SKALE Network

price
change

Discover SKALE Network's fundamentals and latest news.

This content was generated by Whalee (BETA), an AI crypto assitant that analyses cryptocurrencies. Informations can be incomplete and/or erroneous. Please always double check and DYOR.

What is SKALE Network?

SKALE Network (SKL) is an open-source, decentralized, and Ethereum-native multichain network designed to scale Ethereum dApps efficiently. It offers zero gas fees, instant finality, high performance, and high throughput, making it suitable for a wide range of applications, including gaming, AI, and DeFi. The network uses a hybrid Proof-of-Stake (PoS) architecture and is managed by over 35 smart contracts on the Ethereum mainnet, ensuring decentralized governance and security.

How is SKALE Network used?

The SKALE Network (SKL) is used in several ways:

  1. Elastic Sidechain Subscriptions: Developers pay a monthly subscription fee in SKL tokens to create and deploy their Elastic Sidechains, which are highly configurable blockchains that enable users to select their chain’s size, consensus protocol, virtual machine, parent blockchain, and additional security measures.

  2. Staking and Governance: SKL tokens are used for staking and governance. Validators stake SKL tokens to secure the network and receive rewards. Delegators can also delegate their tokens to validators to receive a share of the rewards.

  3. Payment for Resources: Developers use SKL tokens to pay for the resources they need to run their dApps, such as computation, storage, and bandwidth, on the SKALE Network.

  1. Access to DApps: SKL tokens can be used to access DApps hosted on the SKALE Network.

  2. Transactions: SKL tokens can be used for transactions within the SKALE ecosystem.

  3. Decentralized Governance: SKL tokens facilitate on-chain voting, which controls all economic parameters on the SKALE Network.

Overall, the SKALE Network provides a scalable and customizable environment for decentralized application development, leveraging the SKL token for various functions that support its operations and governance.

How do I store SKALE Network?

To store SKALE Network (SKL) tokens, you can use any ERC-20 compatible wallet. This includes popular wallets like MetaMask, as SKL tokens are based on the Ethereum blockchain and are compatible with ERC-20 wallets.

How to buy SKALE Network?

To buy SKALE Network (SKL) tokens, you can follow these steps:

Buying on Coinbase:
  1. Create a Coinbase account: Download the Coinbase app and sign up with a valid ID.
  2. Add a payment method: Connect a bank account, debit card, or initiate a wire transfer.
  3. Start a trade: Select "Buy & Sell" on the website or tap the "+" button on the mobile app.
  4. Select SKALE: Search for SKALE and select it from the list of assets.
  5. Enter the amount: Input the amount you want to spend in your local currency.
  6. Finalize the purchase: Preview and confirm your purchase.
Buying on KuCoin:
  1. Create a KuCoin account: Register and secure your account.
  2. Verify your account: Complete the verification process.
  3. Add a payment method: Add a payment method to your account.
  4. Buy SKALE Network (SKL): Select SKALE Network from the list of assets and follow the prompts to complete the purchase.
Buying on CoinCarp:

From DEX:

  1. Choose a DEX: Go to a decentralized exchange (DEX) that supports SKALE Network.
  2. Set up a wallet: Download and install a Web3 crypto wallet (e.g., Metamask) or an App wallet (e.g., Trust Wallet).
  3. Transfer funds: Transfer the corresponding mainnet cryptocurrency (e.g., ETH) to your wallet.
  4. Connect to DEX: Connect your wallet to the DEX.
  5. Swap for SKALE Network: Find the "Swap" option, select the token you want to trade, and enter the amount.
  6. Confirm the swap: Review and confirm the transaction.

From CEX:

  1. Register on a CEX: Sign up on a centralized exchange (CEX) that supports SKALE Network.
  2. Verify your account: Complete the verification process.
  3. Buy USDT, ETH, or BNB: Use fiat to buy USDT, ETH, or BNB.
  4. Transfer to CEX: Transfer the purchased cryptocurrency to the CEX that supports SKALE Network trading.
  5. Buy SKALE Network: Use the transferred cryptocurrency to buy SKALE Network in the spot market.
Buying on Gemini:
  1. Create a Gemini account: Register and verify your account.
  2. Add a payment method: Add a payment method to your account.
  3. Buy SKALE: Select SKALE from the list of assets and follow the prompts to complete the purchase.

Remember to always follow the specific instructions for each platform and be cautious of scams.

Discover
SKALE Network
We give you the tools to invest your time and money in 1000+ tokens.
Subscribe

History of SKALE Network

The SKALE Network (SKL) was founded in 2018 by Jack O'Holleran, Stan Kladko, and Konstantin Richter. The founding team had extensive experience in blockchain, having worked at companies like Intel, Docker, and CyberMiles. They recognized the limitations of the Ethereum network, particularly its scalability issues, and sought to create a solution.

