Technically, THXNET. is a cross-organizational data engineering and data governance solution built on blockchain technology, along with the fundamental APIs and applications needed for common business scenarios (customer-facing services and internal organizational governance), such as identity services, end-user data exchange, end-user ranking/scoring and DAOs.
Blockchain technology itself aims to satisfy the greatest demands of Web3: data sovereignty, data sharing, and data retrieval. And Web2.0 indeed needs Web3 to enhance its capabilities, reducing risks and allowing all end-users and businesses to achieve a win-win situation.
However, to achieve practical bridging between Web2.0 and Web3, our investment in the blockchain technology is no less than that of other blockchain projects. Therefore, although THXNET. may appear as a platform of applications, it is actually more akin to a network infrastructure, between Web2.0 and Web3.

Why did THXNET. pick Polkadot Substrate Framework?

According to the experiences of our members over the past 8 years in implementing enterprise-level blockchain and data governance solutions, we need a blockchain technology that is sufficiently modular, flexible, architecture-agnostic, secure, and high-performance. Ideally, through additional capsulizing and layering, end-users should feel no difference between using it and their regular Web2.0 interactions. In short, we believe that using Polkadot Substrate Framework is the shortcut that allows us to achieve these effects.

Why is it necessary to divide the Blockchain Layer into Layer-0 and Layer-1?

The principle of Separation of Concerns can solve components coupling issue and avoid unknown situations when the whole architecture gets huge and complicated.
Several aspects can be improved by this design:
  • Blockchain maintenance
  • Data storage usage
  • Transaction per second
  • Private / Permissioned Layer-1 Blockchain
  • Federated consensus security
By simply letting each Leafchain not affecting each other, it allows THXNET. to have enough flexibility to handle the ever-changing demands in the future.

Does THXNET. provides Layer-2 solution?

THXNET. currently does not consider incorporating Layer-2 into our early plans, as it will not have a significant impact on practicality.
Layer-2 is a concept derived from typical Layer-1 blockchain networks (such as Ethereum or Bitcoin) and mainly involves using additional mechanisms (which can be based on consensus algorithms) to process complex computations and state changes on Layer-2 before finalizing on Layer-1.
However, in THXNET. architecture, we believe that blockchain should only store essential messages, digital signatures, and events. Outside the blockchain layer, any individual, organization, or network can perform additional computations or data aggregation based on the confirmed messages, digital signatures, and events on Layer-0 and Layer-1. The Data Mesh Layer is designed for this purpose.
If anyone has doubts about the results or processes conducted in the Data Mesh Layer, they should verify the corresponding chain data and the data lineage in data mesh. Since these computations are replayable (using Event-Sourcing methodology), this approach positively helps improve the end-users' experience of TPS, and simplifies the complex recovery processes like in Layer-2.

What is federated consensus security?

Federated consensus security in blockchain refers to a consensus mechanism where a group of selected nodes, across different layers of the network, is responsible for validating and approving state changes in every network, together.
In THXNET., All validators on the Rootchain (including the validators setup by the members who uphold their Leafchains) will collectively observe and protect all Leafchains.

What is DAO? Why is it needed?

A Decentralized Autonomous Organization (DAO) is an organization that is governed by rules encoded as computer programs on distributed system. The main components of a DAO include smart contracts, consensus mechanisms, and a shared ledger (chain data). DAOs are designed to be transparent, autonomous, and resistant to censorship, as their governance and decision-making processes are decentralized among participants.
DAOs are needed for several reasons:
  • Decentralized decision-making DAOs allow multiple stakeholders to participate in the decision-making process, reducing the influence of central authorities and distributing power among participants. This can lead to more democratic and inclusive organizational structures.
  • Transparency and trust Since all state changes and decisions are recorded on blockchain, DAOs promote transparency and trust among participants. Everyone can inspect the rules governing the organization and verify transactions, reducing the potential for fraud and corruption.
  • Reduced bureaucracy and lower costs DAOs automate many administrative tasks using smart contracts or off-chain workers, which can significantly reduce bureaucracy and operational costs. This efficiency allows organizations to focus on their core objectives and be more agile.
  • Adaptability and resilience The decentralized nature of DAOs makes them more resilient to external attacks or internal disputes, as there is no single point of failure. In addition, DAOs can be designed to adapt and evolve based on the consensus of their participants, allowing them to stay relevant and responsive to changing circumstances.

What is Self-Sovereign Identity?

Self-Sovereign Identity is a digital identity model that gives individuals and organizations full control over their identity information. This approach aims to enhance privacy, security, and user control in the management of digital identities, addressing many shortcomings of traditional centralized identity systems.
Individuals and organizations create and control their digital identities, which are composed of various verifiable credentials, such as birth certificates, user certificates, passports, or VIP card.
Identity information is stored on a decentralized system, like a distributed ledger or blockchain, rather than a centralized database controlled by a single entity. This ensures that the individual's identity data is secure and tamper-proof.
End-users can share their verifiable credentials with third parties as needed, without revealing all their personal information. This selective disclosure feature helps protect end-users' privacy.
Trust relationships are established through cryptographic methods, such as digital signatures, rather than relying on a centralized authority to issue and validate credentials.
The main benefits include:
  • Security: By leveraging blockchain technology and cryptographic methods, sovereign identity systems are more secure and resistant to tampering and fraud.
  • User control: End-users have full ownership and control of their identity information, allowing them to manage and share their data as they desire.
  • Interoperability: Self-Sovereign identity systems are designed to be interoperable, enabling users to interact with multiple service providers and platforms without having to create separate accounts or share their data multiple times.

Why are NFTs suitable for applications in identity services and data sharing?

  • Uniqueness and verifiability: NFTs are designed to represent unique items, making them well-suited to represent identity credentials or pieces of personal data, and most effectively, metadata. The blockchain's decentralized and immutable nature ensures the authenticity and provenance of these digital assets, allowing users and relying parties to trust their validity.
  • Ownership and control: NFTs can be transferred, sold, or shared, giving end-users full control over their identity information and associated data. Users can share specific NFT-based credentials with third parties when needed, maintaining privacy and control over their data.
  • Interoperability:
    NFT standards, such as ERC-721 and ERC-1155 from Ethereum, provide a framework for creating and managing NFTs across different platforms and applications. This interoperability allows users to leverage their self-sovereign identities and associated data in various contexts and ecosystems.