Blockchains takes advantage of its shared network and decentralized nature to function. Notably, the Bitcoin network was the pioneer in employing open ledger technology to achieve that purpose.
This groundbreaking innovation led to how value can be exchanged instantly without a third-party using algorithm without compromising security. The achievement of the first market movers (Bitcoin) spurred other projects leading to the inception of entities like Ethereum that brought forth tools and mechanisms like Smart Contracts, significantly altering how we do many things today.
The rise of the Decentralized Finance (DeFi) and Decentralized Applications (dApps), which are concomitant of the inception of Smart Contracts, realized that several of these projects would not work well if there is no access to real-world information like the value of cryptocurrencies among others. Besides, some protocols would produce extremely unsatisfactory applications and user support if they were isolated from the actual environment in their inherent Blockchain.
Band Protocol Changed The Game
Then came Band Protocol to breathe fresh air into the ecosystem to make things different and functional. The project describes itself as a cross-chain data reliable oracle platform that aggregates and connects real-world data and APIs to smart contracts.
Oracles are essentially data from validated origins fed to stimulate Smart contracts. In Decentralized Finance, this information can be a digital asset. At the same time, other use cases, it extends from the pace of, for instance, vehicles for the decentralized application of Internet of Things (IoT), to temperature vacillations in climate dApps.
Built on the Cosmos Network using the Cosmos SDK, it was initially for a community-focused climate of the Ethereum-based variant of the protocol. This version comprises many data-based alliances, separately with their different tokens supported by the Band Protocol token known as BAND, and wavered in price depending on the need for data.
However, it changed the locus to functional oracle protocol that is more agile, affordable, and more favorable for developers. Therefore, the Band Protocol became a decentralized oracle structure for Blockchain dApps.
Utilizing Smart Contracts to manage dApps fed via off-chain, real-time data selected, organized, and presented using professional or expert knowledge supported by substantial financial influences guaranteeing accurate data.
The method excludes the constraints of dApps as smart contracts get linked to real-world information. Further, dApps can correlate to any public API, receive feeds with confirmed data without relating through a centralized outfit, consequently ensuring data protection, accessibility, and safety, notwithstanding the request for data.
How It Works
The new face of Band Protocol came with the BandChain, which is enormously more manageable with its Consensus Mechanism of a Delegated Proof of Stake (dPoS) responsible for precise data. In other words, It is basically, a system of delegators (info seekers) and validators (data providers), who assure regular and reliable outside data.
If you want to ask for data from the Band Protocol, you will tender a Smart Contract to the BandChain bearing information of the specific needs and how you want it packaged. The request is then assigned to a validator based on his/her contribution in the network.
These validators provide the information by retrieving the data from the origins defined by the Smart Contract and by combining several separate elements. The next step is that the data goes into storage on the BandChain where it is immediately accessible by anyone who requests for it.
As the native currency of Band Protocol, BAND’s utility functionality is what makes the BandChain ecosystem works smoothly. It is precisely like the lifeblood of the entire system.
With their role of providing data and generating new blocks, Validators are very crucial to the network. In exchange for their work, they get rewarded with BAND tokens, and they have the prerogative to set their charges for the services rendered.
Join Band Protocol Community
To get to know more about Band Protocol by being a part of one of their communities online. It is an opportunity to communicate with the team and hodlers of BAND.
Below are links to their social media accounts:
If you have a technical eye, then the best place to go is the Band Protocol’s Github, where you can check the source code. Remember, don’t trust, verify!