building it ethically.
Is the Kambria Innovation Platform open now in public?
Yes. The Open Innovation Platform was soft-launched in September 2018, and we are preparing for a full release this year. You can check out the platform here: https://app.kambria.io
I think artificial intelligence is a big trend: very good. Is there a potential market now? What are the plans for the Kambria project in the future?
AI is one of the fastest growing technologies in the frontier space. We already have hundreds of developers ready to begin working on the Kambria Open Innovation Platform, which is why we are so eager to finish our full launch of the platform, as well as our codebase. We are not far away. The full launch will be this year.
In addition, we are opening five innovation hubs across the globe, the first in Silicon Valley, California. We also working with major universities, including Stanford and Carnegie Mellon, to host hackathons in collaboration with the International Data Engineering and Science Association (IDEAS). Additionally, Thuc created the VietAI Alliance, which is dedicated solely to AI development. There will be several more of these that work with governments and universities in many different countries
I’m just a robotics engineer, but with no knowledge in Blockchain. How can I manage your platform? In our case, we have a team of robotics engineers and AI programmers, but they have no knowledge about Blockchain.
Follow up question: Do you have an infrastructure already in place?
The great news is that many roboticists such as yourself are not familiar with blockchain, and that’s OK! You don’t need to know how the engine of a car works in order to be able to drive it. It’s the same idea. Much of the blockchain underpinnings will be taken care of for you so that you can focus on innovation. Blockchain will primarily serve as the payment vehicle for bounties, services, and other functions on the network, such as staking coins, but the actual building of the product will be very familiar to you.
We do have an infrastructure ready and proven to be HIGHLY effective. Because of our experience with OhmniLabs, we have a “tried and true” method that we will allow other projects, such as yours, to utilize, and not just ours, but everyone else’s that uses our platform. It truly is open innovation for everyone.
I hope that the Kambria project will be carried forward in the future. I want to ask if the Kambria project is an artificial intelligence platform. Can Kambria help people with disabilities? They really need this project.
Yes!!! We love this. One of the verticals that we are focusing on is healthcare. Also, we build consumer robots, and robotic arms, which are very important for helping disabled people. It’s one of the use cases we are most passionate about. That is what robotics is for after all — making human life more comfortable and easier.
One of our robots (potentially) helped save an elderly woman’s life who had fallen. Her family was able to find her quickly and easily, preventing any further damage.
Is the Kambria Platform open now in public?
The platform is open to the public. Currently, you can vote for bounties, hackathons, buy robotic development kits, and explore the codebase, but there is much, much more coming in the short term this year. You may find it at https://app.kambria.io
Is Kambria currently based on ETH, and has Kambria considered the subsequent rise of the public chain.
Yes, we are based on ETH, but we are blockchain agnostic. If ETH, for any reason, cannot scale, we will look for a more functional chain.
Yes, ETH has been criticized for its slow processing speed. Has the Kambria project considered EOS?
We have considered EOS, and that would certainly be on our radar as one of the potential chains to move to, if necessary.
Could you tell us the history of Kambria, I am very interested in it!
Surely! Our founders started a robotics company in 2015. It was built upon the premise that to really accelerate adoption of robotics in the homes, a new type of company was needed. Being far away from home ourselves, they could relate to the need for affordable robots that bring families closer. So they set out to design robots with modular components, and utilize lean, toolless manufacture. To close the cost gap, they were ultra-focused on iteration speed. Reusability and integration were the cornerstones of their fabrication process, allowing for orders of magnitude, less capital spent, and a fraction of the development time.
Being able to foster an open collaborative ecosystem, where every contribution can easily be shared, manufactured, and implemented, will be revolutionary. Companies can benefit from the collective contribution from the community to build custom applications without having to employ teams of PhDs. End users can enjoy the higher quality of life potentially afforded by more available robot products and services. A combination of reduced costs, cutting-edge technologies, and swift delivery will spur rapid adoption of the Kambria platform by companies, developers, and manufacturers. This cycle of innovation will pave the way for the next wave of robots to provide immense value for people across the world.
Ohmni has achieved good results in the market, and the architecture behind it is indispensable. However, OhmniLabs development was not easy. Built from scratch, the establishment of laboratories, and the search for supply chain production, robotic startups was very difficult. In the difficult process of exploring Ohmni, an idea gradually formed: since there are so many barriers in the field of robot development, why not create an open platform where development, purchase, research, investment, and other needs coexist? It not only brings together talents from all sides but also promotes the development of robotics. In that thought proces, Kambria was born!
