Raiden (RDN) is a network for instant transactions. It operates on the base of Ethereum platform and is an analog to the Lightning Network idea. The developers of RDN are Brainbot Technologies. They are also working on the Ethereum platform and others blockchain technology projects. The CEO of Brainbot and the idea creator for RDN is Heiko Hees. He’s also one of the main engineers behind Ethereum.
The work of Raiden Network
As Brainbot team put it, the idea for Raiden is to move from a model with blockchain as the main ledger for transactions to a model with secure messages between users.
Transactions in RDN are made without chains. They don’t need any global agreement for a reliable payment. Deals are made through the secure one-to-one channels above the Ethereum platform. The channels remain open and ready to use for an unlimited number of times, until one of the users decides to close it. The blockchain works only when users open and close the link.
The Raiden Network operates on the similar principle as The Lighting Network, but on Ethereum platform. The network uses its own fixed token, RDN. The fees from transactions are used by the developers to make the network more reliable.
Raiden Network now
Raiden Network is a long-awaited project. It can resolve one of the most important issues with digital assets - the scalability. That’s the main idea behind Ethereum, that’s the main idea behind RDN, and they are strongly connected. Heiko Hees says that the performance of the Ethereum network can grow from 25 to 1 million operations per second. With enough speed digital networks can become widely usable and act as full-fledged competitors for MasterCard and VISA.
But the idea of solving the scalability issue is so complicated, that this creates questions for the implementation.The Ethereum team has been trying to resolve this problem since 2015.
Brainbot Technologies are trying to do this since 2017 and they continue postponing the full launch of RDN - the project is not working with few problems, although in October 2017 RDN already had ICO as Dutch auction process. The chosen form of selling tokens provoked a backlash from experts and community. Even Vitalik Buterin spoke against ICO of Raiden.
The Raiden Network is a very ambitious network, and the developers have several projects in the work to improve RDN. μRaiden is used for simple transactions among groups and is available now. Raidos will be used to make transfers with any smart contacts based on satellite chains. However, this idea is only at the planning stage.
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