Elastos employs a main chain and sidechain structure. As such, one of the sidechains that is deployed on the Elastos Blockchain network is a NEO sidechain. The Elastos NEO Sidechain is a fork of public NEO blockchain so all the functionalities that are available on the public NEO blockchain are also available on the Elastos NEO sidechain.
Elastos ETH sidechain and Elastos NEO sidechain serve very similar purpose in that they’re both used as smart contract sidechains and both are used to create fungible and non-fungible tokens. Neo Contract supports multiple programming languages such as C#, Java and Python. Developers can rapidly develop smart contracts based on the NEO sidechain without learning a unique language as with Ethereum’s solidity programming language. This is the greatest advantage over using Elastos ETH sidechain but both the sidechains can be used for similar purposes.
Utilities of NEO Sidechain
- Users are able to record, buy, sell, exchange or circulate various kinds of assets such as NEP5 tokens available on the NEO public blockchain
- Smart contracts allow the execution of transactions and agreements among different parties without governance by any legal system or central mechanism
- NEO Sidechain is programmable unlike the Elastos main chain which means that developers can use it to build new kinds of applications using smart contract logic where the applications will always run as programmed
- Some applications that can be built using NEO sidechain include cryptocurrency wallets, financial applications, decentralized markets, games, and much more
Differences between Elastos NEO Sidechain and NEO blockchain
- NEO blockchain uses dBFT(delegated Byzantine Fault Tolerance) while the Elastos NEO sidechain uses AuxPoW. This means that while the blocks are produced at a rate of 2 minutes per block on NEO sidechain(which are slower compared to NEO blockchain), they gain an enormous advantage in that the blocks in the NEO sidechain are directly secured by the hashpower of Bitcoin
- As mentioned in the first point above, NEO sidechain is merged mined with ELA which in turn is merged mined with BTC. This means that every time a block is mined for NEO sidechain, the same proof of work is used as the Elastos main chain to further strengthen the sidechain network. This is how security can be recursively passed down from main chain to any of the sidechains in the Elastos ecosystem
- Anything you can do on NEO blockchain, you can do on Elastos NEO sidechain with higher security, more security and it’s also a lot more scalable
- Currently, there is ONE Elastos NEO sidechain that implements a AuxPoW consensus however, it is technically possible to spawn multiple Elastos NEO sidechains with different consensus algorithms should the need arise for such a scenario