A new era is starting for Mangata!
Combining the power of Polkadot Parachain and Ethereum Layer 2 technologies, Mangata is solving the fundamental problem of Miner Extractable Value (MEV), as well as providing users with a gasless swaps solution. By leveraging Parachain technology, Mangata is set to become the first rollup to have decentralized sequencers on Ethereum. Mangata recently established a research & development department to explore and refine rollup technologies.
This article delves into the world of Ethereum L2 solutions and explains how Mangata aspires to become an interchain DEX that seamlessly integrates with multiple ecosystems. When Mangata integrates the L2 technology, native ETH-DOT swaps will be possible without exposing user funds to centralized and unsafe bridging solutions.
The need for L2 solutions arises due to the scalability limitations of the Ethereum blockchain. The challenges involve network congestion, slow transaction speeds, and high gas fees. By bundling multiple transactions into a single proof and moving them off the main Ethereum chain, L2 rollups significantly increase transaction throughput while maintaining security and decentralization. In simple terms, rollups compress multiple transactions into a batch, which is then validated on Ethereum.
The sequencer, who compiles the compressed batch, is responsible for providing this batch to L1. There is a grace period during which anyone can challenge the batch by providing uncompressed transactions.
While optimistic rollups work seamlessly for Ethereum transactions, they pose a challenge for transactions originating from external blockchains. For instance, Ethereum does not have access to the data needed to prove the validity of transactions that originate on the Polkadot network. This means that the existing approach of rollups cannot be used for such transactions.
Mangata presents an innovative solution to this challenge. The L2 solution that is being built by Mangata will allow transactions originating from external sources to be validated by the Polkadot relay chain. All transactions that cannot be directly verified by Ethereum can be represented as transfers to Mangata’s sovereign account. Mangata then only needs to prove that transactions from the sovereign account are following Mangata rules, and this can be done by showing that the transactions have been finalized on Polkadot.
Since Mangata’s layer 2 solution is aiming to integrate different networks, Polkadot is an ideal choice as it provides shared security and supports interoperability between various blockchains. One of the key advantages of using the Polkadot relay chain is that it guarantees the finality of transactions. Finality refers to the irreversible confirmation of a transaction on a blockchain network. In other words, once a transaction has been finalized, it cannot be reversed or modified.
Mangata’s rollup-based approach enhances transaction validation by extending the rollup scope beyond L1, ensuring secure and reliable handling of external transactions. This makes the ecosystem more adaptable and opens up possibilities for novel use cases. With proof of finality provided by Polkadot, Mangata’s sequencers cannot provide a deviating state to Ethereum. This means that the integrity of the batch of transactions is maintained and the risk of fraudulent transactions is minimized.
The final challenge in Mangata’s approach to handling external transactions using rollups is to create a mechanism for providing verifiable proof of finality from the Polkadot relay chain to Ethereum. This requires the development of a robust system for validating and verifying transactions that have been finalized on the relay chain.
To address this challenge, Mangata developers are working on creating a mechanism that allows easy and reliable verification of what is happening on the relay chain. This involves developing a ZK protocol that can confirm the finality of transactions and ensure that they meet the necessary requirements for being included in the batch of transactions to be processed by the Mangata network.
Mangata presents a groundbreaking interchain DEX that combines Ethereum rollups and Polkadot parachain technology to address the challenges in decentralized finance. By extending Layer 2 capabilities and solving external transaction issues, Mangata contributes to a more adaptable and secure ecosystem. Through continuous research and development, Mangata is working to improve cross-chain interactions and drive the evolution of decentralized finance.
Keep an eye out for the next chapter soon!
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Mangata is on a mission to become the #1 interchain DEX, offering traders and liquidity providers the best platform to access native tokens and earn rewards.
We believe that everyone should have the opportunity to participate in the decentralized economy and benefit from the power of blockchain technology. That’s why we are creating a user-friendly platform that makes it easy for users to trade, provide liquidity, and earn from multiple passive income streams through double staking rewards, even if they are new to crypto.
Mangata will offer access to the widest array of tokens from all chains, better prices for traders by mitigating MEV, and the ability to trade without gas.
At Mangata, we’re dedicated to building a fair and transparent platform that puts the needs of users first, offering the lowest fees for traders and the highest rewards for stakers. We’re committed to continuously improving our platform and offering new features that provide even more value to our users.
Join us on our mission to become the #1 interchain DEX and unlock the full potential of the decentralized economy.
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