U2U Trust employs the Ethereum Sidechain for its main Blockchain Network. The main goal of the blockchain technology has always been decentralization and security. The main obstacle now for scalability is the fact that every node in network processes every transaction. Hence to improve the scalability the implementation of the Sidechain is introduced. Sidechains are decentralized, peer-to-peer networks that provide useful enhancements (such as security, risk, and performance) for global systems of value exchange that don’t need any other third parties. They enable developers to safely develop new applications without a risk.
The Key points for the U2U TrustChain is:
1. Fully Compatible with Ethereum Protocol with Plasma support: 7 seconds Block Time with 8M Gas Limit allows larger and faster transactions compared to the ETH Mainnet
2. PoA Consensus: The Proof of Authority requires authorized validators which do not require computational resources hence no mining
3. Identifiable DApps: The Applications built on the U2U Infrastructure would be identifiable as verified by the foundation from a regulation perspective
4. Governance: Addition or Removal of validators in the Network is controlled by the validators by the rule of N/2 + 1 (where N is the total number of validators)
5. Security: The Authorized Validators are incentivized with U2U Trust Tokens to provide an up-to-date and secure node on the network. The on-chain voting also eliminates any compromised node in the system.
Sidechain is a blockchain that runs in parallel to the main blockchain which extends functionality through interoperable blockchain networks allowing a decentralized way of transferring/synchronizing your tokens between the two chains. In other words, one can move their cryptocurrency to the sidechain and then back to the main chain. This allows existing tokens from one blockchain (ETH Mainnet) to be securely used within a completely separate blockchain (U2U TrustChain) but still moved back to the original chain if necessary. This is helpful for integrating various 3rd party DApps existing on the ETH Mainnet to leverage the U2U Trust integration and offer their services with more Trust.
Plasma is a proposed framework for incentivized and enforced execution of smart contracts which is scalable to a significant amount of state updates per second (potentially billions) enabling the blockchain to be able to represent a significant amount of decentralized financial applications worldwide.
The Applications on the U2U TrustChain would be validated and identifiable for regulations and compliance with banking and insurance industry.
Decentralized Identity: Decentralized identity services and business entities would be the primary integration strategy to verify the users.
Decentralized Data Storage: U2U Trust Dapps would be using IPFS to store the DApps Data and related documents.
Trust Score – Logic to create the score
1. Finance – Experian, Equifax, Dun & Bradstreet etc. inspired analytical approach
2. Social – Social Index acquired from linked social media accounts
3. Peers/Co-workers – Peer verification within same Employment/Geographical area
4. Friends/Family – Authentication & Verification via Friends or Family
5. 3rd party Business Entities
Trust Ratings: Holders of U2U would be able to suggest on functionality upgrades, features integration and even curate a list of trusted businesses around the world. The curation will be powered by TCRs (Token Curated Registries) which has a decentralized voting to add participants (businesses, companies, NGOs etc.) to the trusted list. This helps create a decentralized Business ranking without any centralization in play. As a user of U2U Trust platform, your incentive is to maintain a popular, high-quality list that attracts List Applicants who want to add their data to your list.