Multiple blockchain ecosystems are emerging that provide unique and distinct features attractive to users and application developers. However, communication across the ecosystems could be more sparse and cohesive; Axelar enables applications to communicate across blockchain ecosystems frictionlessly.
Axelar is the universal overlay network, securely connecting all blockchain ecosystems, applications, assets and users to deliver Web3 interoperability. It is a full-stack decentralized transport layer that meets the growing demand for cross-chain services with maximum blockchain security and composability.
Axelar is a decentralized open network of validators that powers the network; anyone can join, use it, and participate. Anyone can join the network, participate, and use it. The underlying network is optimized for high safety and liveness requirements unique for cross-chain requests. Axelar network also includes a protocol suite and APIs. The core protocols are:
Cross-Chain Gateway Protocol (CGP)
This protocol is analogous to the Border Gateway Protocol on the Internet. This protocol connects multiple autonomous blockchain ecosystems and is responsible for routing across them. Blockchains do not need to “speak any custom language,” their platform developers do not need to make any custom changes to their chains, and their chains can be plugged into the global network easily.
Cross-Chain Transfer Protocol (CTP)
This protocol is analogous to application-level protocols, File Transfer, and Hypertext Transfer Protocols on the Internet. It is an application-level protocol stack that sits on top of routing protocols (such as CGP and other routing technologies). Application developers can connect their dapps on any chain to perform cross-chain requests. Users can use the CTP protocol to interact with applications on any chain using simple API calls analogous to HTTP GET/POST requests. Developers can lock, unlock, and transfer assets between any two addresses across any blockchain platform and execute cross-chain application triggers.
The Axelar network supports Turing-complete general message passing atop its core liveness and safety properties. This functionality enables application developers to build their custom cross-chain security policies. For instance, a DeFi application may impose additional limits on the volume of transferred funds, repeat transactions, co-authoring large transfers, etc. These application-specific features can work alongside the network requirements to deliver an even stronger security guarantee.
AXLERC20 is the native token of the Axelar network and is used to reward ecosystem builders and community contributors. It’s chain-agnostic, so its ERC-20 representations will live on all connected chains, including Ethereum. wAXL ticker is recommended to be used for the ERC-20 representation. 1 AXL = wAXLERC20 and can be swapped by anyone via the Axelar permissionless layer via bridge front-ends such as satellite.money.
Native AXL addresses have the axelar prefix, while AXLERC20 addresses have the 0x prefix, the same as other Ethereum addresses. The ERC-20 version of the AXL token (wAXL) is one such cross-chain representation of a token. In this case, the AXLERC20 token, natively issued on the Axelar blockchain, is held in a Gateway on Axelar and minted by a Gateway smart contract on an EVM-compatible blockchain. Anyone can go between the two representations via the Axelar permissionless network, with no custodian in the middle. 1 wAXL will always equal 1 AXL on the Axelar chain.
Who are the founders of Axelar (AXLERC20)?
Sergey Gorbunov is the Co-founder. He is part of the founding team members at Algorand (design and development of the platform and head of cryptography.)
Georgios Vlachos is also the Co-founder and a founding team member at Algorand (design and development of the consensus and head of mathematics.)
What is Axelar (AXLERC20) used for?
It allows developers to build on the best platform for their use case, providing connections to users, assets and data on every other ecosystem without excessive gas fees, additional development costs or rolling out their cross-chain infrastructure.
AXLERC20 is a medium for transaction fees and any other fees for network usage paid by users to the network’s validators.
Holders and their proxies use AXLERC20 to stake and exercise governance over proposals (such as a parameter change or protocol upgrade).
Reward and incentives
AXLERC20 enables incentives to support the decentralized Proof-of-Stake consensus that secures the network and validates transactions on the chain. Validators receive AXLERC20 rewards as incentives to continue to secure the network. These incentive rewards are distributed programmatically, per rules encoded in network protocols, and are inflationary,
Axelar delivers secure cross-chain communication. That means dApp users can interact with any asset, any application, on any chain, with one click. You can think of it as Stripe for Web3. In short, Axelar is a blockchain infrastructure that enables users who own assets on one blockchain to securely use these assets in any application on any other blockchain.
