AltLayer, which we are talking about today, is a star project selected by BinanceLabs. Since its launch on Binance, the project has been active, not only reaching cooperation with multiple projects, but also launching a number of activities such as re-staking. This article will conduct an in-depth exploration of AltLayer from four dimensions: [Project Introduction] [Project Background] [Project Advantages] and [Project Risks].
Project Description
Track: Infrastructure (RaaS)
Financing: Total amount exceeds 21.6 million US dollars. Investors include Polychain Capital and Binance Labs, as well as technical experts such as Gavin Wood
Token: ALT. Serves as native token + utility token (Gas, Rewards) + governance token. The total amount is 10 billion, and the current circulation ratio is 11%.
Vision: Aims to fundamentally solve the performance bottleneck of blockchain
Core: Modularity + Customization + Versatility
The three rounds of financing exceeded 20 million US dollars, with Binance deeply involved. The project team and investors have deep technical backgrounds. It can be said that the lineup is luxurious and the starting point is quite high.
Background of the project:
At present, there are many solutions to solve the performance bottleneck of blockchain, including sidechain, Rollup, Plasma and state channel. Among them, Rollup architecture, including the well-known Op Rollup and ZK Rollup, is considered to be the most promising technical direction. But at the same time, Rollup also has shortcomings such as high development threshold, complex environment and weak composability.
In response to the above problems, AltLayer proposed the concept and solution of RaaS, one of the core features of which is the customized and modular execution environment. Through AltLayer, developers can easily and quickly deploy personalized Rollup execution layer (Layer2) on mainstream public chains such as ETH, and the deployment process is like playing a "face pinching" game: developers can choose appropriate functions and parameters and other modules (such as consensus mechanism, virtual machine, etc.), and combine and build relatively freely.
As the saying goes, "first-rate companies set standards, second-rate companies set brands, and third-rate companies set products", AltLayer clearly aims to set industry standards. Generally speaking, AltLayer is like a combination of [AWS] and [face-pinching] gameplay. It does not require too much code foundation. As long as you choose the corresponding modules and kits according to your needs, you can customize the execution environment (Layer2) and create your favorite character image.
Project Benefits:
1) Easy to operate. Personalized face-pinching construction, developer-friendly.
2) Wide applicability. It supports multiple chains, multiple virtual machines and multiple protocols, and has outstanding applicability.
3) Ecological hub. Connect different public chains, data service providers, and developer communities to expand the market size and influence of the RaaS protocol.
The advantages are quite obvious, and they also hit the pain point of the industry: a rigid body cannot accommodate an unbridled soul. A slightly popular activity will cause network congestion and a surge in gas fees; users will suffer even more when encountering airdrop claims, on-chain IDOs, or inscription new listings. Of course, the solution to these pain points is based on the project being able to realize its technical route and complete ecological construction.
Project risks:
1) Business risk. The business model of infrastructure products relies on a steadily growing customer base and successful cases. In the current situation of poor market growth, the fluctuation of token prices and the sustainable development of projects face certain difficulties.
2) Technical risks. Rollup technology itself has not been proven to be perfect, and technical problems such as fraud proof and cross-chain mechanism have not been completely solved.
3) Systemic risk: Modular combination and cross-chain architecture mean greater uncertainty and easier risk transmission.
The author's opinion: In the final analysis, it is still a question of the size of the industry pie. Where there is liquidity, there is opportunity. No matter how good a project is, if it does not have a user base and stable profits, burning financing is not a long-term solution. However, the significance of AltLayer's existence is to lower the industry threshold and increase the scale of the industry, so in theory, it can form a positive cycle.
Research summary:
1) The project is an infrastructure project, which is in the track that investors currently prefer, and has a good start and prospects;
2) The essence of the project is technical Lego, the gameplay has the characteristics of DeFi, and the demand for liquidity is high;
3) The development direction of the project is to become the underlying hub and standard for connecting other ecological projects, which can be said to be a big goal.
4) The end of the project is liquidity.
