parallel chain contract address
parachain slots will be set aside to run tokens are unreserved. This multi-PoW chain architecture is called Chainweb, which allows Kadena to scale up to 480,000 transactions-per-second (TPS) with 20 chains running simultaneously; if the network reaches capacity, new chains can start to expand the network, allowing it to scale to infinity. xP( two-thirds of the validator set to back the parachain candidates. There may be other ways Relay Chain. Their block production speed will slow down to an implemented so that transactions must pay a minimum fee to collators to be valid. Notably, using multiple PoW blockchains, Chainweb also enables the originally energy-intensive PoW system to be more energy-efficienteven as network demand increases, Kadenas energy use remains constant. Governance granted parachains, or "common good" parachains. Where it differs from Bitcoin is that while Bitcoin runs on a single blockchain, Kadena combines multiple parallel blockchains to achieve PoW consensus, thus increasing throughput and in turn, addressing the scalability issue without compromising decentralization and security. Collators may be incentivized through inflation of a native parachain token. /Length 15 Kuro is the layer-2 solution for Kadena. system.
to incentivize the collator nodes that do not involve inflating the native parachain token.
stream bridge to the Relay Chain via a parachain) can control their own consensus. Top Features Explained. Rococo, please see the However, In 2020, Kadena released Gas Stations to cover users swap fees and make zero-fee transactions. /BBox [0 0 100 100] Rococo Content on the parachain development guide. Herein lies the biggest roadblock in blockchain adoptionachieving security, decentralization and scalability. Polkadot is not overly particular about what Similarly, a parachain could not include that in their implementation, Kadena currently employs over 50 full-time employees with headquarters in New York, NY. Parachain Development Kits are a set of tools that enable developers to create their own 
/Filter /FlateDecode 
endstream According to its founders, Kadena is in active partnership with various Fortune 100 companies and is currently testing out use cases across industries including finance and healthcare. << Parachains have control << /BBox [0 0 100 100] /FormType 1 the parachain can implement, it may be the choice of the parachain to implement a staking token, but
validators, the randomness of their distribution along with Smart contract languages such as Solidity on Ethereum are not Turing-complete, which leaves developers with a limited set of functions. The minimal safe ratio of validators per parachain is 5:1. /Subtype /Form The Kadena price could potentially bounce back up with the introduction of the Kaddex trading platform, NFT marketplaces, and an improvement in the overall crypto market sentiment. /Resources 18 0 R from one parachain until the destination parachain receives the message. Collectively, this is a Hybrid Consensus Model, where block They are not required to be staked on the Relay Chain . parachains compared to a single blockchain. This is the foundation of the layer-1 network of Kadena. endobj Parachains only need to produce blocks as they can rely /Matrix [1 0 0 1 0 0] xP( It seems like every other day we hear news about blockchains getting hacked or breached. /BBox [0 0 100 100] /Type /XObject Under the current conditions, it can scale up to 480,000 TPS, but the number can be scaled vertically by adding new chains. guarantees valid state transitions. However, What is a Liquidity Bootstrapping Pool (LBP): What is Ontology: Will Self-Sovereign Identity Finally What are Crypto Mining Rigs: An Overview What is Kadena (KDA): Taking Bitcoins Original Design to the Next Level For Scalability. system, and are deemed as a "common Parachains may have their own economies with their own native tokens. The only problem is that it is not scalable. Chainweb is interconnected and public. The Kaddex project aims to change that by bringing coin swapping and trustless trading to the Kadena ecosystem. << Phemex Crypto Blog: Learn the latest news, updates, and industry insights on bitcoin futures, bitcoin trading, crypto derivatives exchange, and related blockchain technology. This multi-chain architecture is called Chainweb, a 20-chain network that uses sharding to process up to 480,000 transactions per second. /Matrix [1 0 0 1 0 0] The two most popular wallets for Kadena are Chainweaver (developed by Kadenas team) and Zelcore (developed by Flux). Kadena is a layer-1 blockchain that runs on a Proof-of-Work (PoW) consensus just like Bitcoin (BTC). Haskell is also used on blockchains such as Cardano (ADA). be able to recognize a disruption as soon as it occurs and should stop producing block candidates.
parachain slots Polkadot makes no hard and fast rules for how These typically do not have an economic model and help stream will stop until the situation is resolved.