In April 2018, SKALE raised $10 million in a private token sale, followed by another $7.1 million in June 2018. The investors included big names in the blockchain industry, such as Multicoin Capital, Winklevoss Capital, and Galaxy Digital. The funds were used to develop and launch the SKALE network.

In 2019, SKALE raised $5 million in a seed funding round led by Floodgate, joined by Multicoin Capital, Aspect Ventures, and Blockchange Ventures. The funding was used to expand the development team and accelerate the mainnet launch, which happened in June 2020, making its elastic sidechain technology available to developers. The mainnet launch was a significant milestone for the project, as it marked the transition from a testnet to a fully functional network.

Discover
SKALE Network
We give you the tools to invest your time and money in 1000+ tokens.
Subscribe

How SKALE Network works

The SKALE Network (SKL) is a Layer-2 Ethereum sidechain network designed to provide a high-throughput, low-latency, and low-cost environment for decentralized application (dApp) development. Here's a detailed overview of how it works:

Key Components
  1. Elastic Sidechains: These are highly configurable blockchains that allow users to select their chain’s size, consensus protocol, virtual machine, parent blockchain, and additional security measures. Developers pay a monthly subscription fee in SKALE (SKL) tokens to create their Elastic Sidechain, enabling the provisioning and deployment of dApps.

  2. SKALE Token (SKL): The native utility token of the SKALE Network, which facilitates four main functions:

    • Security and Staking: SKL token holders (delegators) stake their tokens to validators, who operate the SKALE Network by verifying blocks, executing smart contracts, and securing the network. Validators receive SKL crypto rewards for their efforts.
    • Payment: Developers use SKL tokens to pay for Elastic Sidechain subscriptions.
    • Rewards: Both delegators and validators receive SKL crypto premiums derived from the subscription fees paid by developers and the monthly inflation of tokens into the network.
    • Governance and Voting: The SKL token facilitates on-chain voting, which controls all economic parameters on the SKALE Network.
  3. Validator Nodes: These nodes are responsible for validating blocks, executing smart contracts, and securing the network. Validators must stake a substantial amount of SKL tokens to participate in the network. The nodes are randomly assigned and rotated frequently to ensure top security and resource utilization.

Network Functionality
  • SKALE Manager: A set of smart contracts deployed on the Ethereum mainnet that manage network functions such as chain creation, validator registration, node selection, node rotation, staking, bounty payment, and slashing.
  • Node Rotation and Security: Nodes are randomly chosen and rotated frequently to prevent any single node from compromising the network. This ensures Byzantine Fault Tolerance and resolves potential security issues.
  • Interoperability: SKALE chains can exchange transactions or messages with other SKALE Chains and the Ethereum Mainnet through the native validator-secured bridge (IMA), allowing dApp developers to use SKALE for powering their dApps while enabling token and message transfers to and from the Ethereum network.
Benefits
  • Zero Gas Fees: Developers and end-users never pay for transactions, making it an attractive solution for dApp development.
  • Instant Finality: The fastest chain to finality, with time to finality equal to block time.
  • High Performance: Baseline throughput of 400 transactions per second (tps) and up to 700 tps at peak, with a high block gas limit of 280 million.
  • Purpose-Built Chains: App-chains and hub-chains for customization and horizontal scaling.
  • Native Bridge: Fast and flexible, offering 18-second finality between chains.
  • Native Oracle: Decentralized and transaction-free oracle enabling developers to read off-chain data.
Staking and Rewards
  • Staking: Delegators stake their SKL tokens to validators, who operate the network. Validators receive SKL crypto rewards for their efforts.
  • Rewards: Both delegators and validators receive SKL crypto premiums derived from the subscription fees paid by developers and the monthly inflation of tokens into the network.
Conclusion

The SKALE Network (SKL) provides a scalable, secure, and interoperable environment for dApp development on the Ethereum network. By leveraging Elastic Sidechains, a hybrid token model, and a decentralized validator network, SKALE offers a robust solution for developers seeking to build high-performance dApps without the constraints of the Ethereum mainnet.

Discover
SKALE Network
We give you the tools to invest your time and money in 1000+ tokens.
Subscribe

SKALE Network's strengths

The SKALE Network (SKL) has several strengths that make it an attractive solution for decentralized application (dApp) development and scaling:

  1. High Throughput and Low Latency: SKALE is designed to provide high-throughput and low-latency performance, making it suitable for applications that require fast transaction processing.

