Bundlr Network 101: How does Bundlr work?
Bundlr Network enables fast, multichain support for Arweave, the only decentralized data chain where data is stored permanently. Bundlr increases data uploads by ~3000x which is instantly accessible to users. It also allows for users to pay for data uploads in different tokens such as ETH, SOL, MATIC, DOT, and many more. As of today, over 90–98% of data uploads onto Arweave are conducted through Bundlr.
It’s an exciting piece of technology that will help Arweave scale to the masses. One of the frequently asked questions we receive is how does Bundlr work? We wanted to break it down in a way that anyone with a basic understanding of blockchain could understand.
In this article we will answer:
- At a high level, how does Bundlr work?
- How does Bundlr make data uploads to Arweave so much faster?
- How does Bundlr allow users to pay with any token?
- How does the validator network work?
- And more!
How does Bundlr work?
When a user uploads data to Bundlr, it will take that data, as well as other data uploads and stick them together into a bundle. It will collect data for two minutes before submitting the bundle onto Arweave. It continues to do this over and over again, bundling data for two minutes, and submitting it onto Arweave.
Bundlr pays for these transactions with Arweave’s native token, AR. Bundlr holds a treasury for AR tokens to ensure that there are enough funds to continue uploading these bundles. Since Bundlr pays for the data uploaded to Arweave with AR, the user does not need AR tokens. Bundlr can accept any token as payment, including ETH, SOL, MATIC, DOT, and many others. When using Bundlr, the user can use these native tokens to pay for data uploads.
Bundlr also allows users to sign with their native keys. You can sign for the transaction with any key type, such as Ethereum and Solana, when you use Bundlr.
Is Bundlr a network?
Yes, Bundlr is a Proof-of-Stake network that sits on top of Arweave. Approximately every day validators are randomly chosen to run the network.
The validators are in charge of making sure the transactions are moved from Bundlr’s network onto Arweave within a certain amount of time.
Once a transaction is put on Bundlr’s network and confirmed as valid, it will receive 3 signatures from validators on the network. This signature means that those validators will ensure that the transaction moves from Bundlr’s network onto Arweave.
How is my data instantly accessible on Bundlr?
Before your data is uploaded to Arweave, it sits on Bundlr, which acts as a decentralized caching layer. As a result, users have access to their data even before it is uploaded to Arweave.
This allows Bundlr to be much faster and offer instant data finality, which is incredibly useful.
How is the developer experience of Bundlr different from the end-user experience?
Let’s first define a developer in this scenario. A developer is someone who is actively building on a blockchain or an L2. In this example, a developer might choose to store their project’s data on Arweave, and they choose to do so via Bundlr since it is fast and easy to use.
In this scenario, the developer would copy the Bundlr code onto the backend. Once successfully integrated, the data from the developer’s project will be stored on Arweave via Bundlr.
Since Bundlr is compatible with a wide range of blockchains and L2s such as Polygon, Arbitrum, and Boba, developers on these chains can access data storage on Arweave via Bundlr.
Let’s move onto the end-user. In this example, an end-user would be someone using a project that has its data stored on Arweave via Bundlr such as Formfunction or Metaplex. In this example, the end-user could be minting or purchasing an NFT. The user would have no direct interaction with Arweave or Bundlr. Just like you wouldn’t have access to a hosting service when scrolling through a website. The technologies would work quietly in the background, protecting your data in a permanent, decentralized space.
How does the validator network work?
When a user uploads data to Bundlr, they receive a receipt that promises that their transaction will be uploaded to Arweave within a few hours. That receipt is signed by three validators, which signals that they are all aware of the transaction and will ensure that it will move from Bundlr to Arweave.
Now that the three validators are tracking the transaction, they will wait for it to move from Bundlr, onto Arweave. When the data is uploaded to Arweave, the validators will confirm that the transaction has been completed.
The validators are incentivized to complete transactions as they receive a profit margin from each transaction it completes. There are three validators per data upload from Bundlr to Arweave, and only one needs to confirm that the transaction has been completed.
Any questions?
It should be noted that this explanation is very high-level and skims over many complex topics and features. However, it does provide the general picture of how Bundlr works and how it interacts with Arweave and users.
If you want to go more in-depth, take a look at our docs.
If you have any questions, please feel free to post on our Discord or reach out to me directly at caylin@bundlr.network.
