“Break the Limits of Single-Chain Networks”
The recent price surging of underlying assets (Bitcoin and Ethereum) in the virtual asset market has become an issue. January 4, 2021, at 9 am based on CoinmarketCap, Bitcoin was 32,000 dollars and Ethereum (ETH) price rose 30% to 1002 dollars compared to the previous day.
This price surging in underlying assets (Bitcoin and Ethereum) can be accepted in positive way from the perspective of investors since it become revenues. But it’s the reality is different from the perspective of blockchain network technology and utility. The price surge of underlying assets (Bitcoin and Ethereum) causes higher gas fees (fees) and slower network transactions. It also affects the usage charge of derivative token assets belong to a single-chain network of underlying assets (Bitcoin and Ethereum). Due to this phenomenon, the blockchain network industry faces following problems.
Transaction efficiency issues
Asset efficiency reduction
The failure of oracle formation
First, the transaction efficiency issue occurs. So far, networks of underlying assets (Bitcoin and Ethereum) were built with a single-chain network. In addition, derivative token assets associated with underlying assets (Bitcoin and Ethereum) also used in single-chain networks (Bitcoin and Ethereum). Currently if numerous assets are concentrated in a single-chain network or many transactions occur simultaneously, the required data became larger than the data that the network can afford. This causes dictatorial governance within the slower network transaction speed, resulting in a transaction delay, and higher gas fee (fees).
Second, asset efficiency is reduced. When traders want to trade assets on a single-chain network through AAA token while the underlying assets (Bitcoin and Ethereum) of networks are priced high, traders have to pay high gas fees (fees) that are too expensive to use even for a single transaction. For example, when traders want to purchase a single token, while the price of the item is 10 dollars but you have to pay 20 dollars as a fee.
Third, oracle formation becomes impossible. The real assets of underlying assets (Bitcoin and Ethereum) are blockchain networks’ technology like the practical usage of chain networks. The network value has scalability that extends to various fields, forms, and types. In the case of Ethereum, the brand value put forward is a platform that provides various services through smart contracts. Thus, a blockchain network must be formed in the oracle form that chainifies and connects networks which expanded into various fields, forms, and types such as finance, investment, insurance, and logistics, to prove and grow. However if the usage of the network itself through the underlying assets(Bitcoin and Ethereum) formed in a single-chain network and the gas fees affected by the amount of demanded, it is difficult to realize this.
As mentioned above, the reasons of issues are because of a single-chain network system currently formed by blockchain ecosystem structure with people who prefer to use stable services and focus on huge platform networks. But as network usage increases, gas fee also increases and trading speed delays occur. In addition, due to the soaring gas fees, the price of underlying assets (Bitcoin and Ethereum) are manipulated by some speculators who start to hold them. As going through this unreasonable cycle, dictatorial governance is formed and this became the reality of current blockchain network system.
CenterPrime solves the problems written above by using neuron assets in the form of decentralized assets. It is designed to cross-use various multi-cross-chain networks such as Bitcoin, Ethereum, Binance Smart Chain, Tron, etc. , so traders can select and use networks that can be used with reasonable gas fees among several multi-cross-chain networks. By neuron assets, we are expecting to connect the real economy and the digital economy with Oracle while preventing dictatorial governance and price surge, thereby improving scalability and efficiency of usage.
The CenterPrime project uses a Hyperledger private chain to share an open banking API to apps, connecting centralized finance to decentralized finance. Also making smart pairing data for loan, remittance, exchange, payment, and exchange rate information possible to be included in fintech oracle networks.