  2. Zero Gas Fees: SKALE offers zero gas fees to end-users, which is a significant advantage over traditional Ethereum-based solutions. This is achieved by offsetting gas fees through subscription fees paid by developers.

  3. Highly Configurable: SKALE chains are highly configurable, allowing users to choose their chain's size, consensus protocol, virtual machine, parent blockchain, and additional security measures. This flexibility enables developers to tailor their blockchain to specific needs.

  1. Interoperability: SKALE chains are interoperable with Ethereum, allowing for seamless communication and integration with the Ethereum mainnet.

  2. Security: SKALE's pooled security system ensures that each node provides resources to multiple SKALE chains, creating a robust and secure environment for dApp development.

  3. Governance and Voting: SKL token holders can participate in on-chain voting, which controls all economic parameters of the SKALE Network. This decentralized governance model aligns with the principles of community-driven development.

  1. Economic Incentives: The SKL token facilitates economic incentives for validators, delegators, and developers, ensuring that all parties are motivated to contribute to the network's growth and security.

  2. Scalability: SKALE's elastic sidechain architecture allows for the creation of multiple sidechains, which can be dynamically scaled to meet the needs of different applications. This scalability is essential for supporting a large number of dApps.

  3. Developer Support: SKALE offers a range of tools and resources, including the SKALE Innovator Program, which provides grants, consulting, marketing support, and engineering assistance to developers.

These strengths make SKALE an attractive solution for developers seeking to build scalable, secure, and cost-effective dApps on the Ethereum network.

SKALE Network's risks

SKALE Network (SKL) is associated with several risks, including:

  1. Volatility and Liquidity Risks: Like other cryptocurrencies, SKL is subject to significant price fluctuations and liquidity issues, which can impact its value and usability.

  2. Regulatory Risks: Uncertainty regarding regulations can introduce risks and potentially impact the growth and adoption of projects like Skale Network.

  3. Security Risks: The network is vulnerable to security breaches, code defects, and other threats, which can compromise its integrity and the value of SKL tokens.

  1. Forking Risks: The possibility of forking can lead to instability and affect the value of SKL.

  2. Demand Risks: Changes in demand for SKL tokens can impact their value and the overall success of the network.

  3. Electronic Trading Risks: Trading SKL tokens electronically carries risks related to technical issues, cyber attacks, and other electronic trading risks.

  1. Cybersecurity Risks: The network is exposed to various cybersecurity threats, including hacking and other malicious activities.

  2. Dependence on Ethereum: As a Layer-2 solution, SKALE Network's success is closely tied to the security, decentralization, and activity on the Ethereum blockchain, which can be a risk if Ethereum experiences issues.

  3. Validator Risks: Validators can exhibit malicious behavior, which can lead to penalties and impact the network's security.

  1. Lack of Disclosure Obligations: The SKL community and core team are not legally obligated to disclose material information to the public, which can make it difficult for investors to make informed decisions.

These risks highlight the importance of thorough research and risk assessment before investing in SKALE Network (SKL).

Discover
SKALE Network
We give you the tools to invest your time and money in 1000+ tokens.
Subscribe

Did SKALE Network raise funds?

Discover
SKALE Network
We give you the tools to invest your time and money in 1000+ tokens.
Subscribe

SKALE Network’s team

The team behind SKALE Network (SKL) includes:

  • Jack O'Holleran: Co-founder and CEO of SKALE Labs, Inc. He co-founded the company with Stan Kladko and has been instrumental in shaping the vision and direction of the SKALE Network.
  • Stan Kladko: Co-founder of SKALE Labs, Inc. Alongside Jack O'Holleran, he has played a key role in establishing the company and its mission to create a scalable, decentralized blockchain network.
  • Ben Miller: Partner Marketing Manager at SKALE Labs. He brings extensive experience from the tech industry and has a strong background in marketing and strategic communication.
  • Sydney Jacobs: Content & Communications Manager at SKALE Labs. She has a strong background in the crypto industry, having worked at Gemini Trust Company, and is dedicated to promoting the SKALE Network.
  • Jordan Hiken: Marketing Manager at SKALE Labs. He has experience in growth marketing and has been active in the crypto space since 2017.
  • Marcos Sanchez: Head of Communications at SKALE Labs.
  • Chadwick Strange: VP of Product Management at SKALE Labs.

These team members, along with others, have contributed to the development and growth of the SKALE Network, focusing on its scalability, security, and user experience.

Whalee AI

The fundamental analysis assistant for crypto value investors.

SKALE Network NEWS REPORT

Latest news

Want an analysis of SKALE Network? Tell us on discord.

Help us improve!
Tell us what you think of this page and which features you would like to see next.
OPEN FORM