Crypto-StartPlasma revealed technical features of its stablecoin-specific blockchain that promised fast and effective global stablecoin transfers by using a “hot stuff-inspired” consensus mechanism.
Hotstuff consensus is an example of Byzantine fault tolerance (BFT) for blockchains that allow consensus even when some nodes are defective or malicious. Imagine a group of friends planning a picnic to agree on a date, location and duration. If the majority agree, they can successfully move forward while bypassing potential disturbances from a few unreliable friends.
The Hotstuff Blockchain consensus mechanism further takes this by allowing trouble-free leadership replacement if the decision maker or leader knot behaves irregularly, thereby reducing delays and improving efficiency.
In traditional BFT systems, each node also sends several back and forth affirmations, causing delays. The hotstuff mechanism streamline the process in which a leader node suggests a decision and validator nodes confirms in a single step.
“In its core, Plasma Plasmabft utilizes a quick Hotstuff -Inspired Consensus Protocol, which is optimized for fast finality and low latency, supporting high frequency global stableecoin transfers,” announced plasma on X.
Finality in blockchain means the speed at which transactions are confirmed and added to blocks, after which they become irreversible. Meanwhile, low latency refers to the speed of treatment transactions.
Plasmas Blockchain is custom built for Tether, the world’s largest dollar-pegged stableecoin with a market value of $ 144 billion. Tether accounts for over 60% of the total stableecoin market, according to Data Source CoingeCKO, and its issuer earned $ 13.7 billion in profits last year. The early backers of the project include prominent industry names such as Venture Capitalist Peter Thiel, Tether’s CEO Paolo Ardoino and Split Capitals Zaheer Ebtikar.
Plasma is designed to be a Bitcoin sidekinate with full compatibility with Ethereum Virtual Machines (EVM). Most stablecoin activities happen on smart contract blockchains such as Ethereum, Tron and Solana.
Plasma’s execution layer is built on Rust Ethereum, also known as RETH, a modular engine compatible with EVM, allowing plasma to run any Ethereum -Smart Contract.
The StableCOin project also has a built-in Bitcoin bridge that uses the same group of decentralized validators as the BFT mechanism and regularly connects to updates on Bitcoin Blockchain. This allows Ethereum applications to work easily with Bitcoin using the latter as the settlement layer.
“At regularly anchoring the State Diffs at Bitcoin achieves plasma trouble -free interoperability and uses Bitcoin as a settlement layer – the supply of permission -free finality, stronger censorship resistance and a universally verifiable source of truth,” Plasma said.
Steven Lubka, head of Swan Bitcoin, said the new stablecoin infrastructure seems to “bet on the dissertation that other blockchains are only good at stablecoins and they need Bitcoin security properties to be inherited.”
Other key features of plasma include custom gas packages that allow fee payments in USDT or BTC, zero charge transfers and confidential transactions while ensuring compliance.
