Author: Alex Mizrahi 2014-11-03 12:12:26
Published on: 2014-11-03T12:12:26+00:00
A paper describing side-chains, 2-way pegs and compact SPV proofs has been written by Blockstream, with additional authors Andrew Poelstra and Andrew Miller. However, there has been minimal discussion of the paper's contents in mailing lists, other than Peter Todd's reaction on Reddit. The paper suggests that sidechains will be secure because they use DMMS, the same security mechanism as Bitcoin. However, coins such as alt-coins also use DMMS but are not as secure as Bitcoin. Furthermore, the paper does not make it clear what conditions are required for the proposal to work. The authors mention a problem with hashpower attack resistance, which needs to be solved before the proposal is viable. Additionally, the paper tries to downplay the risk of fraudulent transfers by increasing the contest period when this is not necessarily a solution. Overall, the paper has been deemed disappointing and may lead to research focusing on a flawed area.
Updated on: 2023-06-09T03:23:43.538143+00:00