Essentially, the side chain protocol is a cross-regional blockchain solution, a merging mechanism that allows digital property (such as passport) to be securely transmitted from one blockchain to another and back. ? Through this solution, bidirectional anchoring can be ended, and digital property can be safely transmitted between the main chain and the side chain.
Side chain is like a function plug-in, which is very extensible and can do a lot of work. Here are a few examples:
1。 Enrich the main chain function and improve the financial ecology of encrypted money and silver.
The chain is very inclusive and does not crowd out the current system. Buying and selling stocks, futures, derivatives and other financial activities. ? It may be included, which further expands the use scale and innovation space of blockchain skills.
2。 Optimize the main chain function and improve the transaction efficiency.
Take the existing main chain, such as the lightning network of Bitcoin and the lightning network of Ethereum, which are actually a way to display side chains. Both methods can improve the running speed of the main chain.
Of course, this does not mean that this side chain has no defects. The independence of the side chain is also his shortcoming. As an independent individual, after the development is completed, it is necessary to consider its independent operation and maintenance work, and there are satisfied nodes to ensure its security, so that it will not be directly finished when it is needed. The use scale and innovation space of blockchain skills expanded by side chain protocols have greatly increased: it can support various property types, micropayments, smart contracts, security processing mechanisms, industrial registration, etc. ? And can strengthen the privacy protection of the blockchain. ? Through the use of side chains, we can also easily establish various intelligent uses, such as financial contracts, stocks, futures, derivatives and so on.