By Admin JAN 11, 2021

After 4 years from 2017, by 2021 Ethereum has once again reached its highest price, which gives venture capital investors accounts with more zeros behind as well as trust the potential of this market, however, comes with its disadvantages including the huge fees charged by each transaction on the Ethereum network as well as the inefficient transaction processing speed.

To solve this inherent problem, blockchain developers offer two options: the first is to expand on the Ethereum platform (On-Chain Scaling), the second is Off-Chain Scaling.

In the first option, or as we are commonly known as Ethereum 2.0, simply stating that the Ethereum project developers change their consensus mechanism from POW to POS, we have to say that in order to change an "Ethereum building" into a new consensus mechanism is not an overnight thing. Indeed, until the end of 2020 we can see Ethereum project owners making an official announcement that they are already in the transition, but things are still pretty blurred right now.

With the first option will be a passive one, while we will not be able to wait and suffer the cost as well as the speed of Ethereum just "torturing" the general development of the market, so with the option Second, external projects have been building a layer-2 solution to solve this problem. Digging deeper, we have solutions for this 2nd option including State Channels, Sidechain, Plasma, Rollups. In particular, the sidechain solution is considered to be the most developers-friendly solution, with two bright names developing using sidechain solutions such as POA network as well as Skale network.

In this article, I will focus on researching the Skale network first and the POA network I will write later, remember to always access the article regularly so that you do not have to miss important information.

# So, what is Skale Network?

In simple terms, Skale Network is a blockchain protocol born with the purpose of helping developers easily create Dapps, solving problems such as transaction fees, transaction speed on the Ethereum network. Going beyond the purpose of building a payer-2 solution, the ultimate goal of the project is towards a Web3 world for everyone.

A special feature of the project is that SKALE chain can execute sub-block time, with each chain can reach up to 2,000 tps and run smart contracts in full state, supporting real, decentralized storage. Show Rollups and machine learning in EVM. This is accomplished using pooled transaction authentication and a highly secure, scalable, and anti-collusion model.

After launching Mainet 1 in June 2020, the project has had surprising results with specific numbers reflecting remarkable growth with more than 70 Dapps coming from the trending sectors of the world. The crypto world includes Gaming, Social, Payments, ... an expanding ecosystem with 40 partners.

The project started in 2017, up to now, there have been 3 mainnet phases:

• Mainnet Phase 1 launch: June 30, 2020
• Mainnet Phase 2 launch: October 1, 2020
• Mainnet Phase 3 Launch: December 1, 2020

# Five Key Features To Understand About A Project:

1) Structure

Skale is made up of 2 main parts: Skale Manager and Skale Nodes:

• Skale Manager: located in the Ethereum network has a role in managing smart contract jobs such as creating and destroying an Elastic Sidechain, withdrawing money ...
• Skale nodes: are responsible for creating or deleting Virtualized Subnodes, coordinating nodes in the network, interacting with Skale Manager. This section covers Node Core and multiple Virtualized Subnodes together. In which Virtualized Subnodes are considered as the computational power of the node, the Virtualized Subnodes will be randomized and work with many different Elastic Sidechains. With Elastic Sidechain, these Elastic sidechains are compatible with the Ethereum virtual machine, thus allowing the deployment of smart contracts easily and increasing security. At Skale Network users can optionally configure Elastic Sidechain with low configuration (1/128), medium configuration (1/16) and high configuration (1/1).

2) A Collusion-Resistant Leaderless Network

Normally, projects will have very little use of validator nodes, the advantage of this is that it increases the efficiency of network operations, but its disadvantage is that these nodes easily collude, causing some disadvantages with transactions. To improve that, Skale Network uses a pooled validation model, this method works with the mechanism of combining random nodes assignment with frequent switching nodes between validators. This method is known as Random Rotation Incentive Scaling.

3) BLS Threshold Cryptography And ABBA-based Consensus

In non-custodial approaches that use a proof of fraud system to allow assets between chains to flow, SKALE Network uses BLS signatures, deposit boxes in the Ethereum mainnet, and other mechanisms to allow ownership and supervised use in the network (this allows to take advantage of the security guarantees of the primary network but achieve the performance inherent in Layer 2). While other Layer 2 models try to use mainnet interactions to run verification, SKALE uses the Ethereum mainnet for staking and for other critical operations in a way that is better harmonized.

From the combination of DPoS and BFT (Byzantine Fault Tolerance) protocols to take advantage of their optimal points, the project uses the ABBA (Asynchronous Binary Byzantine Agreement protocol) protocol with the expectation that the ABBA protocol will perform robustness in subnode stop working time.