We named the platform Kambria, after the Cambrian Explosion, 500 million years ago, when an accelerated evolutionary rate gave rise to biodiversity and abundance. We believe this platform will be the catalyst for a similar explosion in intelligent robotics.
How many people are there in the Kambria project? Is there a blockchain related person?
Yes, our CPO is Tingxi Tan, has extensive knowledge in blockchain development. Additionally, we have a wide array of blockchain and full-stack developers. In total, our full-time staff is 20 people and growing. There are also many part-time employees as well! You can find most of them on our LinkedIn page: https://www.linkedin.com/company/kambria/
While we are technically a global company, our two main “home bases” are in Silicon Valley and Ho Chi Minh City, Vietnam, where much of the team is from. OhmniLabs is also in Silicon Valley.
Our advisor list is also quite extensive. I will list them here:
Prof. Manuela Veloso — AI & Robotics — Manuela Veloso is the Herbert A. Simon University Professor in the School of Computer Science at Carnegie Mellon University. Professor Veloso will be the Robotics and AI judge on the Kambria platform.
Simon Seojoon Kim — HASHED — Simon Seojoon Kim is CEO and founding partner of Hashed, a leading crypto fund based in South Korea. He is a Blockchain evangelist and organizer of Hashed Lounge, a premier Blockchain Seoul meetup community.
Loi Luu — Kyber Network — Loi Luu is a researcher working on cryptocurrencies, smart contract security and distributed consensus algorithms. He is also a regular invited speaker at Bitcoin and Ethereum workshops such as DevCon2, EDCON. Loi believes in the force of the Ethereum and Blockchain technology.
Roger Lim — NEO Global Capital — Roger Lim is an experienced angel and blockchain investor. He is the Founding Partner of NEO Global Capital and an advisor for projects like Bluzelle, Qlink, CoinFi, Thekey, Tomocoin, 0Chain, Switcheo, Open Platform, and nOS.
Long Vuong — Tomochain — Long Vuong is CEO and founder of Tomochain, a public blockchain infrastructure providing an innovative solution to the scalability problem with the Ethereum blockchain. He is often invited as guest speaker of many reputable blockchain events around the globe. Long and Tomochain will also be partnering with Kambria to develop an educational certification program in blockchain and AI.
George Li — WeTrust — George is an ex-Googler who previously co-founded CottonBrew, a Stanford StartX computer vision company. George has helped connect us with influencers and market movers in the crypto space.
May I know some recent news about this project?
In addition to our new Innovation Hubs, we launched our KAT token in December. It is currently listed on DragonEx, KuCoin, and Bitmart Exchanges. We also recently hosted an incredible event this last November where the Winklevoss Twins, and Joe Lonsdale, and several other high-level venture capitalists were in attendance. I will get you the video! :D
https://www.youtube.com/watch?v=t8y4MxyAvTc&feature=youtu.be — Enjoy! I know we did.
The Vietnamese government also attended our November event called Innovation, Community & Impact. It was a very big deal. We wrote several articles recapping the event if you’d like to read about it. I will drop the links from our latest post that contains all of our best top ten articles for last year.
https://medium.com/kambria-network/kambria-2018-beyond-9820242c86c1
Within that article, you can find a ton of information about our project.
Great, I hope that the Kambria project will be carried forward in the future.
Thank you! We want to change the world, and we are unique enough to do it. There is nothing in the world like Kambria. We aim to make frontier technologies WAY cheaper and easier to build. An estimated 85% percent of the work being done is considered to be “wasted effort.” Because much of the work is done in silos, that means almost everyone is doing “double work.”
We can modularize everything and allow the different pieces to be applied, thus saving a huge amount of time in the development process. Why create something from scratch when someone else has already perfected it?
Do you build great motors? AI logic? Robotic arms? You can allow others to use your innovations to build theirs, and earn KAT, promote innovation, get paid, and collaborate on a number of different ideas.
“We aim to make frontier technologies WAY cheaper and easier to build.” Yes, this sentence is very similar to what Xiaomi, the technology giant of our country said so that everyone can enjoy the fun of technology.
That’s what it's all about. Improving the quality of life so that we can focus on the more important things that life brings. Great questions by the way. You’ve been a pleasure to speak with this entire time.
We expect that you can change the world through artificial intelligence + blockchain. Thanks, William and Kambria.
You are very welcome. Please feel free to join our Telegram Channels. We do have a Chinese Channel as well. We’d love to see you there. I am going to post our channels. If you have any more questions, feel free to ping me or DM me directly. My inbox is always open.
We’d like to thank not only DragonEx Exchange for having us, but also to all of the community members who asked us such great questions!
[THE END]
About William
William Ryan is a part of the Global Kambria Community Manager Team, and a resident of Texas. He has been in blockchain since 2015, and has a strong passion for frontier technologies, including blockchain, robotics, and artificial intelligence.
The Kambria Team
Kambria Website
Kambria Whitepaper
Telegram (ENG) Telegram (KOR) Telegram (VIE)
Telegram (CHN) Telegram (RUS)
Medium (ENG) Medium (CHN)
Facebook Page Facebook Group
Reddit
Twitter
Steemit
Discord
Weibo (CHN)
Instagram
Email: [email protected]
KAT is a token to be used on the Kambria platform.
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Merged Mining: Analysis of Effects and Implications

