Ronin Network was launched in February 2021 as a transition from the Ethereum network. This event has partly attracted a lot of attention from the community of players inside and outside the game Axie Infinity. It can be said that the Ronin Network was created to overcome the important weaknesses of the Ethereum network in terms of transaction congestion or high Gas fees. So does Ronin really solve the above problems? Let’s find out “What is” with GameAZ.
The recent transition from Blockchain Ethereum to Ronin Network is attracting a lot of community attention and impacting the operation of AXS and SLP. Ronin Network was created to overcome membrane congestion and Gas fees when using the Ethereum network. Thanks to that, Axie Infinity had a comeback on the NFT Game market. Let’s find out the details with GameAZ.
1. What is Ronin Network?
With an operating strategy towards no chain, the Sky Mavis team created a Sidechain called Ronin Network. It was developed by linking directly to the main Ethereum network, where the game was originally developed to minimize bugs.
Ronin Network acts as the place to perform all transactions related to the game Axie Infinity. It is easier to understand the operating mechanism, the arising transactions will be aggregated and recorded in the ledger of the Ethereum network. The creation of an independent Chain both limits Ethereum network congestion and reduces a huge amount of Gas fees compared to the Ethereum Blockchain. This has contributed to a significant increase in the number of users and transactions for this hit game.
2. Why did Sky Mavis develop Ronin Network?
Initially, the project considered using the Sidechain Loom Network solution for the game Axie Infinity to overcome problems from the Ethereum network. However, Loom Network was not optimally designed for Axie Infinity, causing the team to focus on finding other optimal solutions to avoid the “long night of dreams” affecting the player experience. That’s why Ronin Network was born – a custom sidechain for Axie Infinity. Currently, Ronin is focusing on the performance of Blockchain to improve and enhance the quality for users.
3. How does the Ronin Network works?
Sidechain is a permanent solution that offers Blockchain scalability. Simply put, they are smaller Blockchains and operate individually, not separate from the main chain. They are created to support each other in adding functionality and increasing efficiency. Sidechains are relatively complex and highly probabilistic. However, the application of this solution will help increase the security of the project, bringing peace of mind to users.
Ronin Sidechain operates based on a consensus mechanism (Proof of Authority – PoA). This is a customized version of PoS – Proof of Stake. With PoA, the number of Validators will usually be less than 25.
Ronin Network’s validators are all carefully selected and considered. Specifically, Ronin Network has selected extremely reliable and strategic partners such as: Binance, Unisoft, Animoca, Nonfungible.com, dApp.com, etc.
Ronin Validator on Ronin Network will be responsible for creating and validating Blocks, updating values, handling the transfer and storage of assets between Ronin and Ethereum. In it, including ERC20 and NFT Token.
In the long term, the team will continue to explore more efficient NFT scaling solutions like zKSyncs and make Ronin one of the most efficient scaling solutions in the NFT gaming arena.
4. Ronin (RON) Highlights
Some of RONIN’s strengths at the moment include:
Improves fast, uninterrupted transaction speed and near-instant confirmations
Gas fees dropped sharply (on Ethereum it can cost several dollars or tens of dollars per transaction). Also, instead of paying transactions to Ethereum Miners, Gas fees can be kept by the community for use in tournament matches and as rewards.
Benefit from Ronin Bridge: users can swap (Swap) Tokens in Axie Infity between Ethereum and Ronin Network
Enhanced player experience as Sky Mavis team integrates Ronin Network customization capabilities to accommodate growth of Axie Infinity
Optimize operations for new users through Ronin Wallet.
The Block Explorer feature enhances transparency and data accessibility in the platform.
5. Pieces of the Ronin ecosystem
Ronin is the core infrastructure of the Ronin ecosystem, it is an EVM chain. Ronin provides an EVM (Ethereum Virtual Machine) state transition machine that allows the execution of arbitrary solidity code to build applications.
RON is the native token of Ronin. Ultimately, RON will be used to pay for gas fees and secure the network for both Axie Infinity and future games/products hosted on the Ronin chain.
Currently, the only way to earn RON is to provide liquidity on Katana. 100M RON (10% of total supply) will be used as a reward for liquidity providers for SLP/ETH and AXS/ETH.
5.2. Ronin Wallet
Ronin Wallet is a wallet developed by the Sky Mavis team for players in the Axie Infinity community. Ronin Wallet allows you to pay, deposit, withdraw as well as store cryptocurrencies such as: AXS, SLP,…
5.3 Katana DEX
Katana is a native AMM built on top of Ronin, it is a fork from Uniswap v2, allowing users to:
Swap: allows anyone to easily trade between 20 ERC tokens with ease.
Add liquidity: Users can provide liquidity to the DEX and earn transaction fees.
Farming: Users can stake their LP to earn RON.
Currently Katana does not have a token, incentives for users to provide liquidity will be boosted with RON tokens.
