The Gnosis Chain, previously known as the xDai chain, is a popular prominent sidechain of Ethereum managed by GnosisDAO that functions as a predictive market platform. The high-performance third-generation blockchain provides a reliable and secure infrastructure to handle smart contracts and decentralised applications(dApps) that utilises its forecasting tool. This approach suits large institutional investors' compliance with the regulatory framework requiring direct participation in the cryptocurrency market. It is faster and more affordable than Ethereum to stability and scalability in the market. The chain is EVM compatible while using the proof of stake mechanism for validation in the Gnosis network. The Gnosis blockchain contains three layers for its functionality, including the Core layer, Service Layer, and Application Layer.
Briefly about Gnosis chain
Martin Koppelmann and Stefan George founded Gnosis blockchain as xDai in 2018. The blockchains provide developers with the necessary tools and resources to create enhanced user experiences and optimised decentralised applications through smart contracts. The Gnosis blockchain provides an EVM-compatible chain for projects and dApps requiring complex transactions that are otherwise expensive on Ethereum. These transactions are covered with the stablecoin to help keep low fees and as a stable form of payment.
The former xDai Chain is not called Gnosis Chain and brings time tested tech to a connected and innovative network.CryptoLists.com
The Gnosis Blockchain provides forecasting tools on the Ethereum network to enable users to speculate on upcoming events where users can also create their own market due to the decentralised network. The ethereum network and the xDai token guarantee a fast, secure, transparent, and affordable ecosystem where users and developers can utilise these forecasting tools in handling smart contracts and decentralised applications that are more responsive and immersive. The Gnosis blockchain has three separate layers for efficiency, including the Core Layer, Service Layer, and Application Layer. The Core Layer provides the foundation of smart contracts, the Service Layer provides a resource for consumer applications and tools such as Chatbots, payment processor integrations, and stablecoins, whereas the Application Layer hosts the dApps and front-end tools for prediction markets. The Gnosis blockchain leverages the GNO token as a primary utility token and the OWL token as a reward for staking to be used as collateral in the Gnosis network.
Utility of Gnosis chain?
Users and developers seeking a wide range of applications and unique products and tools with low fees utilise the Gnosis blockchain. Its prediction marketing tools allow users to utilise customised forecasting applications for an arbitrary event to become tradeable thus increasing crypto adoption. Users can create their own tokens and trade them while awaiting the outcome of an arbitrary event. The Gnosis safe is a secure way to manage digital assets on the Gnosis network. The Gnosis transactions are fast, inexpensive, and utilise the stable token that lives on the chain and a decentralized, earth-friendly architecture with POSDAO consensus to minimise carbon emissions.
Gnosis chain
Gnosis chain Consensus Method: Proof of Stake
Release Date: December 5, 2021
Advantages at Gnosis chain
+ Gnosis Chain is fast with an average block time of 5 seconds+ It consists of a native stablecoin (xDai) for ease of payments.
+ Gnosis Network has a low transaction fee due to its Proof of Stake mechanism.
+ EVM-compatible hence easy for developers with Ethereum-based applications.
Disadvantages
- Less decentralised as it relies on the Ethereum blockchain.- Not as secure as Ethereum as it uses its own consensus.
- Gnosis Chain has been prone to phishing attacks on the Gnosis Safe Multisig.
- The Gnosis Service Layer currently has limited functionality for users.
Costs
▪ Rated at 9/10The transaction costs are paid in the Dai stablecoin. Its gas fees translate to 0.01 xDAI per 500 transactions on Gnosis Chain. It is inexpensive considering that the stablecoin is pegged to the US dollar.
Reputation and Buzz
▪ Reputation rated at 9/10▪ Buzz rated at 9/10
The Gnosis Chain earns several positive reviews with many commending its reliability via its low transaction fees and fast processing times through its Proof of Stake mechanism. The xDai contributes to the reliability and stability of the blockchain as it is a stablecoin pegged to $1. The blockchain has a wide range of features and focuses on the user with its speed, security, and real-time scalability. The Gnosis Chain serves several projects many crypto enthusiasts use. The blockchain offers its users the option of bridging tokens from Ethereum and BSC or acquiring assets directly from the blockchain to get started. The unique element causing a buzz is its commitment to carbon reduction and eco-friendly operations. There is also much expectation on the merge with the Gnosis Beacon Chain (GBC) that shall support the wider Ethereum ecosystem once the Ethereum merge happens.
FAQ
Who created Gnosis Chain?
Martin Köppelmann and Stefan George created the Gnosis Chain in 2018 as the xDai chain.
Is Gnosis Chain proof of stake?
The Gnosis Chain uses the delegated Proof of Stake mechanism in validation, POSDAO even as Gnosis Chain is expected to integrate into the Gnosis Beacon Chain.
Why did they change the name from xDai to Gnosis Chain?
The two combined technical savvy and major funding to assist the two projects to stand out in a crowded market for layer 1s that had forced chains to spend excessively on incentives for developers and users. This assists in accessing mainstream adoption.
What are the benefits of using the Gnosis Chain?
The Gnosis Chain provides significantly low fees and faster speeds in the Ethereum network due to its EVM compatibility that harnesses scalability.
What is Gnosis Beacon Blockchain?
Gnosis Beacon Blockchain offers an extendable and accelerated beacon-network functionality to the Ethereum ecosystem. It provides a faster, lower stake environment with massive scalability.
The Gnosis Chain will merge with the Gnosis Beacon Blockchain is a similar trajectory to the Ethereum merge.
Screenshots from Gnosis chain