Date: 2017-08-24
Author(s): Alexei Zamyatin, Edgar Weippl

Link to Paper


Abstract
Merged mining refers to the concept of mining more than one cryptocurrency without necessitating additional proof-of-work effort. Merged mining was introduced in 2011 as a boostrapping mechanism for new cryptocurrencies and countermeasures against the fragmentation of mining power across competing systems. Although merged mining has already been adopted by a number of cryptocurrencies, to this date little is known about the effects and implications.
In this thesis, we shed light on this topic area by performing a comprehensive analysis of merged mining in practice. As part of this analysis, we present a block attribution scheme for mining pools to assist in the evaluation of mining centralization. Our findings disclose that mining pools in merge-mined cryptocurrencies have operated at the edge of, and even beyond, the security guarantees offered by the underlying Nakamoto consensus for extended periods. We discuss the implications and security considerations for these cryptocurrencies and the mining ecosystem as a whole, and link our findings to the intended effects of merged mining.

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Der Scaling Bitcoin Workshop in Hongkong tagt noch. Aber bereits jetzt gibt es spannende erste Eindrücke, die über das Netz geteilt werden. Es scheint, als schlagen die Teilnehmer diesmal tatsächlich eine konkretere Richtung ein. Die Wahl des Standorts führt zudem zu einem regen Austausch zwischen Ost und West, und Pieter Wuille bringt eine überraschende Lösung ins Spiel. Then this workshop is for you. We offer technical deep-dive workshops, based on Bitcoin and Ethereum, tailored to your needs. It covers fundamental topics including distributed systems, applied ... They decided that building a 2nd layer on top of Bitcoin was the best solution (rather than another useless hard fork to add to the 103 or so other Bitcoin forks out there) Many claim that coins like Bitcoin SV and Bitcoin Cash are the solution to scaling issues, but they are forks and centralized when compared to Bitcoin which sacrifices decentralization for scalability. Lightning is ... Scalability Bitcoin, ganz einfach: Was ist das UTXO – und warum ist es so wichtig? 7. ... Am vergangenen Wochenende fand der vierte Scaling Bitcoin Workshop in Stanford statt. Wir schauen uns zwei der zahlreichen Präsentationen an. Bei der einen geht es darum, wie Mining und Skalierbarkeit zusammenhängen, bei der anderen um die steile Behauptung, dass Bitcoin schon jetzt sehr sehr große ... Madars Virza Zero-knowledge proofs for Bitcoin scalability and beyond SB2-03. play_circle_filled. Andrew Poelstra Security assumptions SB2-04. play_circle_filled. Peter Todd In adversarial environments, ...

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Enjoy the videos and music you love, upload original content, and share it all with friends, family, and the world on YouTube. We are happy to host another BHB Network event in Sofia! Bitcoin "maximalist" Giacomo Zucco will be with us again to share his views on Bitcoin scaling and g... Lightning Network is a popular proposed solution to Bitcoin's debated scalability problem. It is a second-layer off-chain solution which basically allows peers to send each other unlimited small ... Bitcoin Scalability Workshops - Scaling Bitcoin 2019 "Yesod" - Day 1 - Afternoon - Duration: 4:46:13. Scaling Bitcoin 1,338 views. 4:46:13. Avoiding Microservice Megadisasters - Jimmy Bogard - ... Bitcoin's Lightning Network Explained For Dummies! Will This Solve Bitcoin's Scalability Problem?! - Duration: 10:57. Bitcoin for Beginners 3,195 views. 10:57. The Wrecking Crew YouTube Movies ...

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