Exploring the XIP-1 Standard: The Bridge Between Off-Chain Computing and Blockchains
Taxa Network is an off-chain privacy computing network that supports the development of tServices. Differ from on-chain smart contracts, tServices are off-chain and can be developed and executed with high computing performance and data confidentiality. This makes them well-suited for complex business logic or computations that would be too expensive or difficult to be implemented on-chain.
tServices are stateless by their nature. After tServices have finished execution, they can interact with the layer-1 Blockchains, triggering the finalized state change via on-chain transactions.
In this article, we’ll introduce the communication protocol between the Taxa tServices and blockchains — the XIP-1 (taXa Improvement Proposal).
What is Taxa XIP-1 Standard?
XIP-1 proposes a technical standard for implementing payment systems in applications using Taxa Network and tServices. The proposal outlines a set of functions that can be used to manage deposits, token locks and token withdrawing, making it easier for developers to build Payment Systems and GameFi that can support a wide range of use cases.
Some applications require multiple parties to deposit and lock tokens in order to perform certain actions and engage in a token re-allocation. For example a blockchain game, where competitors will be required to deposit and lock tokens. And after the game is finished the winners can unlock their tokens and are free to withdraw the reward.
This XIP helps to standardize the interactions of this type of payment system.
Note: XIP-1 requires the existence of counter-parties for every participant. To ensure that all participants lock-up enough tokens in the smart contract before the tService’s main business logic starts, everyone needs to verify the information of their counter-parties on the blockchain (usually implemented by the client side application). This makes XIP-1 particularly suitable for use in gaming applications.
Technical Details
XIP-1 proposes a set of functions that can be used to manage deposits, token locks, and withdrawals in applications. These functions are implemented in both on-chain smart contracts and off-chain tServices, providing developers with a wide range of options for building payment systems and games using Taxa Network. The whole process can be described in 4 major phases:
- Depositing tokens to an application-specific XIP-1 smart contract.
- Participants locking up tokens under their public keys specified by tServices.
- Verifying counter-parties locking status. Triggering the “committed” function when everyone has locked their tokens
- After successful execution of application’s logic, unlock and withdraw tokens using signature provided by tService.
The detailed interaction XIP-1 smart contract, tService and the users can be described using the following graph:
For a detailed explanation of XIP-1, the interaction between the XIP-1 smart contract, tService, and the users, please refer to this detailed document.
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