A Deeper Dive into Shyft’s Partnership with Algorand
One of our goals at Shyft Network is to enable trust across actors in public networks by applying consent frameworks and codified rules of engagement to these digital ecosystems. We couldn’t be more excited to announce the development of a bridge between Shyft Network and Algorand, enabling an identity layer for users and DApps on the Algorand blockchain. By applying Shyft Network’s digital identity framework to the Algorand ecosystem, Algorand users will benefit from expanded functionality of the next generation of DApps.
Given Shyft Network’s focus on compliance as a use-case of identity, this partnership offers DApps in the Algorand ecosystem infrastructure, tools, and expertise to be fully compatible with the current and upcoming global compliance requirements.
The Shyft Bridge (Byfrost)
Shyft Network’s bridging infrastructure, aka Byfrost, is a merkle tree aggregator dependent on full (verifier, non-mining) nodes of the blockchains it’s tracking, running inside of a SaaS suite with our partners. Every Byfrost validator node runs this software suite independently, with the aggregator looking at finality of transactions (exchange-lead with block confirmation times) and with safety features, such as measuring the potential of submarine attacks (51% indicators, two transactions on different chain splits that have assets moving to different places, exchanges, etc — this is possible using conventional tooling and ahead-of-time lookups for exchange data transfer to VASPs using Shyft’s/Ecosystem’s FATF compliance tooling) and then applying a risk score across all transactions, and thus across all blockchains that Byfrost is connected to.
Users use the Shyft Network bridge along with layer 2 identity/asset routing smart contracts to move assets from one blockchain to another via “synthetics”, which are programmatic locks of native assets/tokens and burning/creating of synthetic assets across those locks on the source and destination blockchain. These are necessary in transferring tokenized assets from one blockchain (eg. Tether USDT on ethereum) to another blockchain (creating/utilizing USDT tokens on ethereum classic).
Further, as a component of the Shyft ecosystem, the Shyft technology stack also allows for DNS-like features embedded into the Shyft coalition management suite to be extended for general-purpose usage as a timestamped, verifiable record of DNS endpoints to connect the web2.0 and web3.0 ecosystems.
The Shyft Bridge as an Interoperability Identity Layer for Other Public Networks
Shyft Network x Algorand
Shyft Network as an identity layer for the Algorand ecosystem will improve user experience both within use cases built on Algorand, and for cross-chain applications, as users will be able to consolidate, view, and manage engagement across all DApps and protocols that touch their Algorand identity. To enable this experience, Algorand DApp developers will be able to use Shyft Network’s bridging infrastructure, Byfrost, for cross-protocol transactions and data transmission, including passporting of identity-related data (consent/availability of off-chain source data, etc.) and tokenized asset transfers via atomic swap mechanisms. From the enterprise perspective, banks and institutions using Algorand’s side-chains can use these features to meet enterprise-grade institutional identity requirements.
From the enterprise perspective, banks and institutions using Algorand’s side-chains will also be able to use and rely on these features, enabling enterprise-grade institutional identity requirements.
Shyft Network as an identity layer
In the past few months, we’ve partnered with Bitfury’s Exonum network and Algorand to be the identity layer for both networks. The opportunities presented by a multi-network identity layer are incredibly exciting. Users of Algorand will be able to port their identities across various protocols, track balances and activity across DApps in a single interface (the Shyft portal) regardless of underlying networks, and create new and unique use-cases that leverage the Shyft technology stack. A prime example of this may look like decentralized exchanges that function on Algorand in a regulatory compliant manner, utilizing all of the synthetic assets from the blockchains that are bridged across to the Algorand network.
One of our guiding principles is interoperability. We believe that user adoption is greatly increased when the technological solution empowers them to do more across protocols, not limit them to a single network. Identity, as a means to do more in a globalized world, carries with it highly complex requirements dictated by local jurisdictions, technological capabilities of available solutions, and, ultimately, usability. By creating a multi-layered framework across partners, we increase the connections points and the usability of third-party DApps that understand local requirements and offer highly adoptable solutions.
At Shyft, we believe that cooperation is the key to changing the world and creating value for those that need it the most.
This piece was written by the Shyft Network team.
Shyft Network aggregates trust and contextualizes data to build an authentic reputation, identity, and creditability framework for individuals and enterprises.
Join our Newsletter
Telegram (https://t.me/shyftnetwork)
Follow us on Twitter (https://twitter.com/shyftnetwork)
Check out our GitHub (https://github.com/ShyftNetwork)
Check out our website (https://www.shyft.network)
