ChainX Aims to Make BTC More Fun!
Before Bitcoin activated Segregated Witness, its upper limit of transactions per second was 7 transactions per second, which is a far cry from the average tens of thousands transactions per second of Visa and 90,000 transactions per second at the peak of Alipay. As the user population continues to expand, the Bitcoin network has experienced serious congestion. As of July last year, the backlog of transactions in the Bitcoin blockchain has reached nearly 200,000, and the miner fee exceeded $140 at the highest point. Therefore, Bitcoin expansion is the only way in its development process.
At the beginning of the birth of Bitcoin, Satoshi Nakamoto did not specifically limit the block size, and they can reach a maximum of 32MB under the control of their own data structure. At that time, the average packaged block size was 1–2KB. Some people believed that the upper limit of the block chain was too high to cause waste of computing resources, and it was also prone to DDOS attacks. Therefore, in order to ensure the security and stability of the Bitcoin system, Satoshi Nakamoto decided to temporarily limit the block size to 1MB.
In fact, the problems of Bitcoin network congestion and rising transaction fees have emerged as early as 2013. With the straight rise of Bitcoin prices, the number of users has become larger and larger, and the transaction capacity of 1MB has been obviously insufficient. Therefore, various expansion solutions are also emerging in endlessly, but because the community has never reached a consensus on the choice of on-chain expansion or off-chain expansion, it was not until August 2017 that Bitcoin activated Segregated Witness under the promotion of the New York consensus. The transaction processing capacity of a single block has been increased by 1.7 times, and the transaction limit has been increased to 11.9 transactions per second.
During this period, developers and miners who supported the expansion of large blockchains hard-forked a chain of 8MB blocks on the Bitcoin blockchain, which is the BCH that we currently see. With the continuous development of technology and the market, it is not only Bitcoin that needs to be expanded. The founder of Ethereum has also stated that the first thing that needs to be solved for the development of cryptocurrency is the scalability of transactions.
In this AMA Session, Guanghua believes that solving the problem of BTC expansion will bring more. His main views are:
·The current liberation plan for the BTC expansion problem has defects.
· The Taproot technology upgrade can enable BTC to achieve decentralized and trusted cross-chain learning.
· NewBTC World is the path between the ChainX community and the BTC community, helping ChainX to better remit money to the BTC community.
·Realize VM smart contract platform and EETH ecological ecological tool on ChainX.
· ComingChat will serve as BTC’s most private payment channel and ecological DApp entrance.
The following is the record of the interview with the explorer:
- What does BTC expansion mean for the Bitcoin network?
Undoubtedly, BTC has become the best commodity in globalization, but the definition of Bitcoin from Satoshi is a peer-to-peer electronic payment system. The payment function of BTC has not been working. Just like the Lightning Network we are familiar with. It has been out for many years, but there have not been many users.
The fundamental problem is that it is caused by the scalability of BTC.
In other words: BTC expansion plays a decisive role for BTC’s payment and application ecology. The expansion is successful, BTC payments can be popularized globally, and the DApp ecosystem can even be more prosperous than Ethereum.
- What are the current solutions to the BTC expansion problem?
There are so many methods to solve the problems such as enlarge blocks, segwit, joint mining, two-layer expansion (liquid, chainx, lightning network), taproot upgrade, etc.
- Regarding the issue of BTC capacity expansion, how did the past several capacity expansions proceed?
Most of it is done through soft forks and hard forks.
In addition, joint mining and second-layer expansion are accomplished through non-consensus code update program applications outside the chain.
- What impacts did the past several expansions have?
1) Union mining has always existed, but it has basically no effect on the value empowerment of BTC.
2) Enlarging the block comes from the hard fork of the BTC community. For example, a group of big block proponents such as BCH hard fork have created a new network.
3) The second-tier expansion (liquid, chainx, Lightning Network) is going in the direction of adding value to BTC, but the current second-tier influence is relatively small, and there is no large-scale progress.
4) Segwit, segregated witness, reduces transaction size and saves handling fees.
- What are the shortcomings of the current solution?
