Scientists are trying to confirm the effectiveness of the technology of sidechained to the network of Bitcoin. The experts analyzed the study, «non-Interactive proof POW» (Non-Interactive Proofs of Proofs of Work), which held technology company IOHK, a research group of scientists IC3 and the University of Athens.
A sidechained is «superstructure» over bloccano, third-party block chain that is attached to the parent chain with the help of bilateral ties. By binding the assets can move freely from one circuit to another and converted at a particular exchange rate. The basis of the two-way binding mechanism simple checks SPV, which confirms the ownership of the asset in the main blockchain.
First, the user of the parent chain should send coins to a special address displays, this one in the main blockchain block. Completing the transaction, SPV indicates the transition of funds between the chains. In order to prevent double-spending, introduced a temporary suspension (timelock). Thereafter, the funds are transferred to a sidechained or Vice versa. The technology can work with different cryptocurrencies.
However, the sidechained needs a reliable security system. Two-way binding, in particular SPV may be used to enroll a larger number than was sent. The hacker transfers the money back to the parent chain and can simultaneously use them sidechained in the process of their actions, creating a gap between the two chains. In addition to dealing with the SPV, the parent blockchain need softpark for mutual confirmation of transactions.
In addition, the sidechained needs to be their own miners, which will protect your network from intruders and attacks. However, the miners, the main reward is the transaction fees, there is no incentive to work, since the assets in siddaiah not created.
The user must prove the availability of funds in order to send money to a sidechained and back. Before the technology will come to the bitcoin developers to think about the prevention of theft and transaction volume.
«This is the first Protocol that I know of, which makes [sidechained] safe,» says study co-author, PhD in cryptography of the University of Athens Dionysis, Zindros. According to the Greek, the ability of miners to spend money multiple times is an important issue for the technology, which requires the solution to the basic system could improve.
Cautious co-author of White Paper technology Saidjanov — mark Friedenbach. The developer believes that it is necessary to work on the system. Of interest to the skeptic is merged mining bitcoins. In his view, the miners can control the operation of the sidechained, as large mining farms not so much. In addition, the miners are still opportunities to seize the second of the mined cryptocurrency.
«Of course, there are also non-trivial, growing problem United of production, and whether such decision a step backwards in relation to security, given the current state of oligarchic mining industry?» – asks the expert.
Perspectives of Saidjanov confirm the commands that she do ConsenSys, BTC Relay, the Rootstock and YuansuChain from BlockStream, Lisk and Asch. While this is an unpopular market. However, with the help of sidechained can be distributed decentralized network and digital assets in other industries.
For example, in a network ecosystem of e-Finance as well as technology can be used in traditional banks, to issue stocks and bonds. In addition, the sidechained is the right platform for beta software that allows developers to experiment with a separate block chain, without affecting the basic.