Crosschain Applications
Synthchain WP (9)
One of the major features in the coming years of Blockchain innovation is the development of other ex-Ethereum Blockchains as standards in and of themselves. The variances in core utility between these various Blockchains is likely to be very slight, with by far the bulk of utility remaining very much the same. Indeed, almost every industry competition comes down purely to a value war of some kind ultimately, be it in the fields of automobiles, airlines or architecture. We should not expect it will be any different then with Blockchain innovations.
Despite the magnificent prospects for alternate utility, no Blockchain is geared toward any sort of specialised utility whatsoever. This implies even more that a value war of some kind is on the verge of coming into being.
Digital notes will help on several fronts with such value wars: they will increase the value proposition of alternate Blockchain builds by retaining supply off the tradeable market in the smart contracts of the notes themselves, they will help investors to more accurately identify cross-chain values and locate where those values are identifiable as cheap or dear based on future expected returns, and they will give the cross-chains a utility outside their core payment utilities. Indeed, we have successfully translated the Futereum smart contract onto the QTUM Blockchain thus far, and there is no performance distinction to date.
It is entirely possible to create synthetic versions of various Blockchain coins by streaming their prices via API feeds which are then reconciled in the smart contract at point of sale.
In other words, once 1 ETH is sent to the Synthetic NEO smart contract for example, it will purchase the proxy coin at the same price as that at which NEO could be obtained. Either a program or a manual broker dealer function would then purchase the NEO coin and keep it in a secure wallet until such a time as it was either voluntarily or mandatorily re-exchanged for the original NEO coin. The architecture for this cross-chain function is really no more complex than a standard smart contract build with dynamic pricing. We can foresee this being a popular feature with respect to additional FUTR products created for diversification purposes.
