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Chenilles State Channels

Chenilles - Generalized state channels

Our technology Chenilles is the next-generation cross-blockchain State Channel Network.

Indeed, we, at MuKn, a member of the Laconic Network, have already started building Chenilles, on Ethereum, for use within Laconic. And we believe porting it to Filecoin could bring tremendous value to both projects.

Chenilles - Generalized state channels

Our technology Chenilles is the next-generation cross-blockchain State Channel Network.

Indeed, we, at MuKn, a member of the Laconic Network, have already started building Chenilles, on Ethereum, for use within Laconic. And we believe porting it to Filecoin could bring tremendous value to both projects.

Benefits of State Channels in General

With Chenilles as with all State Channels, two participants in a channel can send tokens to each other safely, cheaply, quickly and privately, scaling far beyond what Layer 1 supports.

With Chenilles as with all State Channel networks such as the Bitcoin Lightning Network, participants can safely, cheaply, quickly and privately send fungible tokens along a circuit from participant to participant each time via a channel of sufficient liquidity.

Benefits of State Channels in General

With Chenilles as with all State Channels, two participants in a channel can send tokens to each other safely, cheaply, quickly and privately, scaling far beyond what Layer 1 supports.

With Chenilles as with all State Channel networks such as the Bitcoin Lightning Network, participants can safely, cheaply, quickly and privately send fungible tokens along a circuit from participant to participant each time via a channel of sufficient liquidity.

State Channels: Scalability and Privacy without Compromising Safety

State Channels were invented in 2015 by Joseph Poon and Thaddeus Dryja as the basic block of the Bitcoin Lightning Network, enabling fast, affordable and private micropayments as a Layer 2 on top of Bitcoin’s Layer 1.

The Layer 1, i.e. posting transactions directly on the blockchain, is always simpler and safer than any Layer 2. But the Layer 2 of State Channels allows for more transactions, faster, and more private, than is possible on the Layer 1.

Furthermore, unlike many other Layer 2 solutions (i.e. sidechains and bridges), State Channels does not require any additional trust assumption compared to the Layer 1: it only requires trusting the underlying Blockchain, and trusting one’s own computing infrastructure, both of which are already prerequisites for exchanging digital assets on Layer 1.

Compared to Layer 1, though, a State Channel do require its participants to lock some funds in the channel, and to maintain an active and regular presence on the network; it also only works between a relatively small set of agreeing participants. State Channels are therefore not suitable for every use by every user.

State Channels: Scalability and Privacy without Compromising Safety

State Channels were invented in 2015 by Joseph Poon and Thaddeus Dryja as the basic block of the Bitcoin Lightning Network, enabling fast, affordable and private micropayments as a Layer 2 on top of Bitcoin’s Layer 1.

The Layer 1, i.e. posting transactions directly on the blockchain, is always simpler and safer than any Layer 2. But the Layer 2 of State Channels allows for more transactions, faster, and more private, than is possible on the Layer 1.

Furthermore, unlike many other Layer 2 solutions (i.e. sidechains and bridges), State Channels does not require any additional trust assumption compared to the Layer 1: it only requires trusting the underlying Blockchain, and trusting one’s own computing infrastructure, both of which are already prerequisites for exchanging digital assets on Layer 1.

Compared to Layer 1, though, a State Channel do require its participants to lock some funds in the channel, and to maintain an active and regular presence on the network; it also only works between a relatively small set of agreeing participants. State Channels are therefore not suitable for every use by every user.

Innovative Extra Benefits of Chenilles Network

Beyond what other State Channel networks do, Chenilles allow participants to send tokens across blockchains, so you can send one token and the recipient would get another. With some work, it can even be made to interoperate with the Bitcoin Lightning Network itself.

Beyond what other State Channels do, Chenilles allow any pre-agreed set of participants to exchange any set of tokens including NFTs according to any agreed upon algorithmic rules.

Beyond what other State Channel networks do, contracts on Chenilles do not have to be written identically in two or three languages (e.g. Solidity, Go and JS for contracts on Celer) wherein any discrepancy between the three variants is a cause for asset loss. Instead, our Glow language allows DApp developers to write only once a single contract one tenth the size that is simpler, safer, cheaper, more portable, and runs identically on all supported blockchains, with or without State Channels, with or without zk-SNARKs.

Chenilles can also leverage the specific capabilities of each blockchain that its State Channels run on, such that contracts on Filecoin will be able to invoke conditions relative to data stored on the Filecoin network.

