Three months in the past, our staff revealed a whitepaper for “Compound Chain”, a distributed ledger able to transferring worth & liquidity between peer ledgers. Whereas many bridge options depend on wrapping (porting) belongings, a cross-chain rate of interest market would will let you borrow belongings native to at least one chain (e.g. ETH), with collateral from one other chain (e.g. DOT).
At the moment, we’re proud to announce a prototype primarily based on that paper, named Gateway.
Gateway is a Substrate blockchain, ruled by COMP token-holders on Ethereum. From the get-go, Gateway is totally upgradeable; governance is ready to straight improve the blockchain by voting on code upgrades, with out forks or downtime.
We selected Substrate in order that we may give attention to constructing utility code, as an alternative of inventing consensus algorithms; it’s a contemporary framework constructed on a contemporary language, Rust.
Performance
Should you’re accustomed to how the Compound protocol works, Gateway ought to really feel intuitive, with a number of enhancements:
- Curiosity is earned and paid in {dollars}, utilizing CASH, Gateway’s native unit of account. Should you borrow one Ether, you’ll solely ever owe one Ether.
- The Gateway danger engine is extra sturdy; danger relies on the volatility of belongings you employ as collateral, in addition to the belongings you borrow — resulting in capital effectivity enhancements for much less risky belongings.
- You’ll be able to rapidly and inexpensively switch any asset in Gateway to different customers — even wallets from different blockchains.
There’s so much to find: get began by visiting compound.money.
Validators
Validators (nodes) earn a portion of all curiosity, in each market, along with modest transaction charges. This creates an incentive to correctly validate transactions that scales with the expansion of Gateway.
On the Gateway testnet, anybody can develop into a validator; in manufacturing, validators (or the method for selecting validators) will finally be chosen by governance.
Subsequent Steps
Gateway will evolve into the spine of a worldwide rate of interest market, able to supporting any asset — together with the wave of currencies, belongings, and tokens but to be created. However it begins with humble beginnings.
Beginning in the present day, Gateway is working as a testnet, linked to Ethereum’s Ropsten testnet.
Over the approaching months, we’ll work with the neighborhood & validators to:
- Audit the codebase, enhance all elements of the blockchain, conduct stress-tests, and at last launch to manufacturing.
- Join Gateway to the Compound protocol working on Ethereum.
- Add Starports on different blockchains.