GaiaWorld Blockchain: A Three-minute Reading on the Value of Gaia Shield Protocol
Smart contract — the forerunner of Gaia Shield Protocol
Before anything, we think a brief introduction to smart contract might be helpful for you to understand what is Gaia Shield Protocol, its functions, and changes it may bring about.
A smart contract is a computer protocol intended to digitally distribute, verify, or enforce a contract. It allows the performance of credible transactions without a third party, and these transactions are trackable and irreversible.
No need to ask, smart contract is a great innovation. What you may not know is that the concept was created in 1994 and it was possible for smart contracts to grab a chance and bring out their potential only after the birth of blockchain technology.
Unfortunately, even in the world today when thousands of blockchain projects have been launched, smart contracts are still tottering on their way of development. The truth is the function of smart contracts has been largely curbed because most of them are executable only in the blockchain for which they are designed, and could not use and operate the data outside it. This is why smart contracts have limited interactive access to the real world.
Gaia Shield Protocol is to smash restraints on the smart contract
GaiaWorld has designed the unique Gaia Shield Protocol to clear functional bottlenecks of the smart contract. It’s actually a special smart contract that could be enforced by a smart contract VM as per the security specifications defined by GaiaWorld.
Unlike other smart contracts, Gaia Shield Protocol not only supports cross-chain data operation, it also allows use of data outside the blockchain. While extending the application boundary of smart contract, Gaia Shield Protocol realizes interaction between the blockchain and physical worlds, casting substantial influence on economic and social activities in our real life.
Technical values of Gaia Shield Protocol and our visions
First off, Gaia Shield Protocol is safe, thanks to the independent sandbox, bond system, and classification system that jointly provide secure online environment and prevent insurance for use and execution of the protocol. To eliminate default risk and moral hazard, Gaia Shield Protocol is executed automatically in accordance with well-developed and approved codes.
The cross-chain calling function of Gaia Shield Protocol enables us to build a network integrating blockchains and the real world. Isolated blocks originally functional only within respective blockchains are networked over Gaia Shield Protocol to exchange information and value. For example, you may pay for service of an app on GaiaWorld’s blockchain with your Bitcoins or Ethercoins. Furthermore, Gaia Shield Protocol also enables data access to external servers both in the blockchain system and the real world, which guarantees diversified channels for value exchange between industries, blockchains, as well as the blockchain and the real world by wiping out any physical barriers.
Gaia Shield Protocol supports cross-border transactions in different legal systems. When it comes to cross-border trading, chances are disputes, especially those between individuals, are hard to resolve since it engages various laws of different countries and regions. This has led to excessively high cost of trust. In the case of Gaia Shield Protocol, however, each and every transaction is secured by the automatically executed protocol together with the three-level system, thereby substantially cutting the transaction cost due to location, time and trust concerns, and making the process more efficient.
Gaia Shield Protocol lays the ground for building truly decentralized exchanges. Most if not all digital currency exchanges today fall into any one of centralized exchange, token exchange, or centralized exchanger-dependent exchange, which are, strictly speaking, not secure and run to the opposite of the inherently decentralized blockchain technology. The good news is Gaia Shield Protocol enables the client to trade with varieties of traders spontaneously. In fact, building a decentralized cryptocurrency exchange is on the to-do list of GaiaWorld.
Gaia Shield Protocol is of great practical significance in financial and payment fields. It reduces moral hazard and operation risk of financial activities, and bypasses unnecessary intermediate institutions to cut transaction cost. When it comes to stock market, the protocol could be a great tool for automatic payment of stock dividend, stock split and debt management.
We can’t stuff the article with all benefits of Gaia Shield Protocol and the changes it may bring about. In the days to come, GaiaWorld will work out more apps and solutions based on Gaia Shield Protocol, and offer more safe, credible and intelligent services for blockchain and physical worlds.