Innovative Extra Benefits of Chenilles Network

Beyond what other State Channel networks do, Chenilles allow participants to send tokens across blockchains, so you can send one token and the recipient would get another. With some work, it can even be made to interoperate with the Bitcoin Lightning Network itself.

Beyond what other State Channels do, Chenilles allow any pre-agreed set of participants to exchange any set of tokens including NFTs according to any agreed upon algorithmic rules.

Beyond what other State Channel networks do, contracts on Chenilles do not have to be written identically in two or three languages (e.g. Solidity, Go and JS for contracts on Celer) wherein any discrepancy between the three variants is a cause for asset loss. Instead, our Glow language allows DApp developers to write only once a single contract one tenth the size that is simpler, safer, cheaper, more portable, and runs identically on all supported blockchains, with or without State Channels, with or without zk-SNARKs.

Chenilles can also leverage the specific capabilities of each blockchain that its State Channels run on, such that contracts on Filecoin will be able to invoke conditions relative to data stored on the Filecoin network.

Value

The technical capabilities of Chenilles set it far ahead of current State Channel technology as it allows it to:

Increase the scalability and privacy of transactions on the blockchain’s network, thereby creating utility for users, and increasing the value of the network and its token.

Interoperate with other blockchains in a safe and efficient way, increase the value of the entire cryptocurrency market, and benefit commensurately.

Become an early adopter of the Chenilles network and capture a larger part of its mindshare than the other blockchains that will only be supported later.

Create synergies wherein by combining a Lurk contract and a State Channel, the Lurk contract interactions can be made to scale whereas the contractual conditions attached to the State Channel will remain private even in the case the channel must be closed without the full cooperation of all participants.

The Chenilles network can be an extremely valuable addition to a blockchain’s ecosystem. Indeed, an entity tied to a specific blockchain might cause some other blockchains to fear giving an advantage to whichever rival appears as the leader, whereas a blockchain-agnostic entity will reassure them that they will get a fair treatment in a cross-chain network that benefits all participants.

There are or have been many other existing State Channel networks on Ethereum (such as Kchannels, Raiden, Connext, Perun, Celer, StateChannels.org, etc.) and possibly on other blockchains, too. And there may be other blockchains worth to which to port Chenilles. When Chenilles is more advanced, we will consider which are worth interoperating with.

A complete implementation of a Mother-of-All State Channel Network capable of interoperating with all the above will probably be its own project separate from Laconic as such—though it could use Laconic as a springboard to launch better and faster. Such a Network will involve an Ethereum variant of each of the 11 steps of the Bitcoin Lightning BOLT specifications, plus additional steps and further generalizations so as to accommodate seamless interoperation between State Channel networks.

To learn more about Chenilles, look up our grant application to Filecoin.

Value

The technical capabilities of Chenilles set it far ahead of current State Channel technology as it allows it to:

Increase the scalability and privacy of transactions on the blockchain’s network, thereby creating utility for users, and increasing the value of the network and its token.

Interoperate with other blockchains in a safe and efficient way, increase the value of the entire cryptocurrency market, and benefit commensurately.

Become an early adopter of the Chenilles network and capture a larger part of its mindshare than the other blockchains that will only be supported later.

Create synergies wherein by combining a Lurk contract and a State Channel, the Lurk contract interactions can be made to scale whereas the contractual conditions attached to the State Channel will remain private even in the case the channel must be closed without the full cooperation of all participants.

The Chenilles network can be an extremely valuable addition to a blockchain’s ecosystem. Indeed, an entity tied to a specific blockchain might cause some other blockchains to fear giving an advantage to whichever rival appears as the leader, whereas a blockchain-agnostic entity will reassure them that they will get a fair treatment in a cross-chain network that benefits all participants.

There are or have been many other existing State Channel networks on Ethereum (such as Kchannels, Raiden, Connext, Perun, Celer, StateChannels.org, etc.) and possibly on other blockchains, too. And there may be other blockchains worth to which to port Chenilles. When Chenilles is more advanced, we will consider which are worth interoperating with.

A complete implementation of a Mother-of-All State Channel Network capable of interoperating with all the above will probably be its own project separate from Laconic as such—though it could use Laconic as a springboard to launch better and faster. Such a Network will involve an Ethereum variant of each of the 11 steps of the Bitcoin Lightning BOLT specifications, plus additional steps and further generalizations so as to accommodate seamless interoperation between State Channel networks.

To learn more about Chenilles, look up our grant application to Filecoin.

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