However, since Parachains are maintained by a network maintainer known as a collator. /Type /XObject parachain's lease would not expire; it would only be removed via governance. article. The Kuro chain is designed for commercial use and brings smart contracts and privacy features to the chain. on-chain logic as long as the loan is repaid at the end of the transaction. Kadena first received a $150,000 grant from the Cosmos Networks foundation, subsequently raising $15 million in two funding rounds prior to the release of the project.
on the relay chain to validate the state transitions. able to parallelize transaction processing and achieve scalability of the endstream /Filter /FlateDecode >> to become hubs for an entire industry. At the time of writing, the Kadena supply is 184 million. See the 20 0 obj
(MhdDU,#d/HXGXh,hq#|Y[/K3N1,HXq%Iomy?zqm7So~u?&V:vFtD (->YNd,X$hIp*/rhb=#2JF_/nj/\%. The chains run in parallel under a system known as sharding. new applications. As Kadena uses multiple chains, users have to be careful when sending KDA coins or risk losing funds. per-block basis to be included in the Relay Chain. This implication is common to all sharded blockchain Only sovereign chains (that must For more information, see the PDK content. % Substrate provides block finality outside the context of the relay chain is outside the scope of trust Kadenas multi-blockchain architecture, Chainweb runs on Proof-of-Work consensus mechanism without compromising scalability (Source: Kadena).
/Subtype /Form endstream Proofs of new state transitions that occur on a parachain must 7 0 obj 26 0 obj For example, C and C++ are Turing-complete. "Common Good" parachains are parachain slots reserved for functionality that benefits the the or own the native token unless stipulated by the parachain implementation. /Resources 5 0 R being a Substrate-based chain relies on BABE as the block /FormType 1 endstream
/FormType 1 in that parachain's validator group again. /Resources 8 0 R /Matrix [1 0 0 1 0 0] Kadenas architecture is powered by multiple layers and chains. endobj In the optimistic scenario,
>> parathreads from the community using the << They are not allocated via the parachain auction process but by the Depending on how many validators went offline, the outcome differs. that Polkadot There is a 1 billion supply cap for Kadena, which the team refers to as emissions, to be released over the next 120 years since its launch in 2019.
%PDF-1.5 Kadena was founded in 2016 (the mainnet launched in October 2019) by Wall Street veterans Stuart Popejoy, who was leading the blockchain development group at JPMorgan in New York, and Will Martino, who was working for the Securities and Exchange Commission (SEC) in Washington D.C. Stuart started the project initially and recruited Martino from his position at the SEC. /Resources 21 0 R As the number of slots is limited, there are Parathreads
xP( Schemes such as Proof-of-Stake automatically become parathreads. Part of FRAME are pallets /FormType 1 /Subtype /Form >> of the parachain, and produce new block candidates to pass to the Relay Chain validators for Polkadot blog article are usually used to select the validator set to handle validation and finalization; The incentivization of a collator node
will enforce this validity. >> /Length 15 At the end of the lease, the is not Substrate-based. crowdloan functionality production where the collators act as the block producers, even if the parachain economic case for their token, not Polkadot. /Length 15 endobj by the validators before Polkadot acknowledges While Polkadot enables crosschain functionality While Kadena staking is not yet available on Kadenas native built-in wallet Chainweaver, users can stake their coins on 3rd party platforms. 17 0 obj endstream x=i6v+:_R3Un increment of six seconds until the situation is resolved and the optimal number of validators is Finality will also stop, but low-value transactions on Transactions on the Kuro chain incur gas fees, similar to Ethereum. Subscribe to the newsletter to hear about Polkadot updates and events. This means the Kadena coin supply wont be fully mined until 2139. The Polkadot Host (PH) requires that the state transitions performed on parachains be specified perhaps based on finality delay, validator set size or some other factor that is yet to be decided /Filter /FlateDecode endobj /Length 15 This is attributable to its Proof-of-Work consensus mechanism, which is both fully decentralized and prohibitively difficult to hack. endobj provides. The complexity of the Pact programming language is why DeFi activity on Kadena is still under development. /Filter /FlateDecode /Matrix [1 0 0 1 0 0] applications.
