Darwinia is a bridge blockchain that allows the connection of different chains via cross-chain technology and can be connected as a para-chain to the Polkadot Network.
The initial concept of smart contract platforms or blockchain networks were as sole entities, having to do all operations by themselves. All the activities were contained within without any significant communication with other blockchains.
However, it was realized later that this “lone wolf concept” severely limited the potential of blockchain networks. They have found that if blockchains could communicate with each other and work together, they could mitigate their weaknesses and synergize strengths, as well as pool security. Enter another one of Polkadot’s offerings – Darwinia.
This article is a review Darwinia Network, its background, history, economic model, R&D, and ID system, as well as the RING and KTON tokens.
Table of Contents
Based in Singapore, Itering is a blockchain company that runs the Darwinia Network project. The Itering team focuses largely on developing blockchain infrastructure with cross-chain capabilities, especially in NFTs and gaming.
Itering has received grants from the Web3 Foundation and Polkadot, which allowed them to launch Darwinia in 2019. It has won the Substrate Builders Program. Furthermore, Darwinia has garnered partnerships with Maker, DDEX, and Parity.
Darwinia network is a Polkadot-based and Substrate-built blockchain network. It enables cross-chain token technology by powering up the transfer of assets, including Non-Fungible Tokens (NFT), as well as decentralized exchanges, across different blockchains. It will later become a para-chain of Polkadot.
However, it can also function in solo mode, if needed.
The network is fueled by decentralized bridges and backing technology in order to support the expansion of the token-network. The major applications of the system are mainly focused on the gaming and DeFi space.
The Darwinia network is powered by a Proof of Stake (POS) algorithm. Furthermore, it features layered networks, an application-oriented design, and places a special focus on user experience.
Its Appchain SDK allows developers to build blockchain-based networks and process asset integrations, with rudimentary knowledge. This is expected to ease and facilitate the adoption process of the network.
Darwinia houses two tokens in its chain: RING and KTON. However, they are technically not in a peer relationship since KTON is merely a byproduct of RING. While these tokens are native to the Darwinia network, some RINGs and KTONs also run on the Ethereum and Tron blockchains as ERC-20 and TRC-20 tokens, respectively.
RING is Darwinia’s main utility token and is used to facilitate activities on the network. It is primarily utilized as gas payment for transactions, contract executions, network bandwidth, storage, etc. across the system.
RING’s economic model is inflationary, with new tokens minted and allocated via a staking mechanism.
KTON is technically a derivative of RING tokens. Whenever RING is staked for 3-36 months, KTONs are generated as rewards and compensation for liquidity loss. This encourages users to hodl and commit to long-term lock periods.
The KTON each staker receives is proportional to the RING staked, as well as its duration.
The KTON token is designed based on the theory that “future commitment”, or how long one promises to hold a token in the future, should be the best practice when operating under a proof of stake mechanism.
Since KTON can only be created when RING is locked, its initial supply is apparently zero.
One mentioned potential use case for KTON is governance. It is also expected to be used as the token for registering Dapps and other projects on the Darwinia Network. Although it needs to be noted that this hasn’t been finalized and the details may have to be revised sooner or later.
cRING and cKTON
The cRING and cKTON tokens serve as representations of RING and KTOKEN on the Darwinia Crab Network, a testnet for the main chain. These two tokens will have the same parameters as their counterparts in the main network, and can currently be used in staking.
Once the Darwinia mainnet is launched, a Token Bridge will be created with the Crab network, allowing the conversion of cRING to RING. The conversion ratio is 100 cRING = 1 RING.
Staking in Darwinia
Both the RING the KTON tokens can be used as bonds for staking.
Users can lock their RING between 3-36 months and receive KTON as reward. Users cannot withdraw their RING during the locking period, unless they pay the penalty, which is equal to three times the amount of KTON they are supposed to earn.
KTON can also be used to stake and earn Staking Power and participate in the POS mining scheme.
To begin your staking journey go over to the Evolution Land web portal and connect your Itering ID or MetaMask.
Darwinia Sources Of R&D
The ecosystem’s research and development come from two sources: the community and the core research team. Darwinia accepts RFC proposals from the community, for modification and improvement purposes. The core team, on the other hand, is responsible for examining such requests and preparing them into drafts.
They are also required to conduct native research and security audits. However, the protocol development team is required to implement them.
Darwinia will use a single identifier code to mark and identify the same assets on multiple blockchains, making it easier to tag and develop a standardized database. Most current blockchain systems don’t have this functionality.
The system is called Interstellar Product Coding Standard, enabling the same assets on different blockchains to have a single ID. It allows for easy transfers and protects against loss of value when an asset is sent across chains.
Darwinia is making the migration and usage of NFT and gaming assets convenient and profitable across multiple blockchains. It’s likely to open a new chapter in cross-chain asset transfer, as well as safeguard the blockchains against isolation.
Thanks to being a part of the Polkadot ecosystem, the security guarantees and functionality enhancement for Darwinia are provided by a wider network. Darwinia is still developing its functionality and the mainnet is slated to launch by Q3 2020. Overall, it is a project under development with great potential and many useful applications.