10 Things You Must Know About Kusama Slots Auction-web3资讯-ODAILY

(The article is very long, it is recommended to bookmark it before reading)

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(The article is very long, it is recommended to bookmark it before reading)first level title……

backgroundIn 2016, when Dr. Gavin first proposed the concept of Polkadot (Polkadot), people didn’t take it seriously, thinking that it was just an interesting “experimental” project. Until another 4 years later, Polkadot’s early investors have Completely survived a round of bull and bear,We finally waited for the launch of the Polkadot mainnet in the midsummer of 2020, and then we really started the story of Polkadot

The time is approaching midsummer, and we finally ushered in the slot auction of the Polkadot testnet Kusama,As Polkadots pre-test network, whether Kusamas slot can be successfully implemented is related to whether Polkadot and Polkadots ecology can enter a real development period, Therefore, the degree of attention is no less than the launch of the Polkadot mainnet last year.

Already in previous news, we saw plans for an auction for the Kusama slot, and currently,The Kusama network anticipates 5 auctions, each spaced 7 days apartAs a member of Polkadot Ecology, we (Polkadot Ecological Research Institute) are very happy to see this day coming. At such a historic moment, combined with the needs and aspirations of the community, weenjoy：

10 Questions to Ask About the Kusama Slots Auction

, so that everyone can have a more intuitive understanding of the overall picture of the slot auction and how to participate in this feast, the following please

first level title1. What is slot auction?

We know that Polkadot is essentially a scalable heterogeneous multi-chain blockchain, consisting of a collaborative decentralized blockchain network, which can also be called a relay chain. The relay chain interacts with the shard chains (that is, parachains) that run in parallel. These parachains can be regarded as clients of the relay chain. The purpose of the relay chain is to protect the smooth operation of the parachains.

Only by obtaining a slot can it become a Polkadot parallel chain in the true sense, because the slot can provide Polkadot shared security, cross-chain interoperability, on-chain governance, no-fork on-chain upgrades, scalability, Advantages such as low handling fees.

Therefore, Polkadot officials logically designed the mechanism of parachain slot auction.

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secondlySlot auctions can filter out those high-quality projects through higher entry barriers, because slot auctions require higher costs, not all projects can meet the requirements, so there is a high probability that projects that are more in line with ecological development can be selected to a certain extent. Of course, not all Polkadot ecological projects require slots. Only for projects that intend to be parachains.

secondlySlot auction can bring real vitality to Polkadot ecologyFinally, for Polkadot development,

The slot auction is the beginning of Polkadots real usher in the cross-chain era, and it is also the touchstone to test its best development in the past few years

Therefore, if Polkadot in the past stayed at the moment of military training, then the official start of the slot auction is the real opening of the historical moment, and it deserves our attention.

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3. What is the method of slot auction? How is it implemented?

Both the Kusama slot auction and the Polkadot slot auction use the candle auction method. Candle auctions originated in parts of England in the 17th and 18th centuries and were widely used to sell goods and leaseholds. The auction begins with the lighting of a candle, and when an inch of the candle is burned, the auction hammer falls and the auction closes.

A candle auction is a form of public auction in which bidders submit increasingly higher bids and the highest bidder at the end of a randomly determined auction time is deemed the winner.Polkadot and Kusama parachain slot auction rules are an improved version of candle auction.

The specific rules are 2+5 auction method combining two stages. The first 2 days are normal auctions, where higher bids have an advantage. But after these 2 days, it enters an uncertain Ending period. The ending period will last for 5 days, but the system will select a random block height during these 5 days as the real block height. auction end time.

In other words, even if you bid a higher price after the end block height, the person with the highest bid at the end wins, even if this persons bid is actually lower than yours.

For example, the random end time of the system is the 10,000th block height, A’s bid at the 9999th block height is the highest 100 DOTs before, and B’s bid at the 10001st block height is the highest 200 DOTs, then The successful bid is still A (the value in this example is for reference only).If someone (individual or smart contract) wins the auction, their parachain can be deployed without any permission. The team that does not win the slot gets to participate in the next round of the slot auction.

It is important to note, Gavin stated,

In fact, the auction plan has not been fully determined, and it is not the final version.

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4. What is Kusama slot auction crowd loan (PLO)?

Since anyone can participate in the slot auction, two things need to be paid special attention to if you want to win a parachain slot: the number of tokens participating in the auction, and the time of the slot auctioned.However, not all project parties have enough KSM to participate in the auction, and in order to better implement the blockchain spirit of community building ecology, many project parties will give up their own KSM wallets to participate in the auction, but use crowdloan (PLO) Funding, which is what we call slot auction crowd lending.

Teams who want to obtain Kusama parachain slots initiate PLO to conduct decentralized and indiscriminate crowdlending to the market, and use the raised KSM to participate in the auction. If the auction is successful, the KSM in PLO will be locked during the parachain slot lease period, and the PLO initiator will therefore reward the investors participating in crowd lending with the Token of the ecological project. After the lease period ends, KSM will return to investors and can be circulated.