1) Union mining can only give value to different networks from the mining level, not the aggregate value of BTC.
2) Increasing blocks and hard forks of BCH also decentralize value to the BTC network.
3) The second-tier expansion, Liquid/chainx of the side chain model, has relatively few custodians and is too centralized. The operation of the Lightning Network is complicated, and the transaction fee is expensive when the establishment and settlement channel are on the chain.
- What are the advantages of Taproot in solving the problem of BTC expansion?
The number of multi-signatures of BTC can be increased indefinitely, and the transaction fee will not change greatly.
In this way, the number of custodians in the second-tier network such as Liquid/ChainX can increase indefinitely, and there will be no loss of a large amount of handling fees, so that the decentralized and trusted cross-chain expansion of BTC can be realized.
- How does Taproot solve the problem of BTC expansion?
Taproot contains Schnower’s aggregation signature + MAST script.
In Schnoer’s aggregate signature, the public key and the signature information can be linearly added, changing from multiple to one.
Taproot can reduce transaction size, save BTC verification node verification time, reduce handling fees for users, and no longer be limited to the limitations of the original multi-signature (up to 15 multi-signatures, without adding a signature, the handling fee increases linearly).
- Regarding the expansion of BTC, what are the options after the Taproot upgrade?
After the Taproot upgrade, the idea of unlimited expansion of BTC is opened. We can use Taproot’s decentralized second-layer expansion principle to use existing second-layer technologies on the market or second-layer technologies that will be popularized in the future to expand BTC. In other words, what Ethereum or other public chains can do at the second layer is a second-layer expansion plan of BTC.
- After Taproot solves the expansion problem, what are its impacts on BTC?
The infinite scalability that makes BTC de-trustable will bring prosperity to the BTC developer ecosystem. Aggregation of signatures leads to privacy of addresses and brings applications in the field of anonymity to BTC.
- How does Taproot affect Layer 2 after solving the expansion problem?
Decentralization solves the trust problem of BTC expansion. For example, it solves the problem of too few custodial validators in the ChainX/Liquid network and the lack of a source of trust and the problem of trustworthy connection between BTC and Layer2. This allows Layer 2 of BTC to be expanded based on a fully trusted network. In other words, without Taproot, BTC’s Layer 2 lacks trust, and the untrusted layer 2 network has no great value. Now that the trust problem is solved, the trusted layer 2 network can bring unlimited possibilities to BTC Layer 2.
- How to further expand the BTC capacity in the future?
Safely and reliably use taproot technology to bridge BTC and layer2 and innovative breakthroughs in the application of Layer 2 enable the BTC on Layer 2 to maximize its value.
Next, Guanghua answered questions from the community：
- What applications can we expect to see on btc and how long after taproot will these applications be usable?
For example, the defi four-piece suit (uniswap/makerdao, etc.) on Ethereum, NFT. The time can be expanded about 1 year after the BTC upgrade ends.
- What benefits user will get from Layer 2 Stage from chainX ?
ChainX will be compatible with Ethereum ecological tools like BSC, as a two-tier smart contract platform.The difference is the underlying base currency is not ETH and BNB, but BTC, which has the most consensus in the crypto circle. Such value is huge for us ChainX users.
- Will ChainX (xbtc) be integrated with AcalaNetwork and KaruraNetwork？
Yes, but waiting for Kusama/Polkadot’s technology to be implemented, it is estimated that it will take about 1 year.
- How are NewBTC World and ComingChat linked to ChainX & PCX exactly?
NewBTC World is a bridge between the ChainX community and the BTC community, helping ChainX best integrate into the BTC community.
ComingChat is the entrance to ChainX of BTC’s Layer 2 smart contract platform. ComingChat provides ChainX with a wallet function, which enables Dapps on the contract platform on ChainX to be used on the web3 browser on ComingChat.
- In the context of global regulation, is there a threat to ban btc after taproot update, as BTC will become anonymous? I want to hear your opinion. How is ChainX different and superior in cross-chain technologies in a highly competitive environment? Why should people choose ChainX?
