Short and beginners version of Axelar whitpaper
Making life easier
Nowadays we have 3 main problems in block chain world, that stops mass adoption of crypto projects, this problems are: 1) Scalability 2) Interoperability and 3) Security. So main vision of Axelar is to provide crypto world features for everyone in any block chain (aka Interoperability) .
Lets dig deeper, how team is going to realize it. I am pretty sure, that most of readers think about Axelar network as a decentralized state transition machine. Of course this requests submitted on the network trigger transitions from one state to another. So as i mentioned, team is considering the concept : using any application on any block chain, directly from your wallet. So as a result the main purpose of project is to bridge the blockchain ecosystems and enable applications to communicate frictionlessly across them. Validators collectively run a byzantine consensus protocol and run the protocols facilitating cross-chain requests. Mainly 2 types of protocols have been used as fundament for project are : 1) Cross-Chain Gateway Protocol (CGP)-This protocol is mainly focus to connect multiple autonomous blockchain ecosystems and is responsible for routing across them (as a result developers no need to make customization or any changes to spread their project). 2) Cross-Chain Transfer Protocol (CTP)- Application developers can connect their dapps on any chain to perform cross-chain requests. Users can use the CTP protocol to interact with applications on any chain using simple API calls analogous to HTTP GET/POST requests. So as a result 2 consensuses are preconditions for several multi project thresholdes.
Main Advantages over other projects:
- Blockchain developers- gets opportunity to directly plug-in their blockchains to all other blockchain ecosystems.
- Dapp developers — gets opportunity to host their dapps anywhere, lock, unlock, transfer assets, and communicate with applications on any other chain via CTP API.
- Investors- gets opportunity to interact with all applications across the ecosystem directly from their wallets.
DAO system used, as we know DAO is controlled by the organization members and not influenced by a central government. Developers suggest — community votes.
Enormous power and finance needed to make interoperability between different chain, as we know the following Interoperability solutions as: centralized exchanges, interoperable ecosystems, wrapped assets, and token bridges have not solved problem, they just make them easier. At the end of the day, platform developers want to focus on building platforms and optimize them for their use-cases and be able to plug in to other blockchains easily. And application developers want to build dapps on the best platforms for their needs while still leveraging users, liquidity and communicating with other dapps on other chains. So in case of Axelar, we work with threshold cryptography, which means individual keyholders cannot open a lock on their own. Instead, out of a group of keyholders, there must be a minimum number of them — a “threshold” number — working together to open the lock. According to this concept, Axelar network open “gates” by collectivaly managed validators. As a result, this cause that validators must collectively approve the transactions, this compact (voted by all validators) one signature gives benefit and allow network to provide with low fee, small transaction and avoid reqirements( mainly benefit) for Axelar to interconnect with blockchains. May be you have logical question, should Axelar validators run all nodes ?. Developers take case about it and make it easy at maximum level, validators are able to run full-node or light(client)-node, but even in case that new node is going to add, validators no need to code some logic or etc, he/she just should provide with software that created by other blockchain developers, then expose RPC endpoints and point the Axelar nodes to those endpoints. Any validator may choose what chain to validate. Also one of the amazing feature of Axelar is that network is going to store the data, but data growth proportionally with growth of cross-chain transfers (cross-chain transactions are processed in batches).
So you may wonder, how Axelar network dose cross-chain transactons. Lets consider, as transaction on chain #1 comes to gateway contract, it needes to be relayed on Axelar network, then chain daemons have to monitor this gateway contract . Here important to note, that relayers are not trusted for safety, as a result team conclude that 1 relayer is enough for maintain livness of protocol. More detail you can find in introduction to Axelar network.
Axelar used as a fundamental security mechanism is Delegated Proof-of-Stake (DPoS). This consensus algoritm allow users to select validators who will bond their own stakes and participate in consensus , as a result to provide high quality service. At least 80% of validators should approve transactions.