Bifrost is a cross-chain network that provides linked assets with liquidity. As the first stage, staking is used to provide liquidity in the form of staking derivatives. Bifrost is based on the Polkadot network and was developed by Substrate. The base layer is WebAssembly, based on the LIBP2P and GRANDPA consensus. As a DeFi project in the Polkadot ecosystem, Bifrost launched vToken (Staking Derivatives Voucher Token), allowing users to exchange PoS tokens with vToken and earn liquidity and staking rewards via the Bifrost protocol. Bifrost has received the Web3 Foundation Grant and is also a member of the Substrate Builders Program under Parity, one of the fifteen critical members of the Web3 Bootcamp Incubator, supported by the Web3 Foundation and the WanXiang Blockchain Lab for Technology and Products, and the Web3 Foundation and WanXiang Blockchain Lab. Capital, legal affairs, environmental cooperation, and other general matters.
A consensus is established with the Substrate so that the Substrate is a framework that can be used to easily create blockchains. Typically, you have to code multiple levels multiple times. When these abstractions are removed, it’s straightforward to create a blockchain, and that’s where the Substrate really comes in.
It uses the GRANDPA consensus to do the block time confirmation almost instantly, so you can theoretically complete many transactions will less time. It is a parachain attached to Polkadot and other parachains.
NODES IN THE SYSTEM
Here are three types of nodes in the system:
- Synchronisation Nodes
- • Block producer Nodes
- • Stake Proxy Nodes
- Synchronization nodes act as recorders in the network or as gatekeepers that save status transitions and track all network behavior. It can also be called bootstrappers. If you want to join the network, these are the ones who keep the full records. You can connect to them and copy from them. They receive incentives for their contribution.
- Block generation nodes (which generate blocks and receive rewards),
- Stake proxy nodes (responsible for generating income from shares in the Bifrost financial ecosystem.
A simple definition of runtime environments is an abstraction layer on which computer programs can be executed. A good example is Java. With runtimes, modules can be updated independently without forks (non-versioning changes above). The system is divided into two versions: Native and WASM.
Native works when the given assertion cannot be determined if the upgrade’s validity is verified, but for WASM, you will keep it online pending and say, well, we will cache a version of it, we will do some upgrades and later on.
WORKERS OUTSIDE THE CHAIN
Off-chain employees are primarily tasks with system requirements that do not lead to on-chain processes. Your processes are outside of your running environment and can be involved with Regular payment, transaction signing, public chain review, contract calls, price synchronization to third party exchanges, etc.
How does the network prevent malicious attacks such as Sybil attacks, Denial of Service attacks, Eclipse attacks, and Byzantine attacks? System security is divided into two levels (account security and system security).
Account Security: The encryption created with ed255519 and sr 255519 cryptographic algorithms is used. Multilateral signatures are required for such calculations to enable cross-chain transactions.
System security: And when it comes to the safety of assets in the system, if people give you their money and you lose your money in the hands of hackers or other unscrupulous elements, no one will listen to the stories. They will take legal action against you. or they will abandon their projects. As your search will be reduced after some events. To counter this, the system uses multiple witness nodes, i.e, “escrow accounts” managed by accounts, and the person signing these accounts is not one person. Different parties and these parties are selected, and their positions are changed. When the group reaches a certain threshold, it splits into another to increase security.
HOW DO WE EXPLAIN THE INTEGRITY OF THE SYSTEM?
There are two ways to evaluate the system’s integrity: One is the sales test(Proof of Revenue). It should show in the course how to deliver the net profit. They encourage those who own network tokens. Also determines the amount miners earn, whether the network is profitable, and how much is paid for computing power in tokens.
How much is deposited as collateral, other essential figures show profitability.
CROSS CHAIN PROCESS MANAGEMENT
There are over 120 public blockchains using proof-of-stake algorithms. How can this gap be filled with various consensus? There are basically three types of approaches to cross-chain interoperability in the decentralized world (tokens, hash locks, and side chains).
Witness: Let’s say there are Alice and Bob, Alice on the A chain, and Bob on the B chain. So if Bob wants to know the state of events in the A chain, (Bob) has to question Alice, and the other employees in Chain A will go to work and provide this information. Everyone should add their signature as a witness to say that this data is correct and that we put our signatures as verification.
Hash lock (principle of colored coins): for example, if you want to exchange one asset for another chain. For example, if you ordered something from Aliexpress, you pay for what you purchased. Still, the money does not go directly to the seller. It is recorded on the website when you confirm that the products are in the correct order and received according to the specifications. The initially paid money will be sent to the seller and returned in another case.
When you send your tokens to an account and receive requests for confirmation of the transaction, they must send a suitable value for the tokens you claim within a specified time. Otherwise, the contract will “return” this coin.
Sidechain: Why don’t we build some kind of parent-child relationship to have the main chain with strong security and associated child chains? It is like a tree with roots (main chain) and branches (chains of children). Sidechains can participate in block synchronization or data validation. Even with the original Bitcoin design, they allow easy payment verification. This means you can really control because when you trade on a blockchain, something called precision, the delay must depend on how many times the transactions are valid.
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