DFINITY From TXA Standpoint
TXA is creating an ecosystem that integrates more players within the exchange industry and creates more revenue streams. This is hinged on its hDEX architecture and DFINITY’s Internet Computer [IC]. Because TXA doesn’t make use of blockchain as an intermediary, and the IC offers web speeds in a decentralized manner it enables excellent speeds that allow trading activities to happen within sub-milliseconds.
In the place of blockchain intermediary, the TXA Decentralized Settlement Layer leverages DFINITY’s Internet Computer, which decentralizes the entire procedure and makes for more democratization. DFINITY’s Internet Computer plays a crucial role here. The Internet Computer makes it possible to track and provide trade data used for the coordinated settlement process.
TXA’s Architecture Is Blockchain Agnostic
It’s crucial to understand what the TXA’s hDEX model set out to be. Bridging the speed gap in the exchange industry requires exploring an alternative to blockchain. As such, TXA employs Settlement Data Providers (SDPs) to witness trades and provide settlement data to determine traders’ obligations. However, while SDPs are important to the process, the problem of data consistency arises, and we had to find an alternative that solves that problem.
There arose the need to have a consolidated network for SDPs to store data. Because if the providers stored data individually, there would be issues concerning variations in data. As such, a persistent and immutable data storage system was inevitable. This is where DFINITY comes in.
With the current design, SDPs have a local cache designed to handle high volumes of incoming data. After data collection, the system will gather the data across all SDPs and submit the same to DFINITY’s Internet Computer. Simultaneously and as a backup there is also a design wherein the system submits the data to Hedera’s fair-ordered message queue.
By using a central and shared data source, the chances of data inconsistency are slim. This makes for improved performance and makes operations smooth. More importantly, it makes it possible to achieve the two-third majority required for data obligation quorums before settlements can take place.
TXA Is Building The Future Through DFINITY
When you imagine what TXA could be when the model is fully operational, it’s simply breathtaking. DFINITY offers a distributed data-center network that can support thousands of SDPs without hitches. This not only speeds up processes but also makes for great computing cost reduction.
Simultaneously, the use of DFINITY makes it possible for TXA to create a profitable platform for SDPs. Suppose SDPs do not have the Internet Computer to leverage, many SDPs will be restricted from participating in data settlement because our data robustness guarantees could not be met. This means that DFINITY has helped bridge the gap and create more access for people to be actively involved in the exchange industry. Depending on the volume of trading that takes place, SDPs can generate millions of dollars in aggregate.
In the long run, the relationship between TXA and DFINITY will deepen, and that will increase the use cases of the Internet Computer for cross-chain settlement. The advantage from DFINITY’s side is obvious, a flourishing TXA Settlement Layer will consume enormous amounts of cycles and therefore ICP. In fact it’s quite likely that millions of traders on the TXA network could become the primary consumer of cycles. TXA aims to leverage its Decentralized Settlement Layer to support several exchange platforms across numerous use cases. This will range from digital assets exchange platforms to NFT exchanges. Tacen’s future US-based flagship hDEX can also find support from this Decentralized Settlement Layer.
Follow our socials to stay up to date