5.4 Ronin Block Explorer
This is a blockchain explorer (similar to Etherscan) developed specifically for Ronin Network. Users can search and look up every transaction that occurs on the Ronin network.
Ronin Bridge is in fact an extremely important and optimal bridge solution that helps to transfer assets back and forth between the two Ronin and Ethereum networks quickly instead of having to transfer more complicated steps. With the current growth rate of Axie Infinity, Ronin Bridge is currently in the top of Ethereum Bridge solutions with the highest TVL thanks to feature utilities developed specifically for users on Ronin Network (Farming, Staking, etc.) …). According to statistical data from Dune Analytics, at the peak, there were more than 8.1 billion USD locked in this protocol while the total TVL of Ethereum Bridges was more than 25 billion USD.
User can buy crypto currency (Ronin WETH, Ronin AXS, Ronin SLP) with Fiat through this feature.
6. Roadmap Ronin Network
Here are some of Ronin’s notable milestones:
June 2020: Axie needed a long-term solution to make joining the game in Axie fast, economical, and circuit linked so they started building an EVM sidechain called Ronin to fix the problem. this.
February 2021: Ronin mainnet launched.
May 2021: Sky Mavis has raised $7.5 million in Series A round.
7/2021: Ronin reaches $500 million in asset deposits and Ronin wallet has surpassed 1 million downloads.
October 2021: Sky Mavis raised $125 million in Series B, Ronin reached $5 billion in deposits, Ronin wallet crossed the 2 million download mark.
11/2021: RON token launched by Ronin native DEX called Katana, Ronin wallet launched mobile version.
7. What is RON Token?
RON is the ecosystem token of Ronin Network. It will be used to pay gas fees and secure the network for both Axie Infinity and future games/products developed on the Ronin Network. The main purpose of RON is to ensure that Ronin will always be a community owned blockchain.
7.1 RON Key Metrics
Token name: Ronin Network token
Token standard: ERC-20
Token type: Utility token
Ronin Chain: 8236f0c738D9b35fBEd641CF50A94BB056eb316C
Total Supply: 1,000,000,000 RON.
7.2 Current price of Ronin
RON/BTC: 0.00006516 BTC
RON/ETH: 0.0008934 ETH
Market Cap: $427,479,275
7.3 Where can I buy and sell RON Tokens?
RON tokens will not be sold through sales, you can only own it when participating in farming on Katana DEX or buying on Gate.io
8. Future potential
8.1 Business Model
Ronin Network is similar to other Layer-1 Blockchains. Multi-sided platform is Ronin’s business model. It acts as an intermediary connecting two or more groups of users who are related and share the same goal. This is a model used by many leading Blockchain & Non-blockchain technology projects such as PayPal, Alibaba, Facebook, Ethereum,…
More simply, the Multi-sided platform can be viewed as a “cohesive person”, it does not produce content or products nor provide services. Its main role is to allow interaction between many groups of people participating in a Network.
Ronin Network currently supports connecting two main groups, including:
Dapp Developers: Creators leverage Ronin’s infrastructure to deploy Protocols and dApps. It can be DEX to trade ERC-20 Tokens, exchange NFT Tokens on NFT Marketplace or store ERC-20 & NFT Tokens in Wallet
Users: People who use Protocols & dApps on Ronin to solve the above need, be it storing Tokens, trading Token A to Token B,…
When Demand increases, supply will try to come up with more. At the present time, Ronin is customized and designed for the extension of Axie Infinity, but in the future, more related products and tools will be created to aid in playing & building Games other on Ronin.
In the current case of Ronin & Axies, the strong growth of Axies is creating traction for other products (Ronin wallet,…) built on Ronin. In the long run, it creates a positive drag effect for Ronin and the Network as a whole.
From March to October 2021, deposits on Ronin Network have increased from 1 million to 5 billion (i.e. 5000 times); DAU from 428,000 (October) increased to 1 million in November. Competitors launched earlier, but it is difficult to match Ronin’s growth rate. In addition, Ronin can provide investment opportunities to a wide range of audiences other than Axie’s users, leading to a stronger increase in TVL.
During the event Axie invested $ 154 million on October 5, 2021, it will pave the way for the Gaming industry to develop on Ronin and help shape the future of the Ronin Network in general and Axie Infinity in particular. It can be believed that Ronin Network will achieve great numbers in the near future.
Above is information about participating in “What is Ronin Network”. It can now be seen that Ronin Network has brought outstanding efficiency to Axie Infinity in particular and Ethereum in general. Going forward, GameAZ believes that the development team will make Ronin one of the most efficient scaling solutions in the field of NFT gaming. Let’s wait and see with GameAZ
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DISCLAIMER: The information on this Website is provided as an overview of the market and does not constitute financial advice. GameAZ encourages you to do more research before deciding to invest.