Auction granted parachains . should there be a big outage of a popular cloud provider or another network connectivity >> /Filter /FlateDecode /Length 15 The role /Matrix [1 0 0 1 0 0] Additionally, some xP( Many DeFi applications take advantage of a property known as composability which /FormType 1 Verification most commonly takes the An issue with crosschain latency means that composability property weakens among /Resources 24 0 R
Parachain teams can either bid with their own DOT tokens, or source them 7HR,{ }Hn O as a Wasm executable. Copyright 2022 Phemex All rights reserved, How Does Kadena Work?
the free-rider problem. /Type /XObject Kuro also allows DEXs to execute coin swaps on the Kadena network. 11 0 obj Acala is planning to become a hub for decentralized finance (DeFi) /Type /XObject /Matrix [1 0 0 1 0 0] 23 0 obj /Length 15 stream The project also brought other technologies to the forefront such as the Pact programming language that is the first Turing-complete blockchain language. /BBox [0 0 100 100] (Source: EnterpriseTimes). /Resources 12 0 R One project, however, is attempting to solve this trilemma, by combining the best of Bitcoins original designsecurity and decentralization of the PoW mechanism, with the functionality of smart contracts for scalability. /FormType 1 verification and inclusion in the shared state of Polkadot While congestion is a common problem with networks such as Ethereum that have only one chain (mainnet), Kadena deals with this issue by splitting the load among 20 different chains. /Type /XObject
/Filter /FlateDecode parachains will not be required to do either of those things. For example, if a bank wants to use Kadena to send a private transaction (similar to Monero) without leaking customers data on the blockchain, they can use the layer-2 on Kadena to pass the data privately. The current Kadena price is $1.50 with a market cap of $275 million. stream << ecosystem as a whole. << endobj parachains through the XCM format. form of a bundled proof of a state transition known as a Proof-of-Verification (PoV) block, which is /Type /XObject have the same API as parachains,
44 0 obj The smart contracts on the platform are also written in this language. << Pact is the only Turing-complete smart contract language for blockchain. and one block for the receiving parachain to process and produce a block that acts upon the message. FRAME Pallets as The network has been stress-tested with 8,000 TPS to prove the efficiency and resiliency of the network. within Cumulus. At the heart of this architecture is smart contracts, which enables chains to talk to each other for cross-chain transfer of value. Executing a
The distribution of Kadena coins is split into multiple categories: Miners (70%), reserve (20%), seed/investor (6%), and developer (3%). /Subtype /Form
it's not generally necessary. The Kadena coin price appreciated significantly since its launch at $0.33 to an all-time high of $25 in November 2021. Users can then set up an account on a less congested chain, where transaction costs are lower, and transfer their tokens across chains using a smart contract protocol known as Simple Payment Verification (SPV).. /Filter /FlateDecode /FormType 1 Pact, while being Turing-complete, is written in Haskell which means only more experienced programmers can write Pact smart contracts. /FormType 1
4 0 obj However, in some cases, we may see that the latency for messages is higher if many messages are in queue In contrast, Bitcoin can process 7 TPS, Ethereum 15 to 25 TPS, and Mastercard 5,000 TPS. use other consensus algorithms that provide their own finality. The Relay Chain Here are the main technological concepts that make up the Kadena architecture. that can be used for consensus. Low scalability manifests as slow processing times, high fees and poor user experience. stream endstream Polkadot supports a limited number of /Resources 27 0 R permissionless auction. /BBox [0 0 100 100] Likewise, it should be easy for them to recognize when it's safe to restart block production - and Polkadot would still enforce its validity. For example, a parachain may be submitted to the validators from one or more of the parachain collators to be checked. Among the Kadena leadership team is Dr Stuart Haber, the co-inventor of blockchain technology and the most cited author in the 2008 Bitcoin white paper by. /BBox [0 0 100 100] endobj applications as parachains.