4) User Experience (UX)

Unlike projects with the same purpose, Skale puts the user experience first, as the project considers that users go through complicated transaction confirmation steps, incur a variety of fees and waiting time for transactions every time when the price of $Eth increases, making the user unable to be patient any longer, therefore, the project hopes these will be overcome soon.

5) Interoperability With The ETH Ecosystem

With what could implement on Ethereum's network, they could do the same on Skale's network too. As mentioned above, developers can program in Ethereum's Solidity language to write smart contracts, which are suitable for EVM server so that it can run both on Ethereum and on Skale Network.

Developers can also use Ethereum network tools including web3.js and web3.py networking, as well as using tools like Truffle and Remix. Not only that, Skale also supports standards of tokens such as ERC20, ERC721, ERC777 and Dai.

In 2019, in order to introduce its products and encourage Ethereum developers, Skale also has many programs open to increase the number of smart contract coders.

Full support like this will attract products from developers, as a consequence the more Dapps products are built leading the project to grow bigger and the inevitable value. The project's token intrinsic will increase accordingly.

# Skale Token - SKL

Token Usecase

The project's token with the symbol SKL, SKL is an ERC-777 token and is a token with many functions, such as:

• The first is that the programmers need SKL to buy computation, storage, bandwidth to use Elastic Sidechain in the ecosystem.
• Second, investors can stake tokens to become a validator, then they can run the node as well as receive a certain amount of tokens. For delegators, they can delegate their tokens to the validator and earn rewards.
• Finally, the governance function: in addition to the above two functions, SKL holders also have the right to vote for future changes in the project.

Token Distribution and Token Sale

Token sale took place in November 2020

Token Release Schedule

# Team

Ceo is Mr. Jack O'Holleran. With experience working at Silicon Valley Technology startups for 15 years, he then gained experience in machine learning, AI, mobility, security software and blockchain. Not only that, he is also the co-founder of Aktana, an advanced analytical platform used by almost every biotechnology and pharmaceutical company around the world. In 2008, he co-founded IncentAlign, a digital currency platform for Enterprise Resource Allocation used by NASA. Prior to that, he was CEO of Good Technology, a mobile security and messaging platform. His company was asked by Motorola to buy for nearly 500 million USD in 2006. He finally started investing in crypto in early 2013.

With Skale's Stan - Ceo, Stan has spent more than 16 years as chief technology officer in Silicon Valley and has 18 years of experience in cryptography. He worked at the Max Planck Institute, Los Alamos National Laboratory, Stanford and SunMicrosystems, where he worked on the first Java Virtual Machine. He also worked at startups Crypto Ingrian Networks and The Crypto Lab and was a co-founder of Cloudessa and Galactic Exchange before co-founding SKALE. He holds a Ph.D. in Physics, is an active member and contributor to the Ethereum Research Foundation. A few years ago, he decided to move to Kharkiv, Ukraine, where he handles most of SKALE's engineering matters.

Later, in 2017, Jack O'Holleran had the charm of meeting SKALE Labs co-founder and CTO, Stan Klakdo, when both were working on building decentralized apps. Both have had similar problems with scaling and creating user experience. This is how Stan came up with the structure of SKALE, and that's when SKALE was created.

# Partners

# Roadmap

All information about the roadmap as well as the future development directions of the project you can update on the Skale's youtube channel.

# Personal Reviews

The explosion of the cryptocurrency market will grow, leading to too many big-name projects standing on the shoulders of giant Ethereum, which inadvertently creates a heavy burden on the largest ecosystem of the crypto market, therefore, it is considered optimal for projects to use off-chain solutions to deal with this burden on Ethereum.

Skale Network, a well-thought-out, seriously-worked project built by a really quality team behind, what they lack is to attract more developers to build Dapps on their network, but if you pay close attention, you can see that in recent years they are hiring a lot of marketing positions as well as running campaigns to invite other project developers to build on Skale. If they maintain this momentum, Skale Network will be a very bright name that will be mentioned many times in the crypto market in the near future.

# More Information About Skale network

Website: https://skale.network/

Telegram: https://t.me/skaleofficial

Twitter: https://twitter.com/SkaleNetwork

Github: https://github.com/skalenetwork

Youtube: https://www.youtube.com/channel/UCpUk0eMmD00C7RXLT0g8SuA

* Source refer to the article: https://skale.network/whitepaper; https://skale.network/tokenomics