xDapps overview: line edits

This commit is contained in:
Eric Wong 2022-09-19 14:04:04 -05:00
parent 6a521a4709
commit 9c494949b8
5 changed files with 30 additions and 12 deletions

View File

@ -20,4 +20,6 @@ Two notable limitations are that blockchains have no access to off-chain data an
Blockchain developers are now aiming to solve these interoperability problems to create a unified ecosystem. In this new cross-chain ecosystem, people can move beyond being users of individual blockchains and take advantage of Web3 on a broader scale.
---
In the next section, we'll discuss the history and challenges of cross-chain interoperability, as well as introduce the role Wormhole plays in the future of this space.

View File

@ -2,9 +2,7 @@
Because blockchains are siloed by nature, individual cryptocurrencies being bound to their own chains has been a longtime limitation of blockchain technology. The first attempt at solving this problem was the creation of cryptocurrency exchanges like Coinbase and Binance. Today these are refered to as centralized exchanges (CEXs).
Centralized exchanges play an important role in cryptocurrency, but they are not a complete solution for cross-chain interoperability for two primary reasons: they're centralized, which is counterproductive to creating a decentralized platform, and they deal only with tokens.
As blockchains move toward being general-purpose computing platforms, interoperability will require data structures that are more complex than tokens and operations that are more sophisticated than transfers.
Centralized exchanges play an important role in cryptocurrency, but they are not a complete solution for cross-chain interoperability for two primary reasons: (1) they're centralized, which is counterproductive to creating a decentralized platform, and (2) they deal only with tokens.
To solve the centralization problems with CEXs, decentralized exchanges (DEXs) were created. A DEX operates inside a smart contract runtime and can be as decentralized as the blockchain it runs on. Unfortunately, a DEX is only able to utilize the tokens on its native blockchain. In order to obtain a token which is not native to that chain, the DEX must be used in combination with a **bridge**.
@ -17,16 +15,24 @@ There are some other essential things you should know about bridges before going
- Bridges are all mutually incompatible with eachother. Using multiple bridges just makes 'double wrapped' tokens.
- If tokens have become double wrapped after traversing multiple bridges or blockchains, there can be a complex unwrapping process to get back to the original token.
This explains how the ecosystem arrived at its current state--CEXs are a solution to siloed blockchains, DEXs are a simple response to CEXs, and DEXs have created a demand for bridges. Each solution in this timeline is an ad-hoc patch to the previous problem, and the current landscape of fractured liquidity, double wrapped tokens, isolated userbases and wallet incompatibilities is the result.
This explains how the ecosystem arrived at its current state -- CEXs are a solution to siloed blockchains, DEXs are a simple response to CEXs, and DEXs have created a demand for bridges. Each solution in this timeline is an ad-hoc patch to the previous problem, and the current landscape of fractured liquidity, double wrapped tokens, isolated userbases and wallet incompatibilities is the result.
Adding to this complexity are blockchains moving toward being general-purpose computing platforms. As such, interoperability will require data structures that are more complex than tokens and operations that are more sophisticated than transfers.
More ad-hoc solutions would only be short-term fixes for long-term problems, so it's critical to design new primatives and core infrastructure that will allow the next generation of decentralized applications to move beyond these lingering limitations.
This is why Wormhole exists. Wormhole proposes a new way of developing applications which leverages the strengths of each blockchain while mitigating the problems of the current ecosystem.
---
Rethinking the next generation of decentralized applications means dethroning the token as the fundamental atomic unit of blockchains. We'll expand on this change in the next section.
---
## Branded Terms
In some instances, Wormhole uses general terms for decentralized, cross-chain elements as branded verbiage. In most cases, the definition of the general term does not greatly differ from Wormhole definition, though Wormhole's definitions may be more narrow than general interpretations.
**xChain** - Across the Wormhole ecosystem, the full range of cross-blockchain interoperability is referred to under the term "xChain." "xChain" is the concept that houses other branded terms, like the Wormhole definitions of xAssets, xData and xApps.
Rethinking the next generation of decentralized applications means dethroning the token as the fundamental atomic unit of blockchains. We'll expand on this change in the next section.