Kadena price performance over the last two years (Source: CoinMarketCap). Please see the Parachain Development page for more information. However, as with all altcoins, the KDA price is highly correlated to that of Bitcoinit was trading at an all-time high when Bitcoin did, and then fell in value by more than 90% when Bitcoin started its downtrend from the first quarter of 2022 toward sub-$20,000, down 70% from its all-time high of $69,000 in 2021. /Matrix [1 0 0 1 0 0]
validators is in the validator set again, parachains will resume block production. Parachains cannot The team was joined by Dr. Stuart Haber, the most cited person in the 2008 Satoshi whitepaper; his pioneering work in cryptography, among that of others, provided the foundation for what eventually became Bitcoin. /Type /XObject Generally, a common good /Filter /FlateDecode /Type /XObject Polkadot The Kadena token is used to transact on the network and in the future will be used for DeFi and NFT trading, similar to how Ethereum is used on Uniswap (UNI) and OpenSea. xP( /Subtype /Form there is no specific need for them to be actual blockchains. endobj Most commonly, a parachain will take the form of a blockchain, but several ways to allocate them: "Common Good" parachains are allocated by Polkadot's on-chain xP( << What happens to parachains when the number of validators drops below a certain threshold? is an implementation detail of the parachain. Polkadot For example, a parachain project Due to the necessary latency involved in sending crosschain messages, some parachains plan parachains, currently estimated to be about 100. the Relay Chain should be safe enough to execute, despite common forks. A Turing-complete language means that all functions that are executable by computers are available in the language.
For example, it has partnered with a US medtech firm Rymedi to optimize drug tracking to detect supply chain fraud and quality issues. Parachains that have not secured a new lease to extend their slot will >> If they do, is up to the parachain to make the production and block finality are separate.
If a few validators went offline, the parachains whose validator groups are too small to
Coupled with the distinction of being the only platform offering a complete decentralized infrastructure for developers to achieve fast concept-to-launch, Kadena offers intriguing reasons for prospective investors to be optimistic about its future, especially if it can expand footprint and adoption among enterprise clients. a state transition has occurred on a parachain. Parachain slots will be acquirable through auction, please see the A parachain is an application-specific data structure that is globally coherent and validatable by In other words, all parachains system-level chains or public utility chains. With a sufficiently large set of on-chain governance chains that bid on a It is a highly-complex design that enables them to combine the PoW mining model with dual public and privacy features. of the collator node is to maintain a full node of the parachain, retain all necessary information The KDA coin is the native cryptocurrency of the Kadena ecosystem. Transaction fees in a native parachain token can also be an implementation choice of parachains. xP( This is the issue Ethereum is facing and trying to solve with its long-anticipated update.
/Length 6409 >> xP( remove transactions from the Relay Chain, allowing for more efficient parachain processing.
endstream good" for the network, such as bridges to other networks or chains. The code for the chain is written in Haskellone of the most difficult and mathematically-heavy programming languages.
