Written by Scott Craig|Posted on September 21, 2022
One of the main selling points of blockchain technology is the fact that transaction activity is permanently recorded on the network’s distributed ledger, making records almost impossible to tamper with and enabling validation by the entire network. This level of security and efficiency is what makes blockchain appealing for financial transactions, supply chain management, handling sensitive data, DeFi, NFTs, and more.
Blockchains are secure and transparent within themselves but do not necessarily play well with each other. This creates friction when attempting to make transactions between blockchains. For example, an NFT minted on the Ethereum blockchain needs to be exchanged for Ether (ETH), and cannot be directly purchased with other cryptocurrencies such as Bitcoin, Avalanche, or Solana, even if those cryptos are also built on the Ethereum Virtual Machine. Likewise, a smart contract or dApp only works on the blockchain it was created on.
This interoperability issue creates barriers to scalability and the smooth integration of blockchain platforms, so it’s no surprise that various projects are underway working on a solution to this, called cross-chain (between blockchains), multi-chain (several blockchains), or omni-chain (theoretically, all of them) protocols. These protocols introduce a software layer through which different blockchains can communicate.
A new blockchain project called Analog aims to do this using event data. Any recorded information that includes a timestamp, as well as other details (e.g., the nature of the activity and actor identifier), is considered event data. Analog will establish a secure decentralized layer upon which multiple blockchain networks can anchor transactions, storing a validated record of event data from all participants which developers can use to build cross-chain dApps and smart contracts.
Unlike previous models, which use third-party oracles to transmit information, Analog allows participants to become their own oracles, building trust on the network via staking ANLOG tokens and accurately validating blocks in a census process called proof-of-time (PoT). Analog’s cross-chain interface is slated to roll out within the next twelve months.
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