Antelope Swiss Workshop #20 w/ Gnome
Navigating the UX Network: Blockchain Interoperability and Predictable Resource Models
Short Summary (1min read):
Patrick Schmid interviews Gnome, a representative from the UX Network, during the Antelope Swiss Workshop. Gnome, a veteran of the cryptocurrency industry, introduces the UX Network, known for its rational resource model and unique inter-blockchain communication (IBC). He critiques existing resource models for their lack of effective correlation between infrastructure operation and token price. Gnome explains how UX Network's unique resource model allows predictable resource costs, a solution to problems faced by other blockchains.
The UX Network's IBC facilitates seamless liquidity movement between different blockchains, enhancing user experience and attracting more liquidity. This open-source software can be adopted by other blockchain networks. Gnome also reveals the development of the UX Network's Automated Market Maker (AMM), aiming to connect all Coalition chains in a single liquidity pool. The discussion concludes with the possibility of the UX Network being considered for Pomelo Season 6 grants and Patrick Schmid expressing his optimism for the UX Network's future.
Full Summary (8min read):
🎤 Introduction
The conversation starts with Patrick Schmid, the host, introducing Gnome, a representative from the UX Network. This is the first appearance from the UX Network on the Antelope Swiss Workshop. The goal is to break down and understand the concept of the UX Network, its blockchain and IBC.
👨💻 Gnome's Background
Gnome shares his background as a software developer and entrepreneur, with a career focus on financial markets. He has been involved in the cryptocurrency industry since the early 2010s, co-founding the Montreal Bitcoin Embassy in 2013. He later joined the EOS Mainnet as a block producer, co-founding EOS Titan in 2018. Following this, he helped establish a crypto investment firm called Origin, and the UX Network blockchain in 2020.
🌐 The UX Network
The discussion moves to the UX Network, a part of the Antelope blockchain-based Coalition alongside EOS, WAX and Telos. The network's specialty is to facilitate inter-blockchain communication, fulfilling the early vision of EOS for horizontal scaling and cross-chain communication.
📊 Resource Model
Gnome explains that what sets the UX Network apart from other Antelope chains and existing blockchains is the rational resource model. He states that none of the existing blockchains effectively connect infrastructure operators and token price.
He criticizes the current resource models, such as fee models, staking models, or power-up style models, as irrational and lacking correlation between infrastructure operation and token price. Gnome suggests this lack of correlation is fine for prototyping and experimentation, but presents significant challenges for building substantial projects on a blockchain.
🛠️ Blockchain Issues
Gnome discusses the problems that many blockchains face when it comes to their resource models. Many blockchains, such as Ethereum, have fee models that are difficult to predict, making it challenging for businesses to plan for the long term. This is due to fluctuating gas fees, variable token prices, and unpredictable monetary policy.
The difficulty in predicting these costs makes it nearly impossible for businesses to scale on many of the existing chains. This is a major issue faced by developers and operators of these blockchains, as they have to manage increasing demand for resources without a correlating increase in token price.
💡 UX Solution
To address these issues, the UX Network has designed a resource model that allows for predictable resource costs over a long period. This model enables developers to pay a fixed rate for a certain amount of transactions per day, for a fixed period of time. It offers stability and predictability for businesses. Gnome believes that this makes the UX Network unique, as no other blockchain currently offers this type of long-term, predictable resource model.
🥕 Blockchain Acquisition Strategies
Gnome explains that many blockchain networks view customer acquisition as the primary problem to solve. They aim to attract users by creating basic utility, inviting developers, funding projects, and partnering with other companies. This approach is intended to stimulate activity on their blockchain, thereby attracting more users.
🔗 Inter-Blockchain Communication (IBC)
Gnome explained that UX Network's Inter-Blockchain Communication (IBC) aims to disrupt traditional customer acquisition models by allowing liquidity and users to move freely between different blockchains. This means users and capital aren't trapped in one specific blockchain, resulting in a more user-friendly experience.
