2.3 Orbit Chain IBC
Basic Design
Lack of communication made it hard to exchange and transfer the value of assets between chains, leaving their economies isolated. It has been a common practice to mint assets such as USD and BTC in a chain through fixed value in a centralized method using the FIAT Gateway method, and utilize them in a chain. This method is based on the trust of the centralized subject. There are questions about uncertainty due to lack of information and the security of the assets. To resolve these issues, many protocols have emerged for communication between unconnected blockchains through decentralization of the communication.
The Orbit IBC protocol enables a decentralized 2-way pegging based on the existing lightning network (micropayment for Bitcoin) and Plasma (scalability solution for Ethereum 2.0) for public chain scalability and communication.
The method presented as Plasma Cash is a single plasma operator method but there are two problems with this approach.
The Plasma operator can withhold a single block, forcing all users to exit the chain before they can spend their coins
The Plasma operator can censor and order transactions
Due to these two problems, Plasma operators are in need of higher dependence of trust. This leads to show most of the problems present in a centralized exchange.
The Orbit IBC protocol solves the problems of concentration on one operator by implementing IBC with the PoS- based validation.
Inter Blockchain Communication Design
STEP 1: Propose Orbit Chain block
STEP 2: Make merkle object block
STEP 3: Validate object block
STEP 4: Synchronize object block to public chain
IBC Zone
Validator
Verifies and audits both of Orbit Chain and Public Chain. They are also responsible for verification of Inter-block communication process
Operator
Operates Inter-block Communication to relay messages between public chains . Everyone can participate as an operator.
Fishermen
Monitors the operation of validators and operators through a periodical check or bad signal.
Implementation
Implementation and process of IBC vary by structure of Public blockchain but are commonly designed with the following rules:
Fixed assets on mainnet cannot be transferred or changed by a single validator.
Asset deposit will be verified in parallel by validators under consensus of Orbit Chain.
Asset withdrawal will be managed by smart contracts on Orbit Chain, which will be verified by Validators simultaneously.
All communication and settlement between Validators will be on smart contract. There is no off-chain communication and consent.
Blockchain system will be classified by following system/structure, and be built with these common conditions/ specifications.
UTXO-based blockchain (BTC, BCH ...)
Implement via multiple-signature wallet
Balance-based blockchain (ETH, EOS ...)
Implement via smart contract
Ledger-based blockchain (XRP)
Implement via multiple-signature wallet
IBC Zone component
Operator
Listen to orbit chain and public chain
Manage Relay Deposit/ Relay Withdraw
Send deposit information to Orbit Chain
Send withdrawal transaction information to public chain
Anyone who is connected to network can be operator
Validator
Listen to Orbit Chain and public chain
Verify information from public and Orbit Chain
Signing deposit and withdrawal information
N = 3F + 1 (N: total validator number, F: Bad validator number)
Constantly increase validators to enhance network security
Staked asset will determine the scale of verification
Rewards are given for diligent and successful verification while on duty
Malicious actions will cause penalty on staked token by governance agreement
Fishermen
Checks and monitors the operation of validators and operators through periodic checks or bad signals.
Get rewards by disclosing validator's misconduct/ malicious actions.
Last updated