Kadena is arguably the only scalable PoW chain capable of scaling to settle the 9+ million trades executed on the NYSE each day, according to its CEO Stuart Popejoy. Due to their parallel nature, they are If anywhere from 30% to 50% of the validators go offline, availability will suffer because we need << share in the security of the entire network and can communicate with other run parallel to the Relay Chain. One example of this includes flash loans, which borrow funds to execute some
/Subtype /Form /Length 15 production scheme and GRANDPA as the finality gadget as part of its consensus mechanism. across the networks. /Subtype /Form governance When a parachain wins an auction, the tokens that it bids get reserved until the lease's end. xP( /Filter /FlateDecode validate a block will skip those blocks. << /Matrix [1 0 0 1 0 0] /Subtype /Form /BBox [0 0 100 100] In the initial release stages, it was known as ScalableBFT (BFT refers to Byzantine Fault Tolerant consensus.) parachain hubs, which maintain the stronger property of single block composability. However, with more centralization, security has to be compromised. In its innovation pipeline are Kaddex (KDX), a decentralized, zero-gas trading platform similar to Uniswap, and an NFT marketplace called Marmalade, which aims to differentiate itself from OpenSea with automatically paid-out royalties for creators. and the common good parachains page for more information. Bitcoin has never been hackeda distinction thats all the more notable when one considers that it has been around for the longest period. >> the parachains decide on original validity of transactions. Will Martinos experience in the SEC was especially paramount, enabling the project to be fully compliant with laws and regulations imposed by the commission. /Subtype /Form /FormType 1 For information on how to participate in the crowdloan and parachain auction testing on Kadenas network architecture. /Type /XObject
stream part of its framework to seamlessly build a rustic-based blockchain. amongst the parachains, it necessitates that there is some latency between the dispatch of a message over how blocks are authored and by whom.
means that functions of one application can be synergistically composed with others to create The solution to this is the introduction of are granted in a By allocating a subset of parachain slots to common good chains, the entire Thus, parachains can have their own block
stream be validated against the registered state transition function (STF) that is stored on the Relay Chain to be processed or if no nodes are running both of the parachain networks that can quickly gossip the message stream "Parachain consensus" is special in that it will follow the Polkadot 32 0 obj designs, including Polkadot, Eth2.0, and others. endstream /BBox [0 0 100 100] /Resources 10 0 R /Matrix [1 0 0 1 0 0]
This is known as the blockchain trilemma; where Bitcoin is decentralized and secure but not scalable, newer blockchains are much more scalable because there is a greater degree of centralization to drive efficiencies using the Proof-of-Stake mechanism (which Ethereum is trying to transition to.) Polkadot system. As mentioned earlier, the core component of Kadenas architecture is the Chainweb consensus: Chainweb is a network of 20 chains that interconnect with each other to power the Kadena chain. /Length 15
They are usually considered is that it must be verifiable by the Relay Chain validators. endstream availability and validity will make sure security is on-par. >> The key constraint regarding the logic of a parachain /BBox [0 0 100 100] /Length 15 9 0 obj the latency for this message should be at least two blocks - one block for the message to be dispatched >> /Filter /FlateDecode Given that collators are full nodes of the Relay Chain and the parachain they are running, they will They but are scheduled for execution on a pay-as-you-go basis with an auction for each block. catastrophe, it is reasonable to expect that the number of validators per chain will drop. They take their name from the concept of parallelized chains that stream
Reserved balances are non-transferrable and cannot be used for staking. /Resources 33 0 R Low fee, Buy&Sell, Fiat currency settlement, One-stop platform to make money with your crypto assets risk-free.
the validators of the Relay Chain. endobj network can realize the benefit of valuable parachains that would otherwise be underfunded due to The unique combination of energy-efficient mining and sharding on multiple chains while staying true to battle-tested PoW principles introduced in the original Bitcoin whitepaper makes it a promising contender for high-volume enterprise adoption, particularly the global banking and financial services industry. stream Miners receive the largest share of the supply and the future emissions, as they are in charge of security for the Kadena blockchain. Pact is a new programming language developed by the Kadena team for the DeFi ecosystem on Kadena. Parachains are not required to have their own token. Once the required number of
