TomoChain’s mainnet went live on December, 14, 2018. I suspected not many had high hopes for us at that time when $TOMO was sitting out of the top 250 on CoinMarketCap at less than 20 cents just a few days before. What a year we went through! The community’s strength, the network’s growth, and $TOMO’s value have all improved significantly, and I hope all TOMO stakeholders ended the year on a positive note. I certainly did and am also very much hopeful for 2020.
Our vision is to develop the TomoChain public chain to a level of maturity that offers distinctive features and services that are useful for developers and projects to build upon. Financial values and services need a native Internet protocol and TomoChain aims to fill that space to build a sustainable ecosystem of developers, projects, users, and token holders that support the network in the long-term. At the moment, what makes the TomoChain public chain different from other protocols are the PoSV consensus, TomoZ “zero friction” protocol, TomoX “decentralized exchange” protocol, and the upcoming TomoP “private transfer” protocol. All of these work well together in a well-defined package.
TomoChain’s core team will continue to work on the protocol, both at the infrastructure layer as well as in building out key applications, for years to come. At the same time, it is expected that the amount of work on the protocol layer will stabilize over-time and become a part of the Internet infrastructure that transports and automates digital financial value globally. There is a long road ahead, and our journey has but merely begun, yet I am optimistic about the future of cryptocurrency and the role of TomoChain in the industry.
The team has been doing a good job of summarizing all of TomoChain’s news and accomplishments all year by condensing them to weekly and monthly digests that you can read by following TomoChain Reddit or our Blog. In this New Year update, I want to cover some important themes that are the most relevant to TomoChain in 2020, and point to some major plans we have ahead.
Originally, TomoChain set out to solve the public chain scalability problem when it was conceptualized in 2017. In the first iteration, and during the pre-ICO testnet in early 2018, we used a Proof of Authority consensus. But, given the centralization issue with PoA, we embarked on researching a new consensus mechanism soon after, which concluded with the discovery of the PoSV consensus and its testnet launch in August 2018. The key innovations and technical advantages of PoSV are described in detail in our technical white paper was also published in the proceedings of a conference. Since then, bug-fixes and updates, such as the slashing mechanism, have been added into the core client over time to make it more secure and stable. At this moment, our PoSV and Masternode architecture enables 2-second blocktime and up to 2000 TPS on TomoChain, which is one of the best in class consensus mechanisms in the space.
Our research team is active in looking at other directions, including a published research proposal on sharding design, and later a review article on the benefits and drawbacks of sharding in the middle of 2018. As of now, sharding is active in research but not yet pursued in production as we are seeing that the benefits do not overcome the costs of switching to it. At the moment, the value of PoSV and running a live network is substantial, and while it is possible to push the scalability boundary further, it is even more important to keep the network’s safety, integrity, and stability intact as the values on top of TomoChain continue to accumulate and compound. The research team will keep an eye on further scalability upgrades but expect no major push to sharding or other Layer-1 scaling solutions in 2020.
We set our sights on building the Internet of Value very early on, and DEFI is a focus and the strength of TomoChain’s core protocols. Some major areas of development in DEFI include:
TomoZ the first decentralized gasless token transfer protocol is solving a major pain point for token issuance and transactions.
TomoX and TomoX-SDK enables decentralized exchanges with a shared liquidity pool. Mainnet is scheduled to be launched in March 2020.
TomoChain’s core team plans to bootstrap one of the first relayers on top of TomoX, tentatively called TomoDEX. There will be decentralized lending and cross-chain token swap services built on top of TomoX and TomoDEX. This will help the liquidity pool in the ecosystem around TomoX, as a whole, and make it attractive to external parties to join in launching tokens using TomoZ or launching other relayers using TomoX-SDK.
We are also looking to add more stablecoin options to TomoChain ecosystem beside the Constant stablecoin already running on TomoChain and being used in the TomoSwap service.
Making sure all the DEFI services are working well together so TomoChain emerges as a viable DEFI ecosystem is one of our major goals for 2020. We wrote an overview of the current TomoChain DEFI ecosystem in our blog.
