SKALE (SKL) Research

SKALE (SKL) Research Details

SKALE (SKL) SKALE

INTRODUCTION

SKALE Network is an "elastic," open-source, decentralised blockchain network made to scale Web3 apps. SKALE chains are application-specific blockchains that can be changed. These are often called "dynamic shards," and they sit on top of the Ethereum blockchain. Developers can rent SKALE chains, which act as private smart contract platforms that are compatible with Ethereum and have faster block times and the ability to handle more transactions per second. According to the SKALE Labs core developer, SKALE chains can run full-state smart contracts, provide decentralised storage, execute rollup contracts (a layer-2 scaling solution), and perform machine learning algorithms utilising the EVM (Ethereum Virtual Machine). When combined with Ethereum, SKALE Network wants to make it possible for Web3 apps to compete with traditional apps in terms of cost and performance.


HISTORY AND FOUNDER

SKALE Network was officially released in 2018. It was started by Jack O'Holleran and Stan Kladko, who both had experience with blockchain and cryptography.

O'Holleran has a lot of experience with machine learning, blockchain technology, and artificial intelligence. Kladko, on the other hand, has almost 20 years of experience with enterprise infrastructure technologies and cryptography. Stan Kladko is also one of the most important contributors to the Ethereum Foundation and Ethereum research.


REASON TO BUILD THE PROJECT

The company's co-founders, Jack O'Holleran and Stan Kladko, wanted to start a company in the crypto space. Both were trying to make decentralised applications and ran into problems with scaling and making a user experience that wouldn't slow down growth. Stan came up with the first SKALE architecture and mechanics as a way to scale the different apps he was working on. During his first collaborations with Jack, they realised that there might be a market opportunity to make a new high-throughput layer that could work with Ethereum and help new dApps get around scaling problems. Existing blockchains needed a scaling solution because the market for new decentralised applications like search, e-commerce, and decentralised exchanges (DEXs) was growing quickly.


BASE OF PROJECT

Elastic Sidechains are the focus of the SKALE Network project. Elastic Sidechains work as separate blockchain systems that are connected to another blockchain environment, in this case, the Ethereum platform. Users can set up sidechains to meet their requirementss, which is why these formations are called "Elastic Sidechains."

Through two-way communication between smart contracts on the Ethereum platform and SKALE sidechains, interoperability between the two is established. Users can continue to access the Ethereum mainnet while utilising elastic sidechains.

SKALE can also do transactions through sidechains. This means that it can validate multiple transactions at once and send them back to Ethereum for bulk verification. In this way, SKALE helps speed up transactions when the network is comgested. SKALE sidechains are also appropriate for testing Dapps, as the mainnet-facing Dapp will not be impacted by a bug or crash.


USE CASE

The SKALE token is used to make payments on the network, including SKALE chain subscriptions. Token owners can stake SKL as validators or delegators and earn incentives. As validators, they can run nodes to verify transactions, carry out smart contracts, and keep the SKALE network safe. This earns them SKL incentives based on SKALE memberships. If SKL owners choose to stake as delegators, they will only get a part of the validator's rewards.

SKL token holders also have the right to take part in how the SKALE network is run. Through on-chain voting, they can decide SKALE's economic parameters and the direction of its future development.


MAJOR NEWS AND EVENTS

DATE

NEWS/EVENTS

IMPACT

26/03/2022

The sudden boost in interest for SKL comes ahead of the release of SKALE v2 and an increase in project exposure at a recent NFTLA networking event held by Blockdaemon

+113% Increase

09/03/2021

Skale gets listed on Coinbase

+151% Increase


CONCLUSION

SKALE Network provides an efficient method for Dapp developers to test, host, and build Dapps in a highly scalable environment in which developers may modify and customise sidechain parameters, hence making them elastic. Ethereum frequently faces congestion issues, which cause the price of GAS to soar, making Dapp development on Ethereum expensive and unsustainable.

SKALE Network solves this problem and helps Dapp developers create, develop, and test EVM-based decentralised applications while making transactions faster and cheaper.


DISCLAIMER

Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. Crypto products are currently unregulated and subject to market risk. Please seek independent financial advice or do your own research before investing.