Logan Network currently provides cross-chain bridge functionality for POL tokens
Logan Network, as an infrastructure connecting crypto assets and web3.0, is about to launch version 2.0 with a brand new asset and information cross-chain solution, bringing mass cross-chain liquidity to existing DeFi ecosystems with a phased bridge implementation with high efficiency. Besides,Logan Network plans to launch a prominent bridge network through its unique positioning in the multi-chain environment that leverages key ecosystem participation and platform partnership to bootstrap early users cross-chain liquidity.
This is not an investment advice. Please conduct your own research when investing in any project.
With the development of blockchain, it has entered a multi-chain coexistence market structure, and gradually formed a situation in which ethereum is the core and other public chains are actively expanding.
In the past two years, Logan Network has been the first to see application scenarios with practical needs on Ethereum: DeFi, NFT, GameFi and the future Web 3, and the ecological construction is thriving. But on the other hand, the rapid development of the ecology has also exposed the problem of insufficient underlying performance of Ethereum, network congestion and high gas fees, which hinder the further expansion of the ecology. At the same time, some people “rescue themselves” and set their sights on Layer 2, and some people “want to go out and see” and devote themselves to other public chains other than Ethereum.
Especially after the DeFi Summer in 2020 and the “JPG” market in 2021, people can clearly feel the rapid development of the ecosystem of public chains outside of Ethereum. Many emerging public chains (such as: BSC, Solana, Near, Avalanche, Terra, Fantom, etc.) have made corresponding trade-offs in the impossible triangle, supplemented and expanded in terms of scalability, and since most of these chains are related to EVM Compatible, it can more easily integrate DeFi and NFT-type projects, so as to complete the simple reproduction of applications that have been successfully implemented in Ethereum.
While these emerging public chains offer significantly lower fees, shorter transaction confirmation times, and some additional features, Ethereum still dominates with a TVL share of around 76%, mainly due to high Liquidity and Trading Volume.
In the current DeFi era where “liquidity is king”, in order to attract more users in the early days, major public chains attracted users through high APY, so the competition for liquidity promoted by involution started. Essentially, the initially accumulated traffic on Ethereum is fragmented bit by bit until a fragmented “island of value” is formed. In the past two years, this phenomenon has become more and more obvious with the increase of Layer2. Therefore, multi-chain coexistence is a new market pattern. As more public chains emerge, L2 projects continue to develop, the corresponding ecosystem is improved, and the demand for cross-chain asset transfer will explode.
Regarding the cross-chain bridge Logan Network, the Logan cross-chain bridge function has been launched, and it mainly revolves around two key concepts: phased decentralization and asset selection.
Logan Network currently provides cross-chain bridge functionality for POL tokens and serves POL and KuCoin users by addressing the current lack of interoperability of tokens. POL token holders and KuCoin users will be able to transfer POL tokens between different ecosystems supported by Logan Network.
Logan Network believes that the success of a cross-chain bridge product is as important as its decentralized design and its ecosystem assets.
First, Logan Network will implement decentralization in stages. In the first phase, the project builds cross-chain capabilities on a public chain that supports transferring assets. Abandon the high level of trust required by a centralized organization as a trusted entity and place trust in smart contracts. It not only ensures the credibility, but also has the high efficiency of the centralized method.
Latest Fintech News: Billance Partners With Global Digital Finance To Develop Global Cryptocurrency Standards
In the second phase, Logan Network will expand the larger asset market through its token and decentralized cross-chain bridge based on token governance module guarantees. Projects at this stage will support asset migration and permissionless governance, increasing the cost of attacks. And at this stage, there will be an on-chain governance module to improve the efficiency and scale of the liquidity market. Participants at this time will receive the fees generated by the cross-chain bridge as a reward. The implementation of the second phase will expand the market size on Logan without sacrificing the efficiency of the first phase.
As part of the strategy, the first asset backed by Logan Network is critical to bootstrapping the network. The first asset to be swapped by the cross-chain bridge is the POL token. POL token is the token of Pool-X, which is KuCoin International’s industry-leading Staking asset liquidity platform, providing pledge and issuance solutions for new projects. As KuCoin has become one of the top three exchanges in the world, the recent usage and growth rate of both the POL token and the Pool-X platform are very high.