The development of IBC was driven by UX Network's desire to attract liquidity from other chains. They achieved this by creating trustless bridges connecting UX with these sources of liquidity. The goal was to enable developers and users to move their operations and assets to UX if they found its rational resource model appealing. Gnome stressed that the IBC software is open source, meaning other blockchain networks can adopt and deploy it.
🤖 Smart Contract Communication
Patrick asked about the ability for smart contracts on UX to communicate with contracts on other blockchains, like EOS. Gnome confirmed that this cross-chain communication is possible and emphasized the flexibility this offers users. He mentioned that users could enter the ecosystem through UX and then move to any other chain they desire.
🚀 IBC Deployment & Instant Finality
The discussion turned to whether UX Network's IBC model has been adopted by other blockchain networks within their Coalition. Gnome confirmed that this has been a high priority within the Coalition, alongside the goal of achieving instant finality.
Instant finality is a state where a block becomes final and its state won't change, which is critical for the effective functioning of IBC. The Coalition requested UX Network to help implement IBC across all their chains and to develop an instant finality consensus protocol upgrade.
🌱 IBC in the Weeds
Gnome elaborates on the workings of IBC, explaining that the long wait time of almost three minutes for IBC operations will be significantly reduced to a few seconds with the introduction of instant finality. He further discusses the drawbacks of the approach taken by other blockchains to achieve IBC, such as the requirement of approved oracles or relayers who constantly synchronize the two chains, which is not the most efficient method.
🔄 Synchronization:
When asked about how they solved the synchronization issue in UX, Gnome explains their unique approach. Instead of relying on relayers to constantly synchronize two chains, they implemented the same consensus protocol at the smart contract level. This allows the smart contract to verify the same things when receiving a proof of finality for a block, eliminating the need for a relayer or a permissioned oracle. Users can collect all the proof elements required and submit that to the smart contract which can verify everything, and upon validation, tokens can be minted or votes counted.
🦌 Leap Protocol:
Patrick refers to a recent article about the release of Leap Protocol Version 4, detailing improved synchronization between block producer nodes and the introduction of the Decentralized Proof of Stake (DPOS) with Synchronous Byzantine Fault Tolerance Plus (ABFT+). This upgrade marks a transition from the EOSIO brand to the Antelope networks under the Leap Protocol.
🤝 Partnerships:
Patrick discusses the possibility of UX Network becoming a part of the EOS Digital Extended Network (EOSDEN), a platform that hosts various Web3 solution providers, network advertisers, and content creators. Patrick believes that the UX Network's solutions would be a good fit for the EOSDEN platform.
💱 AMM
Gnome gave a scoop on the UX network's latest initiative - an Automated Market Maker (AMM). The AMM is designed to connect all Coalition chains together, offering all of their tokens in a single liquidity pool. It features a responsive fee model and allows for liquidity provision on some assets. The AMM, unique to the UX blockchain, will be listed on EOSDEN.
🤝 Collaboration
Patrick and Gnome then discussed the possibility of the AMM, as well as other components of the UX network, being considered public goods and therefore potentially qualifying for Pomelo Season 6 grants. Gnome mentioned that they are open to discussions on this topic, particularly in light of an ongoing initiative by the EOS Network Foundation to determine decentralized exchanges for EOS.
🪙 Interoperability
In discussing the upcoming Pomelo Season 6, Patrick highlighted the novelty of multi-token donations, allowing contributors to donate using native tokens of different blockchains, thus extending beyond just EOS. This innovation fits in well with the broader theme of interoperability between different chains in the Antelope Coalition, encouraging fluid movement of users, affiliates, liquidity, and data.
🔚 Conclusion
Patrick expressed appreciation for the UX network's ongoing efforts, particularly their effective use of short videos shared on Twitter. Gnome confirmed his availability for direct contact on Telegram. Patrick then wrapped up the interview by encouraging Gnome and the UX network with the chant "Go UX," expressing optimism about future developments and collaborations.