View File

@ -2,7 +2,7 @@
High on the wishlist of blockchain features is the ability to detach tokens from their native chains. It is a tremendous limitation that ETH only exists on Ethereum, MATIC only exists on Polygon and SOL only exists on Solana. It would be far more useful if those assets were able to move freely, independent of their native blockchains.
That thought underpins the idea of an **xAsset**, which could be considered a next-generation _wrapped token_. In a sense, xAssets exist on a layer _outside_ of the blockchain ecosystem, and so are able to transact on a variety of blockchains. An xAsset is chain- and path-agnostic, so it retains fungibility regardless of where it travels. xAssets can also move fluidly around the blockchain ecosystem without ever becoming double-wrapped.
That thought underpins the idea of an **xAsset**, which could be considered a next-generation _wrapped token_. In a sense, xAssets exist on a layer _outside_ of the blockchain ecosystem, and so are able to transact on a variety of blockchains. An xAsset is chain- and path- agnostic, so it retains fungibility regardless of where it travels. xAssets can also move fluidly around the blockchain ecosystem without ever becoming double-wrapped.
Now that we've established the idea of an xAsset, you might think they're an excellent atomic unit for solving interoperability challenges. However, xAssets are just one step short of the real solution. Let's take a step back: blockchains now process arbitrary data, and some of that data just happens to represent assets. The full solution then, is to create **xData**.
@ -10,6 +10,12 @@ xData is akin to an xAsset in that it exists in its own layer independent of any
Cross-chain interoperability then becomes a matter of creating, consuming and managing xData. Once blockchains have the ability to read and write data into a shared, global reservior, application design can take on innovative new dimensions.
---
Later in this document, we'll delve deeper into how Wormhole implements this [xData layer](../wormhole/3_coreLayerContracts.md) (also referred to as the 'Core' layer of Wormhole), but for now let's talk about how xData can be used to create xDapps.
---
## Branded Terms
In some instances, Wormhole uses general terms for decentralized, cross-chain elements as branded verbiage. In most cases, the definition of the general term does not greatly differ from Wormhole definition, though Wormhole's definitions may be more narrow than general interpretations.
@ -18,4 +24,4 @@ In some instances, Wormhole uses general terms for decentralized, cross-chain el
**xAssets** - Wormhole defines xAssets as a "chain-and-path agnostic token that exists on a layer outside the blockchain ecosystem, which can be used to conduct transactions on any blockchain." The Wormhole definition of xAssets presents itself as an element of xChain.
Later in this document, we'll delve deeper into how Wormhole implements this xData layer (also referred to as the 'Core' layer of Wormhole), but for now let's talk about how xData can be used to create xDapps.

View File

@ -4,16 +4,20 @@ The term **xDapp** is short for "Cross-Chain Decentralized Application". At firs
xDapps have the capacity to perform all the operations of traditional Dapps, but they are also able to utilize xData. xData allows xDapp developers to build from a top-down, message-passing approach, rather than the bottom-up world of Dapp development. The Wormhole Core Layer implements xData, which acts as a shared repository of data across the entire Wormhole ecosystem.
Something we'll explore further in the upcoming xDapp Architecture chapter is the philosophy of **Protocol-First Design**. Protocol First Design is an approach to building decentralized applications where the first order of business is to lay out your application into a series of data structures, APIs and message payloads. Once you've laid out your application into a high-level protocol, the protocol acts as an agreement to which all components must adhere. From there, the smart contracts underlying the protocol can be considered an implementation detail.
Something we'll explore further in the upcoming xDapp Architecture chapter is the philosophy of [**Protocol-First Design**](./architecture/3_protocolDesign.md). Protocol First Design is an approach to building decentralized applications where the first order of business is to lay out your application into a series of data structures, APIs and message payloads. Once you've laid out your application into a high-level protocol, the protocol acts as an agreement to which all components must adhere. From there, the smart contracts underlying the protocol can be considered an implementation detail.
If you're familiar with web2 development, you might notice that this philosophy is analogous to microservice architecture. This is no coincidence, as similar problems should expect to be solved by similar solutions, and the Wormhole Core Layer has a number of parallels to the OSI Network Model.
Thus, a more fitting depiction of xDapps might be to see them as **Distributed Decentralized Applications** with multiple, specialized components working in unison to deliver a smooth, unified user experience across a variety of layer 1 ecosystems.
---
In the next section, we'll summarize the concrete advantages which xDapps built on Wormhole have over traditional Dapps today.
---
## Branded Terms
In some instances, Wormhole uses general terms for decentralized, cross-chain elements as branded verbiage. In most cases, the definition of the general term does not greatly differ from Wormhole definition, though Wormhole's definitions may be more narrow than general interpretations.
**xApp** - In the Wormhole xChain ecosystem, the term "xDapp" has been shortened to "xApp." These cross-chain applications are largely still decentralized, but for branding and simplicity purposes, the term "xApp" will be prioritized over "xDapp" when talking about Wormhole's xChain ecosystem.
In the next section, we'll summarize the concrete advantages which xDapps built on Wormhole have over traditional Dapps today.
**xDapp** - Wormhole defines xDapps as a "decentralized application that enables users to create and/or use xData." The Wormhole definition of xDapp presents it as a branded element of xChain.

View File

@ -8,7 +8,7 @@ Here are a few xDapp features that are making an impact across blockchain techno
- **Decentralization** - Cross-chain solutions today usually involve centralized exchanges or bridges. However, Wormhole has been designed to be decentralized from day one, and eventually totally trustless.
- **Increased Performance** - xDapps are able to utilize the strengths of each blockchain. With xDapps, expensive computations can be offloaded onto high-performance platforms, final settlement can take place on a preferred chain and data can be stored wherever is cheapest.
- **Increased Performance** - xDapps are able to utilize the strengths of each blockchain. With xDapps, expensive computations can be offloaded onto high-performance platforms, final settlement can take place on a preferred chain, and data can be stored wherever is cheapest.
- **Broader Market Reach** - Because xAssets move freely through the ecosystem, they can be listed on a variety of exchanges and custodied on any blockchain.