AXLERC20 has other uses, too: it is a chain-agnostic token. Built on Cosmos SDK, it is compatible with any IBC chain. And it can be easily wrapped as an ERC-20 compatible token (wAXLERC20) for trading and other uses.
The Axelar network supports arbitrary message passing, but certain major assets (USDC, FRAX, ETH) are implemented as “routing” assets on the network, which allows applications to send tokens with messages in one function. These assets are subsequently locked and minted across the Axelar gateways. The gateways have a rate-limiting function, which limits how much of each asset can be transferred in a given time interval.
As part of the consensus validators run light-client software of other blockchains as part of the consensus, allowing them to verify the state of other blockchains. The validators report these states to the Axelar blockchain, and once enough of them report, the state of Bitcoin, Ethereum, and other chains is recorded on Axelar. Subsequently, the Axelar base layer is aware of the state of external blockchains at any point in time, creating the “incoming bridges” from other blockchains.
How is Axelar (AXLERC20) unique?
Axelar network provides a uniform solution to cross-chain communication that meets the needs of both platform developers – no integration work is required from them, and application builders – one simple protocol and API to access global liquidity and communicate with the entire ecosystem. Axelar network consists of a decentralized network that bridges blockchain ecosystems that speak different languages and a protocol suite with APIs, making it easy for applications to perform cross-chain requests.
The network connects stand-alone blockchains such as Bitcoin, Stellar, Terra, and Algorand and interoperability hubs such as Cosmos, Avalanche, Ethereum, and Polkadot. Axelar enables application developers to build such apps more easily using a universal protocol and API without rolling out their proprietary cross-chain protocols underneath or rewriting applications as new bridges are developed.
Axelar blockchain follows a Delegated Proof-of-Stake (DPoS) model similar to Cosmos Hub. Users elect validators who must bond their stake to participate in the consensus and maintain high-quality service. The DPoS model allows the maintenance of a large decentralized validator set and robust incentives to guarantee that the validators are responsible for maintaining bridges and shares of cryptographic threshold schemes.
How many Axelar (AXLERC20) coins are in circulation?
At the Axelar genesis block, 1 billion AXLERC20 tokens will be issued and allocated to the following stakeholders and programs. It will be shared as follows:
– Core team: 17%.
– Company operations: 12.5%.
– Seed: 13.4%.
– Series A: 12.64%.
– Series B: 3.5%.
Community sale: 5%.
Community programs (incl. insurance fund): 35.96%.
How is the Axelar network secured?
Axelar network addresses the security concerns. It sets the safety threshold to 90%, meaning that almost all validators will need to conspire to withdraw any funds locked by its network or forge state proof. In practice, it has been observed that PoS validators have very high up-time (close to 100%), assuming they are properly incentivized. Hence, the Axelar network will produce blocks even despite this high threshold. However, in the rare case that something goes wrong and the network stalls, the network needs robust fall-back mechanisms to reboot the system described next.
How do I buy Axelar (AXLERC20)?
The AXLERC20 token can be used for a wide range of purposes, like staking and governance.
AXLERC20 tokens can be easily purchased by following the following steps.
Open an account with the crypto trading platform.
* Transfer the specific amount of your fiat currency to your account.
Which Cryptocurrency Wallet Supports Axelar (AXLERC20)?
The PTPWallet platform supports many cryptocurrencies, with AXLERC20 soon to be included. Because of its vast use case, PTPWallet has grown to become one of the most used platforms, as it serves as an exchange and an engine to discover other cryptocurrencies. The platform offers a simple user interface, is supported by both Android and iOS devices, and comes with its own mobile wallet app.