Syscoin Community Weekly Update #35
This weekly update is written by the community for the community, to bring you all the latest Syscoin, Blockchain Foundry and SCMT news! Weekly updates, other articles and a lot more can also be found on the new syscoin.community website!
Syscoin 4: An Enterprise Blockchain Platform
Having already given the blockchain space multiple firsts such as aliases, a decentralised marketplace, Z-DAG and more, it is now time to introduce another groundbreaking development: the zero counterparty two-way pegged SYSX bridge.
Since Satoshi first wrote about SPV (Simplified Payment Verification) many blockchain developers have tried to solve the problem of how to make a bridge between different blockchains without relying on a third party intermediary. The Syscoin dev team have found a solution that extends beyond the existing atomic swap methods, and pushes us forward to the next level of blockchain interoperability.
How does Syscoin 4 improve upon Syscoin 3?
The SYSX bridge is a two-way peg between SYS ←→ SYSX and Assets ←→ ERC20, allowing for a variety of interesting developments, including:
- EVM smartcontract execution for Syscoin and Assets.
- On-chain data which slowed down Z-DAG can now be anchored through a hash off-chain by the use of EVM, giving higher throughput.
- Syscoin developers can set their own network incentivisation schemes on their dapps
- By providing a bridge to Ethereum, the Syscoin ecosystem can also benefit from all of the tooling present in the ETH ecosystem. Platforms such as Metamask, ERC-20 DEXs, MyEtherWallet, Ledger and others can all be used with Syscoin 4.0 via the SYSX ERC-20 token.
- Ethereum users can leverage Turing complete applications in their business models. Z-DAG is also far faster, cheaper and a higher throughput relay backed by Bitcoin merge-mining POW.
Some statements from the founders of the platform:
Jag Sidhu: ‘’It’s something the whole industry has been trying to solve since satoshi’s whitepaper—a bridge between 2 chains to leverage each other’s functions without an intermediary party needed’’
Dan Wasyluk: ‘’The way we’ve been working our strategy is to improve SYS4 in ways we see real world clients indicating they have use cases for. We believe that is the way this tech is going to drive real value, that’s always been our perspective from the inception of SYS. That strategy is tied into our Archos partnership as well. SYS is part of the larger, blockchain-enabled apps platform we envision for those devices and Archos is aligned in that. We also use facets of the service business we run to shop SYS into use cases.’’
The Evolution of Syscoin article:
New kids on the Blockchain interviews Jag Sidhu on Syscoin 4, watch it here:
Tweet storm on Syscoin Platform:
Syscoin Platform Ecosystem visual overview:
Q: Will the EVM run on Ethereum?
A: Yes the EVM will run on Ethereum as the name says, EVM stands for Ethereum Virtual Machine.
Q: Will assets be transferable to ETH?
A: Assets will be able to be transferred to Ethereum as ERC20 tokens and back to SYS assets if needed.
Q: Will this mean I can use Ledger, Myetherwallet, Metamask etc?
A: Yes this will mean your SYSX (ERC20) will be compatible with all the major service providers of Ethereum.
Q: Syscoin supply will remain the same?
A: Yes the total supply will remain the same.
Q: Can I have SYSX in my QT or Blockmarket wallet?
A: No SYSX will only be usable in the Ethereum ecosystem and it’s supported wallet tools. QT and Blockmarket is used for SYS and assets that are minted on the Syscoin chain.
Q: Do I need Ether to execute the smart contract?
A: Yes you will need Ether to execute a smart contract to cover the costs of executing a smart contract command.
Q: Any specific uses of smart contracts for Syscoin specifically?
A: As discussed in the blogpost on the evolution on Syscoin there are multiple ways Syscoin can leverage smart contracts. Since it’s a two way bridge, smart contracts on Ethereum will also be able to leverage advantages specific for Syscoin such as Z-DAG speed and throughput.
Q: Will Z-DAG be as fast on SYSX, or will it be bounded to ETH speed?
A: Since SYSX lives inside the EVM, Z-DAG won’t affect internal transfers of SYSX.
Q: Why have an asset on Syscoin in the EVM if I can have an ERC20 token?
A: Syscoin Assets are driven by Z-DAG which will allow for high speed and high throughput token transfers, especially attractive in point of sale applications.
Q: Can other ERC20 tokens be migrated to Syscoin chain for fast transferring and Point of Sale applications?
A: Yes ERC20 will be able to leverage Z-DAG speed and throughput by using the bridge and transforming themselves into a SYS asset.
Q: If SYSX will be traded on an ETH exchange or DEX will we have 2 different prices for Syscoin?
A: Yes, the market is free to react here.
Q: How will this change the core value proposition of Syscoin?
A: This change affects the value proposition in several ways. First off, smart contracts are added which allows for more flexibility in the use of the currency. Secondly, the max supply stays the same even though there are two different currencies. This makes Syscoin a very stable POW chain backed by Bitcoin for Ethereum tokens to reside on. Thirdly, Ethereum tokens/dapps/projects can use Syscoin specific advantages like Z-DAG speed, cost-efficiency and throughput.
Q: How will these changes affect third party development on the Syscoin platform?
A: The planned changes should make it easier and more versatile to develop for, attracting more developer interest due to the improvements in real world adoption potential. With Syscoin able to bridge to Ethereum, it also means Syscoin projects can tap into the larger talent pool Ethereum has and the benefits they bring. Every product built on the Syscoin platform adds value and resilience to it and with the wider range of use case potentials, it should attract a wider range of interest from third party developers than previous versions.
Q: Will we profit from Ethereum developments like Plasma and Sharding?
A: Yes this will result in the smart contract execution becoming cheaper, giving dapps built using Syscoin lower fees as well.
Q: How do you suggest the bridge is best used, do main application building on the Syscoin layer with Z-DAG and only if smart-contract is needed (since it slows down the tx) use it, to keep my dapp efficient and fast?
A: The bridge has multiple functions, other ERC20 tokens leveraging Z-DAG is a good example indeed.
Q: Does this change the way masternode holders act in the ecosystem?
A: No,masternodes still have the same roll in the ecosystem.
Q: Does this add any value to our store of value properties?
A: Yes, now external tokens can use Syscoin as a security to reside to.
Q: Will stable coins leverage a smart contract?
A: Could be indeed.
Q: Do I need to include SYS and ETH if I want to do an asset transfer and execution to a smart contract?
A: Yes you will need both coins if you want to go from Syscoin to an Ethereum smart contract to cover the fees of both systems.
Q: Will SYS4 be the last fork?
A: Within the current scope of the project, yes.
Q: How long will smart contract execution take and what will it cost?
A: Smart contract execution will take the same time as a normal Ethereum smart contract takes to execute.
Q: Will it be possible to make similar bridges to for example,Tron, EOS, NEO, a privacy platform etc?
A: yes, if the need arises to or opportunity is perceived, we can build similar bridges to these ecosystems. The total supply will always remain SYS + SYSETH + SYSTRON <= 888 million.
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For more information visit Syscoin.org