Smart contracts have revolutionized the digital world by making it possible to do business without intermediaries. However, the current smart contract technology has several drawbacks that prevent it from being widely used. These limitations include slow transaction speeds, security risks, and the lack of a standardized framework. To address these issues, a new blockchain-based smart contract protocol has been invented. It goes by the name of THORchain and it has the potential to completely transform the way smart contracts are used. In this article, we will be exploring the advantages of using THORchain, as well as the problems it aims to solve. Once you are finished reading, you should have a better understanding of how THORchain works and why it could be the smart contract protocol of the future.
What Is THORchain?
THORchain is a blockchain-based smart contract protocol developed by the team behind the World Wide Web. It aims to solve the issues faced by existing blockchain protocols by using a hybrid consensus mechanism that combines elements of both proof-of-work (POW) and proof-of-stake (POS).
How Does THORchain Work?
The core feature that makes THORchain stand out among other smart contract protocols is the hybrid consensus mechanism. This is what enables it to overcome some of the limitations faced by existing blockchain protocols.
It works by using the Delegated-Proof-of-Stake mechanism on a separate consensus blockchain. This means that the THORchain network doesn’t have to deal with the same security issues that plague POW-based blockchains.
This also solves one of the problems with the Ethereum network that has led to the creation of EOS. One of the main issues with the Ethereum network is the high transaction fees. This makes sending transactions through the Ethereum network very expensive.
To combat this, EOS has created a blockchain that uses a Delegated-Proof-of-Stake consensus mechanism. We consider this a good thing for the future of smart contracts.
What Makes THORchain Different from Existing Smart Contract Protocols?
One of the main problems with existing smart contract protocols is their limited scalability. This has led to several industries adopting blockchain only as a pilot project. The limitations of current smart contract protocols are well documented.
Here are some of the issues that THORchain aims to solve.
High transaction fees - The THORchain protocol will be able to process high volumes of transactions with low transaction fees.
Private transactions - Another shortcoming of existing smart contract protocols is their inability to process private transactions. With a hybrid consensus mechanism, the privacy of transactions will be protected.
Data security - The security of smart contract data has been a long-standing issue that has prevented widespread adoption of blockchain technology. With the hybrid consensus mechanism, the THORchain network will be able to process private transactions while maintaining data security.
How to Get Involved with the Development of THORchain
The THORchain team is currently looking for contributors who are interested in helping to build the THORchain ecosystem. If you would like to get involved, here are some ways to get started.
Download the whitepaper - The whitepaper for THORchain is available for download on the website in the “how it works” section. If you want to get involved before the crowdsale, you can also download the whitepaper here. Follow the progress on the Website - Apart from the whitepaper, you can also follow the progress of the project on the website. On the website, you will find information about the project, as well as information on how to get involved. Follow the project on Github - Apart from the website and the whitepaper, you can also follow the project on Github. This gives you access to all of the latest developments in the project as they happen.
We have all experienced the frustration of trying to do business with another person and not being able to complete the transaction due to a language barrier, a lack of trust, or a third party who holds the power to approve or reject the transaction. The beauty of smart contracts is that they are completely automated and trust-free. This means that two parties can conduct business with each other without the need for a third party to mediate the transaction.
However, smart contracts have several shortcomings that prevent them from being used on a large scale. Currently, they are too slow, they are not private, and they are not scalable. THORchain aims to address these issues by using a hybrid consensus mechanism that integrates the benefits of both POW and POS.
If you are interested in the future of smart contracts, or you just want to see a new protocol achieve mainstream adoption, then you will want to keep an eye on the progress of THORchain.