Starting sidechained Liquid to bitcoin-exchanges will be held in early 2018

in #bitcoin7 years ago

A commercial application based on the technology of Liquid Saidjanov from the company Blockstream will be launched in the first quarter of 2018. It is reported by BraveNewCoin.

A sidechained Liquid, the end of 2015, worked in test mode was launched in beta mode in may of this year. The technology is designed to service bitcoin exchanges, processing services and traders, reducing the time required for transactions between different accounts.

Despite the fact that the Liquid is essentially private bacchanal, he, unlike many closed for systems built on top of the bitcoin blockchain and help to reduce the time to move funds between exchanges to a few seconds.

In the terminology of the Blockstream developers, network Liquid consists of a Federation of operators of functionaries, who, in the performance of specific conditions, perform a specified operation. Functionaries have the ability to control transfers of assets between blockchains, and can define consensus for the sidechained.

As noted by the Director of production Blockstream Ben Gorlick, the upcoming launch of version 1.0 of the Liquid will support up to 15 functionaries, each of which will be placed in geographically dispersed and independently managed bitcoin exchanges.

"Some of them can be disabled without compromising the functioning of the system. And even if the system "lie", there are numerous ways to guarantee the safety of customer funds," said Ben Gorlick.
The Blockstream team also makes a reservation that the launch of a Liquid is largely dependent on the activation of the network of the bitcoin Protocol SegWit. In addition, a possible side effect may be a reduction in existing traffic.

However, as the developers insist, the technology will facilitate the process of trading, arbitrage and provide liquidity.

"Liquid and assists in scaling the network, reducing the pressure on the bitcoin blockchain, if traders decide to keep the balances in the network of Liquid or use it to transfer large amounts of bitcoins between exchanges," says Gorlick.
Thus, the main innovative solution is a wallet which users can use to securely store bitcoins outside of the exchanges. Thus they have the ability to quickly move the coins when the need arises.

"Liquid is a more reliable and efficient system to move bitcoin related exchanges," added the Director on strategic issues Blockstream Samson MOU.
Over the last few months technology Liquid have tested several well-known cryptocurrency exchanges, including Bitfinex, BTCC, Kraken, Xapo and Unocoin.

We will remind, in January of 2017, the company introduced a new Blockstream whitepaper draft Saidjanov that contains the updated consensus mechanism and trust model, and a description of the mechanisms that ensure the return of funds sent to the parent chain in case of failure.

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