SKALE (SKL): The Multichain Network that Revolutionizes Ethereum's Scalability

Why is SKALE Important?

Popular blockchain networks constantly face congestion challenges. As more users and developers join, speed and capacity limits become evident. SKALE emerges as a response to this need: an infrastructure that allows decentralized application creators (DApps) to migrate their projects from Ethereum to highly optimized layer 1 and 2 chains, thus achieving superior speeds and virtually eliminating gas costs.

Founded in 2018 by Jack O'Holleran and Stan Kladko, the platform was conceived with a clear vision: to make blockchain applications accessible, fast, and affordable for the mass adoption of Web3.

The Architecture: A Truly Modular Network

SKALE is not a single blockchain. It is an ecosystem of multiple independent chains, interconnected with each other, that operate in an integrated manner with Ethereum while running their own consensus mechanism.

Each SKALE chain is highly configurable. Developers can choose:

• The size and capacity of your blockchain
• The preferred consensus protocol
• The virtual machine (EVM compatible)
• Additional security measures
• The reference matrix blockchain

This flexibility allows each project to have an infrastructure specifically designed for its needs, without sacrificing security or interoperability.

Operating Mechanism: Shared Security

SKALE leverages the proof-of-stake (PoS) model of Ethereum, combining it with its own system, creating an environment where transactions are not only fast but also secured by a robust decentralized network.

The network is made up of two main components:

SKALE Manager: Residing on the Ethereum mainnet, it acts as the central administrator. It manages the creation and destruction of chains, as well as serving as the entry point to all smart contracts in the ecosystem.

SKALE Nodes: Operated by validators who stake SKL tokens on Ethereum, these nodes run multiple SKALE chains simultaneously thanks to a virtualized subnode architecture. The SKALE Manager randomly assigns each node to groups of 24 peer validators who audit performance, latency, and activity. Nodes rewarded with SKL at the end of each epoch are distributed according to their performance.

Expanded Capabilities of Smart Contracts

SKALE has expanded the standard functionality of the EVM to unlock new use cases:

• Decentralized Storage: Implementation of FileStorage contracts that allow larger files to be stored directly on the network nodes.
• Cross-chain messaging: Users can transfer tokens and NFTs across different SKALE chains without intermediaries.
• Rollup Executables: Support for running custom rollups within the SKALE infrastructure.

This versatility makes SKALE an ideal platform not only for DeFi but also for gaming, NFTs, and enterprise applications that require low latency.

SKL: The Utility Token that Drives the Ecosystem

SKL is the native cryptocurrency of the SKALE network and serves multiple functions:

Current SKL Data:

• Current price: $0.01
• 24h Variation: -3.15%
• 7-day Variation: -10.45%
• 24h Volume: $56.91K
• Circulating Capitalization: $61.50M
• Circulating supply: 6,061,936,004 SKL
• Total supply: 6,076,000,000 SKL
• Max Supply: 7,000,000,000 SKL

Functions of the SKL Token:

The token, built as an ERC-777 with ERC-20 backward compatibility, facilitates payments within the network, including subscriptions to SKALE chains. It allows holders to participate as validators or delegators through a non-custodial staking system: users can delegate SKL from their wallets using delegation keys, without the need to lock funds in smart contracts.

As a validator, the holder runs nodes that validate transactions, execute contracts, and protect the network, earning rewards derived from chain subscriptions. Delegators receive a portion of the rewards from the validators they back.

In addition, SKL grants governance rights. Holders can participate in on-chain voting to determine economic parameters and the strategic direction of the protocol.

The Economic Model: Subscriptions and Scalability

To access a SKALE chain, developers pay a subscription fee through a smart contract on Ethereum. These payments are distributed among the validators and the SKALE community, creating a sustainable economic system where the growth of the network benefits all participants.

Each new chain integrated increases the total capacity of the ecosystem while sharing security resources with other sidechains, ensuring that the network strengthens as it grows.

Future Perspectives

As the adoption of DApps continues to rise, SKALE presents exponential potential as a next-generation scalability solution. Its dynamic multichain architecture, combined with high processing capacity, minimal costs, and low latency, positions SKALE as a viable alternative to absorb the massive growth that Ethereum requires on its path towards mainstream adoption.

The ecosystem is designed not only to solve current problems but also to adapt to new blockchains and use cases that may emerge in the future of Web3.