From its birth to the present, there has always been a threat of banning BTC, including today, there has always been a threat of banning BTC.
But who has succeeded in banning BTC? In the past, the scale of BTC was small and could not be banned, but now that it is so large, it is even more impossible to be banned.
ChainX has always focused on BTC cross-chain and the application of BTC. From a technical point of view, ChainX implemented the WASM version of the light node 2 years ago, and later introduced 4 cross-chain solutions in the BTC cross-chain technology. Up to now, we have done sufficient research and preparation for the upgrade of taproot. , A completely decentralized cross-chain can be achieved. From a cross-chain perspective, our technology has advantages. What’s more, the technical and community preparations we have done for the ChainX triple jump, no team can catch up quickly, triple jump for a while.
First, completely decentralized cross-chain BTC to the Layer 2 platform ChainX.
Secondly, implement the EVM smart contract platform on ChainX, which is compatible with the entire ecological tools of Ethereum, allowing users to use BTC to implement various Dapps like ETH.
Thirdly, these Dapps have a general Web3 entrance. This entrance is ComingChat. ComingChat integrates privacy social and encrypted wallets and Web3 browsers to provide a strong user base for ChainX, a Layer 2 smart contract platform.
- Who controls the NewBTC World?
ChainX’s development team and a group of investors in the BTC field are jointly responsible for NewBTC, which will soon develop into a BTC Dao development organization, which will fund and develop applications that use BTC as the currency to expand on the Layer2 platform.
- Why do you think bitcoin is an inevitable part of our long term future?
We have always been very aware of the inflation bubble in fiat currency. Especially when the dynasties of various ancient countries changed, we found that it was their legal currency economy that had problems, which caused the legal currency of the previous dynasty to return to zero.
But BTC, a decentralized currency, appeared in 12 years. We don’t hope that the old monetary system will do us any good, because the old monetary system tells us that there is only one ending, and that is to return to zero. But for a new currency system, like BTC, we at least still have expectations and hopes. It can survive long-term preservation.
- How does chainx plan to reach a huge user-base as right now it’s existence is shadowed by invisibility?
We’ve had a lot of great development talent brough on recently. For example, the technical genius of Tsinghua and Peking University, the best university in China.
- What is the use of CID? What is the advantage of a rare CID? Will owners of rare seeds have any “bonuses”?
CID is a symbol of digital identity, and it contains the value of an NFT.
And can be programmed based on CID smart contract which will be available soon, including Ens, digital identity, meta-universe entry, rare NFT and so on.
- What is the biggest innovation chainx create ? Or still not yet present ?
Bitcoin layer 2. All ChainX want id to make BTC more fun!
- What can we expect in terms of new test platforms or new functionalities on ComingChat ? And if there are dates for it.
On August 3, ETH/USDT wallets are available。On September 3, there can be a large group of thousands of people chatting, like Telegram。In October, you can see the CID-based smart programmable contract platform.
- Is there any plan of ChainX to build connection in ethereum chain？
We at ChainX will be compatible with the Ethereum ecosystem and ecological tools like BSC. Where we are better than BSC is: we use decentralized BTC as the value carrier
Both taproot development team and EVM porting team are developing.
- Will the PCX staking feature be added to ComingChat wallet?
Of course, ComingChat will be the entrance to the ChainX smart contract platform. It will serve as the entrance to any Dapp on ChainX including staking feature, a little feature or a little function.
- There are many NFT trading platforms on the market now, and there are also many excellent platforms on them, and there are many artists created on them. NFT is originally unique. This is the same as the CID, but the only difference between the CID is that each cid represents one. Digital identity, it has a social nature. May come back to attract some artists to create for CID, which is not available in any nft. However, I have a question. A CID represents a digital identity. In the future, will there be a meta-universe that uses CID to log in? Such as games?
Of course, this is our biggest demand for CID. Through all meta-universes, CID can support the entrance of any game meta-universe.
- is ChainX almost the same as platon /$LAT? what are the advantages over ChainX besides taproot upgrade?
Not the same, ChainX does BTC layer2.
That’s all the our AMA session with ChainX CEO guanghua.