Loom Network allows developers to build large-scale games and social apps by using DAppChains — DApps running as their own sidechains.
More specifically, a DAppChain is an Application Specific Sidechain, that runs parallel to a mainchain, Ethereum in this case. Its ruleset is customized based on the use-case, and its security is maintained by the mainchain’s consensus algorithm.
Users who want to support the DApp and have voting rights in its development can run their own nodes on the DAppChain. This means if the developers release an update that the users do not agree with, they can configure their nodes to reject the update and fork away.
Users are able to vote and express their opinions, compared to traditional games and web services where developers can issue a change that the community does not agree with.
With a traditional game or web service, if the developers decide to launch an update that users do not agree with or ban/censor an account, nothing can be done about it (except for filing a support ticket). Any data such as game progress up to that point in the game is impossible to access again.
With a DAppChain, on the other hand, running a node gives its users a full copy of all the data since the DAppChain’s Genesis Block.
This shareable and public data also allows for further inn
ovation and the surfacing of entirely new concepts, such as two games sharing the same state.
You could have a World of Warcraft-type game, where the world is created by players in a Minecraft-type game. The actions of the players in each world would affect the world of the other game.
Developers could release a new game t
hat uses character data from another game world stored on a DAppChain. That way, new users of the game could immediately jump into a new world with their existing characters and assets (essentially airdropping your old game’s data to the new game).
As discussed before, algorithms that sacrifice decentralization for scalability are not ideal, as they increase the attack surface from powerful adversaries. This applies to Loom DAppChains as well, with one major difference, incentives.
An attacker needs to spend enormous amounts of resources in order to attack a blockchain. In a general-purpose blockchain like Ethereum, there are huge incentives to do so, since there are large amounts of value being transferred and there is a high reward for double-spending or censoring a number of transactions.
In a DAppChain which represents a community, the following apply:
This post describes our vision for the scalable, yet decentralized future of DApps on Ethereum.
Note that Ethereum’s scaling solutions such as Raiden, Plasma, Sharding, Casper or Truebit are still very much necessary.
Loom Network contributes to scaling by offloading the mainchain’s computations to DAppChains, while still allowing the existence of DApps that run on a secure blockchain.
Summarizing, Loom’s DAppChains enable the following: