February 1st What is Zeta Chain (ZETA)?
in education, tokens
ZetaChain is a layer 1 (L1) blockchain and smart contract platform with the unique ability to connect to any existing blockchain, from mainnet layers like Ethereum to non-smart contract chains like Bitcoin and Dogecoin. I’m proud of it. This omnichain functionality allows ZetaChain to manage assets, data, and liquidity across a variety of networks, regardless of whether they have underlying smart contract functionality or not.
The rapid proliferation of blockchains and layers has fragmented the cryptocurrency environment, creating challenges for users and developers in terms of complexity, security risks, and operational difficulties. ZetaChain addresses this fragmentation by providing a single, streamlined point of access to all blockchain ecosystems, reducing complexity and security risks.
Zeta Chain (ZETA)
ZetaChain is a versatile blockchain platform featuring omnichain capabilities that enable seamless interaction and functionality across various Web3 blockchain networks. This approach addresses the fragmented and siled nature of the current cryptocurrency environment, providing a unified and secure platform for both developers and users to participate in the entire cryptocurrency ecosystem.
At the heart of ZetaChain’s innovation are omnichain smart contracts. These contracts are designed to interact across multiple chains, providing an integrated, seamless, and secure interface to the entire cryptocurrency ecosystem. Ethereum, Bitcoin, Cosmos, Tron, etc. ZetaChain’s smart contracts can coordinate data and funds across these networks through a single contract, simplifying the process for both developers and users.
ZetaChain operates through a network of nodes that observe and agree on events occurring on external chains. These nodes then pass information to ZetaChain’s Omnichain smart contracts, which serve as a single source of truth while maintaining the state of assets and data across connected chains. The platform uses a chain-agnostic messaging system to allow existing smart contracts to easily transfer data and value across multiple chains.
Built on the Cosmos SDK and Tendermint consensus, ZetaChain connects to external blockchains and layers in a decentralized, transparent, and efficient manner. The architecture includes verifiers, observers, and signers, each of which plays a critical role in maintaining the integrity and functionality of the network. ZetaChain security is further enhanced through leaderless Threshold Signature Scheme (TSS), which improves security and transparency by ensuring that no single node or individual has access to the complete private key.
How ZetaChain Works
Zetachain introduces an innovative approach to blockchain interoperability, presenting a public, chain-agnostic omnichain blockchain. It aims to serve as the base layer for a decentralized internet, seamlessly connecting various blockchains, including Ethereum, Bitcoin, and emerging networks, solving the fragmentation issues prevalent in the current Web3 multi-chain environment.
ZetaChain provides an integrated yet decentralized execution environment similar to that provided by centralized exchanges (CEXs), but in a more open and programmable manner. This environment allows for a wide range of applications across diverse sectors such as social, consumer, gaming, decentralized finance (DeFi), collectibles, etc., as well as exchange and transfer applications.
ZetaChain is designed to enable the convergence of multiple blockchains, providing a solution to the fragmentation and complexity that arises from the continuous emergence of new chains and layers. It provides a single layer where all blockchains can interact, facilitating cross-chain transactions and smart contract operations.
The platform’s native Omnichain smart contracts enable transactions between real native blockchains. These contracts simplify cross-chain interactions by giving developers the flexibility to build decentralized applications (DApps) that can coordinate data and value across multiple chains through a single contract.
Zetachain’s programmability extends to Bitcoin, a chain not traditionally designed for smart contracts. Developers can now create contracts that control native Bitcoin, enabling interactions between Bitcoin and tokens/data from other chains. This integration enables a variety of new applications and use cases related to Bitcoin.
Zetachain is powered by the ZETA token, which is used for a variety of functions including securing the PoS network, paying transaction fees, and participating in governance.
ZetaChain is complemented by ZetaHub, a comprehensive platform for users to engage with the blockchain and ecosystem. The ZetaChain ecosystem also has a strong community, numerous partnerships, and an active grant program for omnichain DApp builders.
Zetachain’s future development includes a core roadmap focused on new chain connections, innovative interactions with Bitcoin, and maintaining open source libraries. The platform aims to expand the potential of cryptocurrency applications across all blockchains, especially in areas such as Omnichain DeFi primitives, Bitcoin collateral, native token staking, and social/gaming/identity applications.
Why is ZetaChain unique?
ZetaChain’s unique proposition is its ability to bridge the gap between various blockchain ecosystems and play a key role in advancing the vision of a more interconnected and accessible blockchain-based Internet, or Web3.
ZetaChain’s mission is to return cryptocurrency to its decentralized roots, provide a platform that is open and accessible to all, and enable a world where developers and users can seamlessly interact with any blockchain.
