SKALE v2 expected to drive adoption
SKALE is an open-source elastic blockchain network protocol that aims to make it easier to set up cost-effective, high-performance, customizable elastic sidechains that run full-state smart contracts. It aims to deliver an easy-to-use experience while maintaining security and decentralization. So each dApp could have a (temporary) dedicated chain on SKALE. The focus is on providing scalability to Ethereum.
Like Ethereum, SKALE uses the same smart contract programming language; Solidity. This means that developers can use the same smart contracts and programming tools as they would on the Ethereum mainnet which makes SKALE fully compatible with the Ethereum ecosystem.
For quite some time the project has been moving in the background while it kept building as other blockchain networks took the cake last year. With the much anticipated SKALE v2 launch things might change for SKALE as the second iteration brings some notable upgrades to the network which could create the right environment for adoption.
Recently, the team released SKALE v2 which is also dubbed as the SKALEVERSE as it transforms the world of SKALE and Ethereum into an interconnected world. The upgrade optimizes SKALE’s ability to support NFTs, metaverse, and crypto-based gaming. Through new scaling methods Skale is able to offer low and fast transactions to a large audience. This is desirable for metaverse and gaming related projects that rely on a high throughput for the well-functioning of their game.
The upgrade introduces multichain infrastructure to SKALE where all the different sidechains can finally interoperate with each other. This allows for high scalability and new use cases. For everything about SKALE v2, check their blog.
Before v2, there were only 6 dApps live on SKALE with very limited attention. We expect this to change drastically in the coming months.
A $100 mln ecosystem incentive program has also been announced for SKALE through which it aims to kickstart its growth. This is more than enough capital to attract solid projects while also dedicating some to incentive rewards for users to drive further adoption. At the same time, the team mentioned that over 100 applicants signed up in their innovator’s program.
More and more blockchains are deploying their scaling solutions. Over the past year we have seen a number of smart contract platforms rise in popularity, but to sustain increased throughput and the onboarding of potentially millions of users, many have to work on scalability.
One of the projects that has flown under the radar is SKALE. They finally deployed SKALE v2 this month, effectively launching the project in the way it was meant to be. This opens the doors for projects that rely on high, fast throughput and preferably operate in a closed environment whilst still being able to communicate with other chains. The projects about to launch vary widely in use case.
We anticipate that a lot of development from various blockchain projects will happen on SKALE which will bring back its popularity. Should it succeed in driving strong adoption, its $SKL token will likely enjoy the results of this as well.
Shortly after the launch of SKALE in 2020, we discussed the project in our paid group. If you are interested in learning more about SKALE, read our report here: https://medium.com/eight/the-skale-network-report-fc8719842cda
This is our premium membership. Become a member of our community with access to Michaëls strategy and portfolio's, trade ideas and personal guidance.