What are the different functionalities that RSK will bring to the Bitcoin Network to make it more capable than ever?
RSK formerly known as Rootstock is an acclaimed startup which has garnered a lot of attention in the past 3 years. The only reason why RSK made a name for itself since 2015 is because RSK made it possible to pave the way for implementing Ethereum-style smart contract on the Bitcoin Blockchain network. It is often believed that with the implementation of Ethereum style smart contracts, RSK will help Bitcoin to keep the world’s topmost Cryptocurrency competitive. RSK gave rise to the idea of making a more complex self-executing code that can be run on a Blockchain.
Rootstock or RSK Definition –
RSK comes from a Turing-complete Cryptocurrency known as QixCoin back in 2013 by the same development team. And today Rootstock is a smart-contract platform which is dedicated to incorporate a Turing Complete Virtual Machine to Bitcoin Network. RSK will also facilitate better scalability, features, and most importantly faster transaction rate. With RSK, The Bitcoin network will have a very much improved payment experience along with almost immediate confirmation. It is estimated that RSK has achieved 300 TPS and these payments took less than 20 seconds. Now some hard facts, RSK also relies on the same security guarantees which are similar to the Bitcoin Network, so you can easily conclude that RSK supports SHA-256 merged mining.
Ethereum has the Turing-complete smart contract embedded in its network. And this is the same exact thing that the RSK project is aiming to build. To make sure that this is achievable, RSK partnered with iExec in order to provide an off-chain computing to the Bitcoin application. This is not the only thing RSK is capable of, with RSK Decentralized applications get the ability to be accessed by anyone on-demand and the ultimate cloud computing resources. It also aims to add functionality and value to the Bitcoin’s ecosystem by implementing smart contracts with higher scalability and near instant payments.
This makes it easier to comprehend that the capability which RSK holds can only be brought to the Bitcoin network with the help of a sidechain and this won’t upgrade the Bitcoin Blockchain altogether. The Sidechain will move the tokens from the main Bitcoin network to a different and compatible network which can be operated with the help of 25 companies.
RSK and Sidechain
In the recent scaling debates, it was seen that the RSK’s “federated” Sidechain undergoes a notable difficult process is changing the Bitcoin’s code. The process is difficult as one slight change it might give rise to technical repercussions on a different part of the system to such a large extent that it might change the rules of a Blockchain. A slight change in Blockchain is often contrasted to tear out the engine and repair it all together. The reason why developers use Sidechain to carry out the brand new experimental technologies on Bitcoin is simply that it’s easier and this won’t hamper the Bitcoin Blockchain network at all. This process helps to pin new and innovative technical features to the Bitcoin. The role of users here is to test and try the new features by moving money into the Sidechain.
At the technical level, merge-mined sidechains aren’t ready for primetime. The RSK developers rely on a group of companies called the “federation” and as sinister the name “federation” sounds they are completely harmless and are tasked to collectively control the flow of money which is put into the Sidechain and this has always been the original dream of sidechains, to move money back and forth between the Bitcoin network and the Sidechain without having to trust anyone. The “federation” and the RSK developers are running experimental smart contracts on the test net for some time now and only they can access the “SMART BITCOIN” (SBTC) which is needed to run smart contracts on the Sidechain.
What are SBTCs?
SBTC is the digital tokens which are equivalent to Bitcoins which lives in Rootstock’s Blockchain. These tokens can be transferred back to Bitcoins with no additional cost and at any time of the day but there is a Rootstock standard transaction fees that you’ve got to keep in mind. Long story short, SBTC is the base currency which is used on the RSK Sidechain to pay the miner for contract processing and for the transaction.
People are talking about creating new technologies to help push the boundaries of the Cryptocurrency. It is evident that every now and then new technologies come out with an aim of revolutionising these cryptocurrencies in one way or the other. Now coming to Bitcoin, the Bitcoin users want more complex smart contract just to make a little switch and on the other hand rest of the users feel that Bitcoin is the largest and the secured Cryptocurrency and there will be many more experimental features to debut in the future on the Bitcoin network. What will come out of this? Well with this, they can capitalise Bitcoin’s impressive startup infrastructure as well as serve different users.
Rootstock here is the first general purpose smart contract platform which is secured by the Bitcoin network. The BTC is used as the native currency by the RSK with the help of a 2-Way Peg system. And the best part is that this system guarantees a fixed rate conversion between the BTC and the SBTC at a ratio of 1-1.
Rootstock governance model:
- Miners can vote with hashing power.
- Users of Bitcoin and Rootstock will be able to vote with PoS.
- Bitcoin core developers, as well as Rootstock developers, will have a special voting system.
The Bitcoin miners can participate in the Smart Contract market by adding a significant value to the mining industry and to ensure a long-term sustainability.
Furthermore, it is set to contribute to creating a broader base of miners to strength the Bitcoin network’s security. It will also enlist the development of an instant, Decentralized and an inexpensive financial system that in turn will create an inclusion and opportunity for more than three thousand million unbanked and financially impaired people in our world.