What is the ZetaChain Ecosystem?
The ZetaChain ecosystem represents a comprehensive and diverse network of partnerships, applications and support systems, creating an environment suitable for innovation and growth in the Web3 space.
ZetaChain has established over 200 extensive partnerships with various entities across the blockchain infrastructure and decentralized application (dApp) sectors. These partnerships include essential service providers such as validators, remote procedure call (RPC) services, application programming interface (API) providers, oracles, wallet services, subgraphs, explorers, and more. This collaborative network aims to ensure that the Zetachain platform is robust, versatile, and well-supported post-launch.
ZetaChain has seen approximately 46,000 dApp contracts deployed on its testnet. These applications span a variety of domains, including DeFi, gaming, digital identity, social media, Decentralized Autonomous Organization (DAO) tools, and cross-chain Non-Fungible Tokens (NFTs). This diversity indicates that Zetachain supports a variety of use cases and applications, making it a versatile platform for developers.
Zetachain has established a $5 million grant program to support the development of omnichain dApps that leverage cross-chain capabilities. This program is a significant investment in the developer community, encouraging the creation of innovative applications that leverage Zetachain’s unique capabilities. These initiatives can greatly accelerate the growth and diversity of applications within the ZetaChain ecosystem.
ZetaChain actively engages with the developer community, including sponsoring major industry hackathons, partnering with organizations like StackUp to enhance developer education, and providing dedicated support through the Discord Dev Zone. Programs like Dev Office Hours highlight Zetachain’s commitment to fostering a vibrant and well-supported developer community by providing personalized advisory support.
What is ZETA token?
The ZETA token is an essential component of the ZetaChain ecosystem, providing several important features across the platform. ZETA tokens play a central role in ZetaChain’s PoS consensus mechanism. Validators secure and maintain the network and in return receive block rewards and transaction fees paid in ZETA. This encourages them to act in the best interests of the network. ZETA also applies a slashing mechanism to ensure validators comply with network protocols.
- ZETA is used to pay transaction fees (or gas) on the ZetaChain network. This includes transactions within ZetaChain’s Ethereum Virtual Machine (EVM) and cross-chain transactions. Using ZETA for transaction fees helps protect your network from spam and DDoS attacks.
- In ZetaChain’s cross-chain messaging system, ZETA is used to facilitate the transfer of value between different blockchains. When a message is sent through the chain, ZETA is burned on the source chain and created on the destination chain, allowing for a seamless transfer of value without creating new wrapped assets.
- ZETA, along with other off-chain assets, forms the core liquidity pool that allows users to trade across ZetaChain and connected chains. Liquidity providers in these pools are compensated with transaction fees and other incentives to drive liquidity and enable efficient cross-chain trading.
- ZETA token holders have the right to participate in the governance of the ZetaChain network. They can influence the direction and development of the Zetachain ecosystem by proposing changes and voting on various network and policy upgrades.
ZetaChain Token Economics
The total initial supply of ZETA is limited to 2.1 billion tokens. The protocol plans to transition to a target inflation rate of approximately 2.5% per year after the first four years, based on current circulating supply. This approach aims to sustain the network over the long term.
ZetaChain’s governance model allows modifications to monetary policy and other network aspects to adapt to the evolving needs of the ecosystem. ZETA is not only a vehicle for transaction fees, but also has the potential to be burned over time through mechanisms such as EIP 1559, reducing total supply. It plays a key role in the protocol’s core pool for exchanging ZRC-20 gas assets needed to execute outbound transactions to external chains.
How to buy ZETA with cryptocurrency
1. Create an account by logging in or signing up for a Bitfinex account.
2. Go to the deposit page.
3. In the Cryptocurrency section, select the cryptocurrency you want to purchase ZETA from and create a deposit address in your Exchange wallet.
4. Send cryptocurrency to the generated deposit address.
5. Once the funds arrive in your wallet, you can trade them with ZETA. Learn how to trade on Bitfinex here.
How to buy ZETA with fiat money
1. Create an account by logging in or signing up for a Bitfinex account.
2. Depositing fiat to your Bitfinex account requires full verification. Learn about the different certification levels here.
3. On the deposit page, select the fiat currency you wish to deposit from the bank transfer menu. Bitfinex has a minimum amount for fiat deposits. Learn more here.
4. Check your registered email with Bitfinex for remittance details.
5. Send funds.
6. Once the funds arrive in your wallet, you can use them to purchase ZETA.
Plus, you have Bitfinex on your mobile, so you can easily buy ZETA currency on the go.
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ZETA Community Channel
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