In my opinion, privacy is a very important aspect of finance over the Internet. We began privacy research in the middle of 2019 and produced TomoP’s paper and development roadmap recently. While I see TomoX and TomoZ protocols are more attractive to projects, TomoP’s private transaction is universally appealing, and our goal is to put private transactions over the Internet into practice and to make it widely available for use. TomoP’s Public Testnet is expected to be live by the end of February 2020.
Top 5 dapps on TomoChain at the moment are TomoMaster, TomoPool, MaxBet, TomoWin, and TomoSwap. We learnt a few things over the year running multiple Hackathons and talking to hundreds of dapp developers. Finance will be a strong prioritization in 2020, with gaming in second place. It is important to learn what worked in 2019 and enhance it in 2020, and also to learn what did not work and course-correct appropriately.
For TomoChain, building a developer network should focus on organic growth, and a home bred developer community instead of spending on a buying and paying strategy. In my view, it will be a more sustainable strategy. In other words, we prefer missionary to mercenary. For core developers, the best way to contribute to TomoChain’s core system is to head over to our Github, which has more than a dozen active repositories, and start to communicate with us. For dapp developers, TomoChain is fully compatible with Ethereum’s dev tools like MetaMask, Truffle, Remix, etc. and ready to quickstart their apps.
Masternodes and staking is really important for the network’s health and strength. We have fortunately been one of the first networks with a stable staking mechanism since the beginning of 2019. Read more about TOMO staking here.
However, some recently launched networks, such as Tezos or Cosmos, carry more support and reputation. In that regard, TomoChain has always seemed to be more grass-roots oriented and a community-based project. We plan to work with more industry partners and discuss with them to stake, participate in the consensus and support the TomoChain ecosystem further in 2020.
Masternode owner voting and decision making is planned sometime in 2020, which will be supported by TomoMaster’s software. It will add another important dimension to the decentralized network dynamic.
It should be noted that working with enterprise clients and governments will be necessitated by their demands. We have been in discussion with multiple enterprise partners in Asia, and pilots are underway in various stages with our affiliates and partners. Enterprises using public chain is a long-term prospect and while TomoChain is in a prime position regionally, we will necessarily need to wait for a transformation in attitudes towards using blockchain technology at scale from major stakeholders in the future. What we can do in the meantime is focus on building TomoChain public chain into one of the best in class.
The distinction should be made between TomoChain decentralized public chain and TomoChain core team (TomoChain Pte. Ltd.). TomoChain public chain is transparent, open and it is designed to encourage a massive collaboration on a global scale by stakeholders. TOMO stakeholders are economically incentivized by TOMO token and the network is secured and maintained by the dynamics between multiple major stake-holders, such as the core team, exchanges, dapp projects, masternodes, etc. The finance of the chain and the distribution of the tokens have been set out in our economics paper since the genesis block.
TomoChain core team (TomoChain Pte. Ltd.) is a private technology company. This arrangement is similar to some projects such as Parity Technologies (Polkadot), Electric Coin Company (Zcash), Blockstream (Bitcoin), Consensys (Ethereum). We are always humble, open, hard-working and plan to work to the eventual success of the decentralized network. As a company, our team has multiple revenue streams such as technical and development consulting, new products, etc. We plan to achieve the cash flow break-even by the end of 2020, and are in a strong position to support the network further into the future.
In concluding thoughts,
I want to share what I see in the immature crypto industry which is full of contradictions, where brilliant minds are mixed with novices and fools; where ingenious technologies are mixed with outrageous money schemes; at the same time, what is absolutely novel is a massive collaboration in a borderless and undirected manner that the world has never seen before. These energies can be channelled toward constructing a new asset class as digital gold, or toward creating a new alternative financial system, or even to radically build a new decentralized peer-to-peer Internet. These collaborations and possibilities are what make me optimistic, and I hope you can join me in seeing that too.
I want to thank the team for their never-ending hard work, our supportive TOMO community, and all of our partners for their help. I wish everyone a very good year in 2020.
January, 1, 2020
- TomoChain Economics Paper