In the initial ecosystem selection, Logan Network first focused on two main ecosystems – BSC and Tron. In the past year, BSC has become the preferred ecosystem for many DeFi projects due to its easy operation and low gas cost. As Logan expands its ecosystem support, BSC users will be able to use Logan to transfer assets across chains.
In the first stage of development of Logan, after the cross-chain bridge product was launched, Logan Network further developed mining, staking and other products to achieve a win-win situation among multiple ecological parties. Needless to say, the liquidity provider, the cross-chain bridge provides a simpler and more convenient entry channel, allowing more people to directly participate and share the cross-chain fee income. As the number of liquidity providers increases, the overall liquidity depth of POL will also increase, thereby improving the cross-chain experience of large funds. In addition, logan holders can also benefit from it – users who pledge logan can receive corresponding pledge dividends.
Logan Network has also found that the advantages of Dao are becoming more and more obvious in the continuous exploration. According to DeepDAO data, as of April 19, the number of DAOs has increased to 4,832, and the scale of assets under management has increased from $920 million in May last year to $10.7 billion, an increase of 1182%. There are 169 DAOs over $100 million. Logan also decided to develop a community DAO, with the goal of wanting to be surrounded by like-minded people, make collective decisions, and drive the community’s goals forward.
Latest Fintech News: KlariVis Announces New Relationship With Ephrata National Bank
One of the main qualities of a DAO is that it is a community-led organization, and founders need to believe that the community itself has the ability to make the right decisions based on long-term goals and vision. In general, there are no absolute restrictions or responsibilities to join the DAO community, which makes it impossible for the core team to trust everyone’s intentions. Therefore, for some protocols, a more rigorous recruitment process is required to ensure the integrity of new DAO members.
Based on the above, Logan is moving forward on the road of Dao, and more users are required to participate in it and filter out core members. In the subsequent establishment of Logandao, follow the following points:
1. DAO members make recommendations on product development.
2. Establish governance and incentive structures at the community level.
3. Backtrack value by rewarding members for contributions (e.g. template creation, workflow development), etc.
4. Introduce a token mechanism to realize value exchange among DAO members.
To sum up, there are too many things that Logan DAO can build. The current products that logan started to build are currently in the V1 stage. The logan protocol has not yet reached its final state. Improvement, development and growth are required to remain competitive in the long term.
Additionally, the Logan Protocol has a large vault of funds and allocates over 50% of the token supply to its own community. Wide distribution of tokens is a mandatory option for Logan as a decentralized protocol. Fully decentralized network ownership gives the protocol the essential characteristics of an underlying decentralized protocol—such as security, neutrality, and community incentive alignment. This is an area where the community can be fully creative. When considering how to decentralize ownership of the network, the community can use the distribution of its native tokens to grow the logan protocol. If LoganDAO is to maintain its essence, where the community can make decisions on an equal footing, then LoganDAO decentralization needs to happen in stages. However, it is necessary to give some degree of control so that the organization can sustain shared prosperity.
With the support of DAO, Logan is more convinced that Logan can stand out among many cross-chain bridge projects, because Logan Network believes that a good cross-chain project needs to have the following three elements:
The first is the ability of market foresight, and the project party must dare to predict the future development direction of the track and even the industry.
The second is the ability to understand demand. The project party not only needs to accurately grasp the needs of users, but also be able to adjust product design in a timely manner following changes in market demand. Logan’s planning path from the first stage to the second stage clearly shows how Logan views the demand changes in the cross-chain market; the next thing is product delivery capabilities. The Logan 1.0 version is only one month away from the cross-chain start to the date of mining. Logan can quickly deliver and iterate the product in such a short period of time and ensure the ease of use and security of the product. High execution efficiency.
In an era of increasingly fierce competition among multiple public chains, cross-chain bridges have become an essential infrastructure. Logan hopes to put the security of user assets in the first place, rather than just pursuing a temporary market hotspot – countless past projects have proved to us that in the blockchain world where “code is law” is a totem, Only those projects that are most in line with the spirit of decentralization can be active for a long time.
Latest Fintech News: Knock Brings Its Innovative Home Loan Solutions to Seattle; Adds Jumbo Loans to its Product Offering
[To share your insights with us, please write to sghosh@martechseries.com]