Unlike crowdfunding, which invests money in projects, crowdlending is locked into a smart contract and lent to the project party. It will not lose its own principal, but will get the Token of the project party as capital interest.

(It is worth noting that the lease time of Kusama parachain slots is different from that of Polkadot. Kusama is up to 1 year, and Polkadot is up to 2 years)

first level title5. How can ordinary users participate in the Kusama parachain slot auction?

By participating in the PLO of promising projects, users can have the opportunity to obtain reward tokens provided by the project party.

The specific operation is roughly,

Note that this does not mean that participating in PLO will definitely get the Token reward from the project party, it depends on whether the project party successfully bids for the slot.

As for the KSM that the user participates in PLO, if the project party succeeds in bidding for the parachain slot, then this part of KSM will be locked in the smart contract. The lock-up period is the slot rental time selected by the project party, which also means that this part of KSM There is no loss, only loss of liquidity during the lease period.

However, if the PLO of a project that the user participates in fails to obtain a parachain slot, the users KSM will be returned after the auction.

（1）Karura Network

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（2）KILT Protocol

6. Which projects currently plan to participate in KSM slot auction (as of May)

（3）Shiden Network

We have made an inventory of the projects that plan to bid for the Kusam parachain. Some of these projects have announced their own parachain auction plans. The details of some projects are as follows:

（4）Basilisk

The KILT protocol enables users to maintain full control over their data by providing a new approach to credential management for issuing self-sovereign, verifiable, and revocable anonymous credentials.

（5）Khala Network

Khala Network is the pioneer network of Phala Network. As a bridge connecting computing power and users, it is committed to creating an open and transparent cloud computing network, providing privacy protection for regulated programs, and maintaining the security and decentralization properties of the blockchain.

（6）Bifrost

Shiden Network is the canary network of Plasm Network, which aims to become a multi-virtual machine and multi-chain DApps hub on Kusama. It also supports the Ethereum Virtual Machine (EVM) and WebAssembly, and will allow these two virtual machines to interact with each other.

（7）zCloak

Basilisk is a Substrate-based cross-chain liquidity protocol. Test protocol for HydraDX.

（8）Manta Network

（9）Moonriver Network

Bifrost is the underlying DeFi protocol of the Polkadot ecosystem. With the help of the SALP protocol, it generates highly liquid derivatives vsToken. Users get liquidity through Bifrost minting vsKSM. Bifrost utilizes the KSM that participated in vsKSM minting to participate in the parachain slot auction.

（10）SherpaX

zCloak is committed to making zero-knowledge proof a service for parachains in the ecosystem. It makes the process of generating proofs based on business logic simpler and faster, and helps users complete proofs and verifications.

（11）Sakura

Manta Network is based on the Substrate framework and uses zk-SNARK to provide an end-to-end completely anonymous protocol. It has high-speed throughput, and has a high degree of cross-chain interoperability and is safe and easy to use.

（12）Genshiro

Moonriver Network, Moonbeams pioneer network, is an Ethereum-compatible smart contract platform that makes it easy to build natively interoperable applications.

（13）Darwinia Crab

SherpaX is the pioneer network of ChainX, but it is also an independent test network. Committed to becoming a digital asset cross-chain hub, through a completely decentralized way to transfer cross-chain assets, so that BTC, ETH, etc. can circulate to other chain systems. SherpaX expects to use 5 million KSX tokens as an incentive for this Kusama slot auction.

（14）Subsocial

Sakura is Clovers Pioneer Network, a Substrate-based DeFi service platform that provides an easy-to-use interoperable blockchain infrastructure.

（15）SubDAO

Genshiro is the pioneer network of Equilibrium, providing a one-stop service for DeFi users, providing a comprehensive lending platform and a professional-level cross-chain DEX. Key features include integrated lending, decentralized stablecoins, synthetic asset generation, decentralized margin trading, and perpetual trading.

（16）Bit.Country

Darwinia Crab is the pioneer network of Darwinia, which supports the function upgrade of DVM and Ethereum smart contracts, and provides DApp migration and entry into the Polkadot ecosystem. It mainly provides a simulation and testing environment for Darwinias upgrade and application deployment, and performs various basic experiments.

（17）Robonomics

SubDAO is Polkadots DAO infrastructure, which allows any decentralized organization to quickly create and manage DAOs. SubDAO can not only link DAO and DApp to realize cross-chain management of DAO, but also provide an entrance for Web2.0 to connect to the Web3.0 world.

Bit.Country enables users to launch their own metaverse with token economy and non-functional currency, and brings community interaction to a new dimension of Web3.0.

Robonomics is a committed to secure, cost-effective and futuristic IoT platform to connect robots under the control of Polkadot and Ethereum. Robonomics plans to award corresponding financial XRT tokens to users who lock KSM to support the auction.first level title

7. Is the KSM locked in the auction safe and how long can it be redeemed?The KSM locked in the auction is safe, and the KSM locked by the user is not transferred to the project party, but locked in the smart contract of the relay chain.The KSM locked in the auction will be locked on the Kusama relay chain, and the ownership remains with the individual. If the bidding is successful, the lease of these KSMs will expire in the slots bid by the project you are optimistic about

(Generally, half a year is the minimum time unit, and there are two lease periods from half a year to one year)

After the auction, if the auction fails, it will be returned shortly after the auction closes.

