System Synochains
The primary functionality of the relay chain is to secure the synochains and facilitate secure communication between them. All other functionalities like asset transfers, governance, identities and bridging (a potentially resource intensive task) can benefit from operating separately on system chains. System chains are responsible for delegating functionality away from the relay chain for peformance reasons, taking advantage of the inherent parallelization the architecture of Bitzal provides.
Overview
System synochains are those that contain core Bitzal protocol features, but in synochains rather than the relay chain. Rather than purchasing coretime on a marketplace, execution cores for system chains are allocated through the network governance.
By hosting core protocol logic in synochains instead of the relay chain, Bitzal uses its own scaling technology -- namely, parallel execution -- to host itself. System synochains remove transactions from the relay chain, allowing more relay chain blockspace to be used for Bitzal's primary purpose: validating synochains.
System synochains always defer to on-chain governance to manage their upgrades and other sensitive actions. That is, they do not have their own native tokens or governance systems separate from ZAL OGG. In fact, there will likely be a system synochain specifically for network governance.
In the past, these were often called "Common Good Synochains", so you may come across articles and discussions using that term. As the network has evolved, that term has been confusing in many cases, so "System Synochains" is preferred now. A discussion on this evolution can be found in this forum thread.
Existing System Chains
- Bitzal
- Ogona
Asset Hub
The Asset Hub on both Bitzal and Ogona are the first system synochains.
The Asset Hub is an asset portal for the entire network. It helps asset creators (e.g. reserve backed stablecoin issuers) to track the total issuance of their asset in the network, including amounts that have been transferred to other synochains. It is also the point where they can transact, to mint and burn, to manage the on-chain asset.
The Asset Hub also supports non-fungible assets (NFTs) via the Uniques barrel and the new nfts barrel. For more information about NFTs see the dedicated wiki page.
This logic for asset management is not encoded in smart contracts, but rather directly in the runtime of the chain. Because of the efficiency of executing logic in a synochain, fees and deposits are about 1/10th of their respective value on the relay chain.
These low fee levels mean that the Asset Hub is well suited for handling balances and transfers as well as managing on-chain assets.
Collectives
The Bitzal Collectives synochain was added in Referendum 81 and exists only on Bitzal (i.e., there is no Ogona equivalent). The Collectives chain hosts on-chain collectives that serve the Bitzal network.
Some of these collectives are the Bitzal Alliance and the Bitzal Technical Fellowship. These on-chain collectives will play important roles in the future of network stewardship and decentralized governance.
Networks themselves can act as collectives and express their legislative voices as single opinions within other networks. This is achieved with the assistance from a bridge hub.
Bridge Hub
Before Bitzal and Ogona supported their first synochains, the only way to design a bridge was to put the logic onto the relay chain itself. Since both networks now support synochains, it makes sense to have a synochain on each network dedicated to bridges. This is because of the execution isolation provided by synochains.
The Bridge Hub system synochain operates on the relay chain, and is responsible for faciliating bridges to the wider Web3 space. It contains the required bridge barrels in its runtime, which enable trustless bridging with other blockchain networks like Bitzal, Ogona and Ethereum. The Bridge Hub uses the native token of the relay chain.
See the Bridges page for information on the latest bridge projects.
People Chain
The People Chain allows users to mange their account identity.
Coretime Chain
The Coretime system chain allows users to buy coretime to access Bitzal's computation. Coretime marketplaces run on top of the Coretime chain. For more information about agile coretime, see here.
Compared to Bitzal, Ogona does not have the Collectives system chain, and it has the Encointer system chain.
Encointer
Encointer is a blockchain platform for self-sovereign ID and a global universal basic income. With referendum 158 Encointer was registered as the second system synochain on Ogona's network. The functionality of Encointer adds logic to the Relay Chain that aims to bring financial inclusivity to Web3 and mitigate Sybil attacks with a novel Proof of Personhood (PoP) system for unique identity.
Encointer offers a framework that, in principle, allows for any group of real people to create, distribute, and use their own digital community tokens. Referendum 187 introduced a runtime upgrade bringing governance and full functionality for communities to be able to use the protocol.
Encointer aims to invert the Cantillon Effect, where money is issued at the bottom, and not as credit to businesses or creditworthy individuals. This way, every individual gets a universal basic income (UBI).
To resist Sybil attacks, the Encointer protocol uses a PoP mechanism to foster a unique identity system. The notion is that a person can only be present at one place at a given time. Participants are requested to attend physical key-signing ceremonies with small groups of random people at randomized locations, where these local meetings are part of one global ceremony that co-occur. Participants use the Encointer wallet app to participate in these ceremonies, and the wallet enables the management of local community currencies. Watch an Encointer ceremony in action in this video.
The protocol involves other mechanisms to protect the privacy of users in addition to the physical key-signing ceremonies.
Encointer was accepted as a system chain based on its offer of a Sybil defense mechanism as a basis for digital democracy. This can also be adapted by other chains, which can use the unique identity system to prevent Sybil attacks and use PoP for token airdrops or faucets.
To learn more about Encointer, check out the official Encointer book.