“Things are only impossible until they're not.”– Captain Jean-Luc Picard.Authors:Trace Labs - OriginTrail core developersContributors:Trace Alliance Working Group on Tokenomics and Decentralization
OriginTrail Parachain also introduces a native OriginTrail Parachain token (OTP) a utility asset that is not only used for blockchain gas fees and inclusive governance but also enables a way to incentivize the growth of DKG usage. Together with TRAC, the two tokens form the OriginTrail ecosystem tokenomics, driving network e ects and value for all network participants. OriginTrail, therefore, becomes an ecosystem with two technical components two network layers and two utility tokens. 16 The two OriginTrail technological layers DKG and consensus layer enormously benet each other if tightly integrated. With the OriginTrail Parachain as a DKG-tailored blockchain, the OriginTrail stack receives additional capabilities and vastly improves in scalability and performance. Introducing the biggest extension to the OriginTrail stack yet the OriginTrail
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Parachain on Polkadot. 17 3. OriginTrail Parachain a DKG-tailored L1 blockchain The OriginTrail Parachain is the next-generation L1 blockchain designed to tightly integrate with the OriginTrail DKG. As an OriginTrail-tailored blockchain, it is optimized for maximum performance and usability in the OriginTrail consensus layer. It leverages the strong trust model and inherent interoperability of Polkadot, enabling smooth integration with other
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Polkadot ecosystem projects. OriginTrail Parachain has unique features designed to directly support the OriginTrail DKG: DKG usage growth incentivisation via the OTP token Tight integration with knowledge graph technology Vastly increased scalability and lower cost of L1 transactions EVM support to easily integrate with existing smart contracts and projects Governance features for the OriginTrail Parachain New blockchain functionalities leveraging the DKG such as Graph Contracts 18 With the OriginTrail parachain, an additional stakeholder of the OriginTrail ecosystem is introduced the OriginTrail Parachain collators, responsible for block production on the OriginTrail Parachain and their submission to the Polkadot relay chain validators. They are rewarded for their contributions to the network with the OTP token as the native L1 blockchain
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More importantly, the OTP token utility was designed to fuel the growth of the OriginTrail ecosystem by incentivizing the aforementioned network participants' contributions to the OriginTrail DKG. 19 4. TRAC and OTP: supporting tokens designed for fueling network e ects As described in previous chapters, the OriginTrail DKG and the OriginTrail Parachain are distinct technical components in the Web3 infrastructure, each running on separate networks and each having their own token system. But since they are also a part of the same OriginTrail ecosystem, their token models are interacting to create a smoothly functioning experience for OriginTrail users as well as drive network e ects through incentivization. Both TRAC and OTP tokens exist as utility tokens for their respective components TRAC for the DKG and OTP for the Parachain.
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