The Good Tech Companies - The Agoric Ecosystem: A Look at Blockchain Innovation and Growth

Episode Date: December 24, 2024

This story was originally published on HackerNoon at: https://hackernoon.com/the-agoric-ecosystem-a-look-at-blockchain-innovation-and-growth. Agoric is a new platform for building smart contracts on top of the Cosmos SDK. Check more stories related to web3 at: https://hackernoon.com/c/web3. You can also check exclusive content about #web3, #blockchain, #dlt, #cryptocurrency, #agoric-news, #agoric, #agoric-announcement, #good-company, and more. This story was written by: @ishanpandey. Learn more about this writer by checking @ishanpandey's about page, and for more stories, please visit hackernoon.com. Agoric is a new platform for building smart contracts on top of the Cosmos SDK. It uses Hardened JavaScript, a secure variant of JavaScript already familiar to 17 million developers worldwide. The Zoe Framework standardizes how digital assets are managed. It's similar to how banks handle different types of accounts through standardized processes.

This audio is presented by Hacker Noon, where anyone can learn anything about any technology. The Agoric Ecosystem, a look at blockchain innovation and growth, by Ashan Pandey. Blockchain technology can be complex, and moving assets between different blockchains often feels like navigating a maze. Agoric, built on the Cosmos SDK, aims to simplify this process through hardened JavaScript-based smart contracts and a two-token system. This analysis looks at what Agoric brings to the table, how it works, and what its developments mean for users and developers. Technical foundation and innovation. Most blockchain platforms require developers to learn entirely new programming languages. Agoric takes a different

approach by using hardened JavaScript, a secure variant of JavaScript already familiar to over 17 million developers worldwide. This approach reduces entry barriers for developers while improving security. Agoric's smart contract framework introduces two primary tools. The Zoe framework helps developers build secure applications. It's like having a safety system that checks every step of a process to ensure nothing goes wrong when people trade digital assets. When developers create new applications, Zoe helps prevent common mistakes that could put user funds at risk. The design guarantees users either receive their desired outcome in a transaction or get a refund,

even if a smart contract behaves unexpectedly. Backslash.ertp, Electronic Rights Transfer Protocol, standardizes how digital assets are managed. Whether developers handle fungible tokens, NFTs, or other complex asset classes, ERTP ensures they follow the same rules for creation, transfer, and exchange. It's similar to how banks handle different types of accounts through standardized processes. Backslash.agoric also supports asynchronous, multi-block workflows, a distinct feature among blockchain platforms. This capability enables long-running processes that span multiple blocks, complex cross-chain operations with multiple transactions, automated actions triggered by

on-chain timers. For example, Agoric's fast USDC system successfully reduced asset transfer times from 16 minutes to 2 minutes, improving user efficiency for cross-chain transactions. The role of BLD Agoric employs a dual-token Model 1. BLD serves as the staking and governance token, securing the network through proof-of-stake, POS, and allowing holders to vote on governance proposals. 2. EAST is the stable token used for transaction fees and smart contract execution. Backslash dot. This separation contrasts with single token models like Ethereum's ETH and Polkadot's DOT, where tokens serve multiple purposes, resulting in scalability challenges and fee volatility. Agoric's design isolates

network security, BLD, from execution fees, EAST, leading to predictable execution costs unaffected by network congestion. Clearer economic incentives for validators, stakers, and developers. Backslash.BLD operates similarly to Cosmos' Atom token, enabling governance participation. Through staking, BLD holders secure the chain, delegate tow validators, and vote on ecosystem decisions. Ecosystem development and integration. Recent developments and partnerships demonstrate the growing utility of Agorix infrastructure. Agorix Orchestration API plays a central role in addressing key challenges in blockchain interoperability. By automating complex cross-chain workflows and enabling seamless

communication between blockchains, the API simplifies development processes and reduces friction for users. NN a prominent example is Agorix partnership with Native, which facilitates direct Bitcoin transactions within the Cosmos ecosystem. Traditionally, using Bitcoin across blockchains requires converting it into wrapped tokens like WBTC, adding complexity and potential security risks. By leveraging the orchestration API, Native eliminates the need for wrapped tokens, allowing Bitcoin to operate directly within Cosmos-based applications. It's like using your home currency abroad without currency exchange.

The API has also been applied to streamline USDC transfers, improving the speed and reliability of cross-chain financial transactions. This shows Agoric's ability to handle real-world assets securely and efficiently. In addition, Agoric integrates with Cosmos' liquid staking protocols, allowing the use of Statum as collateral for Minting East. This improves capital efficiency within the ecosystem while maintaining security through robust collateralization and represents a strategic alignment with broader DeFi trends. N.N. Other recent developments include. Unions asset transfers. Improves asset mobility between major ecosystems like Ethereum and Cosmos, supporting greater liquidity and usability.

Backslash. BitGo's institutional support. Enables secure custody for BLD, increasing accessibility for institutional participants and providing essential infrastructure for broader adoption. These integrations reflect Agoric's emphasis on providing practical solutions to blockchain interoperability and liquidity challenges. By simplifying workflows and enabling secure asset movement, the orchestration API addresses key painpoints in decentralized finance and multi-chain ecosystems. Technical challenges and solutions Building bridges between blockchains introduces challenges, such as long transfer times and

fragmented liquidity. Agoric addresses these issues with targeted solutions reduced transfer delays. The fast USDC system reduces cross-chain transfer times to approximately 2 minutes, compared to traditional systems that may take over 15 minutes. Security. Partnerships with projects like Union Leverage advanced cryptographic methods, such as zero-knowledge proofs, techniques that allow data verification without exposing the data itself, to secure inter-chain transactions. Native Bitcoin compatibility. Collaboration with native enables direct Bitcoin use in the Cosmos ecosystem without wrapping, mitigating risks associated with synthetic assets like WBTC.

Conclusion. Agorix technical infrastructure, including the Zoe framework, ERTP, and support for asynchronous multi-block execution, creates a secure and accessible environment for blockchain developers. By separating network operations, BLD, from execution fees, EAST, its dual-token system effectively addresses scalability and fee predictability challenges observed in other ecosystems. Recent advancements, such as native's direct Bitcoin compatibility and liquids taking with Statum, highlight Agoric's focus on solving real-world challenges in multi-chain environments. These developments, coupled with tools like the Orchestration API, improve developer accessibility and streamline workflows, contributing to the broader growth of decentralized finance and blockchain interoperability.

For developers looking to simplify complex multi-chain applications, Agoric's orchestration API offers a powerful toolkit to automate workflows and enable cross-chain communication. NN with its focus on usability, interoperability, and security, Agoric represents an innovative platform that equips developers, investors, and ecosystem participants with the tools to build a more connected and efficient Web3 future. The true test will be in its continued adoption as blockchain solutions scale to meet real-world demands. Don't forget to like and share the story. Tip Vested Interest Disclosure. This author is an independent contributor

publishing via our business blogging program. Hacker Noon has reviewed the report for quality, but the claims herein belong to the author. Hashtag D-Y-O-R. Thank you for listening to this Hacker Noon story, read by Artificial Intelligence. Visit HackerNoon.com to read, write, learn and publish.