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8. What additional benefits can be obtained by participating in the slot auction?

In addition to the Token rewards obtained by the PLO crowdlending that routinely participate in slot auctions, some project parties have also set up many incentive mechanisms to allow more people to participate.

More representative ones are Zenlink and Bifrost (here is just an introduction, not a project recommendation).

As a protocol layer project, Zenlink itself does not need to obtain slots, but its product can use slot auctions to provide more traffic for the project party and bring additional benefits to users participating in PLO. It is PLO or mining, you can pay more attention to it.

Bifrost is considering locking KSM in slot auctions to release its liquidity by casting derivatives. In this Bifrost Kusama slot auction, the casting of vsKSM will be launched for the first time. The KSM that participates in the vsKSM casting will be used for the Bifrost Kusama parallel chain slot auction, and users will get vsKSM that releases liquidity and generous BNC slot auction rewards .

This process can be understood as mortgaging the real estate to the bank, and the bank lends funds in the form of mortgage loans, which releases the liquidity of the real estate.

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9. What is the first Kusama parachain and what is its function?

The first Kusama parachain has been confirmed, which is a public interest parachain called Statemine.

But it is not done in one step, but Polkadot will officially deploy a parachain called Shell on Kusama. The proposal has just passed the governance approval a few days ago. Shell parachain, as the name suggests, Shell means shell in English, which also means that it is an empty parachain, which generates blocks, but has no other functions except upgradeability.Afterwards, this Shell parachain will receive a message that the governance of the relay chain authorizes its upgrade, and it will be upgraded to become a Statemine parachain. Statemine is actually an instance of Statemint, a general-purpose asset chain specifically used to issue assets mentioned by Polkadot officials, on the Kusama network. The relationship between Kusama and Polkadot is the relationship between Statemine and Statemint.Statemine and Statemint can issue arbitrary assets, including both homogeneous tokens, which we generally understand as Tokens, and non-homogeneous tokens, namely NFTs. It is also a low-fee chain for depositing and transferring relay chain native cryptocurrency (KSM/DOT).

Therefore, the first Statemine parachain has two main functions.The first role is to issue assets on KusamaIn the past, the only way to issue assets was to issue ERC20 tokens on Ethereum, but now digital assets can also be issued on Kusama, instead of issuing on Ethereum. In addition, other types of assets can also be issued on this chain, including NFT, CBDC, etc.

Deposit and transfer Relay Chain native cryptocurrency

, which is equivalent to the KSM stored and transferred on the Kusama relay chain in the past. In the future, this part of the work will be handed over to Statemine, which reduces the transfer burden of the Kusama relay chain and can improve the operation of the relay chain. Efficiency also frees up more performance for cross-chain transfers.

In the future, such functions will also be implemented on Statemint, a public interest parachain on Polkadot.first level title10. After the KSM slot auction is planned, how long will Polkadot slot auction start?

If the initial 5 parachains look good, after a week or two, they will suggest to open another 5 Kusama parachain slots

Once Kusama seems to be stable after linking several parachains and even some parachains, then we will start the same process on Polkadot.

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1. When will the first Kusama parachain be launched?

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2. When will the Kusama slot auction start?

According to the process, it should be opened after Statemine goes online. Gavin said that if Statemine is running well, they will start the auction. (not a very clear point in time)

3. Gavin’s Warm Risk Reminder

Gavin said that this is the first time they have come to do such a thing. There has not been a relay chain or a parachain before (in the blockchain field), so Kusama is largely a canary in the coal mine (in the coal mine) The canary is generally used to detect the air safety level in the mine. The canary has an early warning function. Here it means that Kusama is the pioneer to try this unknown function, so there may be various possible problems. In this way, Polkadot officially designed a slogan for Kusama, called Anticipation Chaos).

It is equivalent to a testnet experiment, and they dont know how Kusama will perform after having real incentives, real transfers, real code, and real bugs produced by real teams.

secondary title4. Why is the whole process of Polkadot/Kusama so complicated?Gavin said that this is because Polkadot itself is more complex than all previous blockchains. Polkadot took 20-50 (depending on how to calculate) expert developers three years to get to where it is today. Until the release of this protocol has a fully functional parachain version. In comparison, it took him and Jeff one or two people to make a fully functional Ethereum in a few weeks.

(Of course, there are many details about the slot auction,, if it is a common problem for everyone, we will collect it and publish the second article. )

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In view of the endless emergence of Polkadot ecological projects, but the inferior projects and scam projects are full of them, it is worthy of vigilance. On the other hand, it is difficult for groups only on the Polkadot project side to understand the whole picture of the entire ecological development of Polkadot, and miss many opportunities.

Therefore, we decided to establish a Polkadot ecological group, which can openly discuss all Polkadot ecological projects. Everyone can objectively share their views on each project, understand the development of each Polkadot project, and exchange information to seize opportunities together.

Announcing an important news, we have started to build a group!