Sidechains Explained

Introduction The current major cryptocurrency is Bitcoin[1]. Changes to the Bitcoin protocol have to be conservative and slow so as not to destabilize the network, and thereby diminish its value. This in turn prevents rapid innovation that is prevalent in software development. The original solution to innovate upon Nakamoto’s invention was simply to fork the Bitcoin software, tweak it as desired and release a new system. Namecoin[2] was the first such fork. It introduced features that were not present in Bitcoin, such as an alias system, a .bit top level domain registration and DNS service. Not too long after that developers started releasing Bitcoin-based clones on a regular basis. In late 2013, early 2014 there were upwards of a 100

Read more