Zenon Network introduces Plasma: a new standard for feeless blockchain transactions

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Nov 09, 2021, 11:43 ET

LONDON, Nov. 9, 2021 /PRNewswire/ -- Since the beginning of cryptocurrencies, we've painted this vision of the future: "Imagine sending money around the world, instantly, with no middlemen or fees!". Unfortunately, nowadays cryptocurrency space has managed to accomplish only removing the middleman. Fees are still a problem that is getting worse as more people are transacting using cryptocurrencies.

Zenon Network is changing the fee paradigm in order to enable everyone to move value instantly around the world, in a simple, secure, and feeless way.

Zenon introduces Plasma: the new fee paradigm for the next-gen decentralized network

In the crypto space, there are multiple types of fees: network fees (e.g. BTC), gas fees (e.g. ETH), layer-2 fees (e.g. MATIC), CEX fees (e.g. for withdrawals) or DEX fees (e.g. for trades).

The problems appear when the costs of performing transactions or interacting with a network become highly unpredictable by the laws of demand and supply along with several other factors such as network congestion or transaction size.

The exact fee you end up paying for a cryptocurrency transaction depends on the consensus protocol and the overall traffic at that particular time on that network.

While legacy blockchains like Ethereum have very high fees, newer competitors like Solana or Polkadot have lower fees, but come at the cost of network security (e.g. Solana's recent network halt) and true decentralization remains a valid unknown.

Solving the Fee Paradigm

Zenon Network proposes a new paradigm aiming to solve the high transaction fees through a new mechanism called Plasma along with its unprecedented dual-coin economics with ZNN and QSR.

Plasma is an anti-spam mechanism that acts as the network gas to confer insignificant or no fees at all, suitable for any type of participant or transaction. The more Plasma you possess, the higher transaction throughput you can achieve.

In order to generate Plasma, all you need to do is to fuse (like staking or locking) QSR.

For example, you are a merchant owning an online shop, and you have lots of daily transactions.

To accommodate a high-volume transactional throughput, all you have to do is fuse a larger amount of QSR that in turn will automatically generate more Plasma. And likewise, Plasma will recharge faster than being consumed, so no need to worry about running out of it if you have enough QSR fused.
In the case of low-volume transactional throughput, you don't require fusing QSR at all: the network allows you to submit a valid proof-of-work in return for a small quantity of Plasma.

This is a game-changer for anyone using crypto on a daily basis: for example, you want to move some tokens or NFTs on Ethereum. If the network is congested, you might have to pay more in fees than the transaction itself which is an obvious obstacle for mass adoption.

Moreover, this specific proof-of-work has another vital role: it adds weight to the ledger, increasing the overall security of the network in the face of Sybil adversaries.

Another important aspect of the Zenon feeless paradigm is the implementation of the Zenon Token Standard — ZTS allowing anyone to create tokens without writing code, right from the Syrius wallet.

These ZTS tokens are native to the protocol level and inherit the feeless properties of ZNN and QSR: transferring tokens instantly without fees.

Imagine having a DEX implementation like Uniswap, but with ZTS instead of ERC-20: no more outrageous swap fees and a better experience overall.

Zenon marks a significant milestone in developing a better DLT encompassing greater scalability, low usage cost, fairness of the initial distribution, and full decentralization.

Are you ready?

The original and complete article:
https://medium.com/@zenon.network/plasma-the-new-fee-paradigm-for-the-next-gen-decentralized-network-4ec3f27e4a6b

More about Zenon Network:
https://zenon.network
https://twitter.com/ZenonNetwork

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SOURCE Zenon Network Community