Monolithic Blockchain Report (October, 2023)

## 1. Researcher Comment Certainly, because of the bear market, there seems to be less active investment in Layer 1/monolithic blockchains. Nevertheless, existing projects are still very active. Especially, Solana had a lot of good news in October with their signature conference, Breakpoint. Now, Solana seems to be moving beyond just being a competitor to Ethereum and is establishing its own unique ecosystem. The growth of Solana has many lessons for other Layer 1 blockchains, and it will likely have a positive influence not only on the Solana ecosystem but also on other monolithic blockchains. Most notably this month, the event that stands out is the launch of dYdX's own chain. At a time when transitioning to rollups on Ethereum has become a trend in the industry, dYdX has taken the exact opposite approach. Depending on the results that dYdX shows in the future, it could have a significant impact on the current blockchain infrastructure market, so it's crucial to keep an eye on the progress of the dYdX chain. ## 2. Major Updates ### 2.1 [Sui launches dApp Kit, making it easier to create dApps.](https://blog.sui.io/react-apps-dapp-kit/?utm_source=twitter&utm_medium=organic&utm_campaign=build_beyond&utm_content=sui_move)  Source: [Sui](https://blog.sui.io/react-apps-dapp-kit/?utm_source=twitter&utm_medium=organic&utm_campaign=build_beyond&utm_content=sui_move) On October 14th, Sui announced the dApp Kit, enabling developers to more easily create applications based on Sui. The dApp Kit is designed as an application SDK (Software Development Kit) to simplify core tasks such as wallet connection, transaction signing, and fetching data from RPC nodes. In fact, Misten Labs, the creators of the Sui blockchain, have actively utilized the dApp Kit, creating the Sui Explorer and the Sui Wallet. Ultimately, for an application platform to succeed, it needs to be easy for anyone to create dApps. It will be interesting to see how many applications can onboard to Sui after the launch of the dApp Kit. For more information about the Sui dApp Kit, please refer to [this link](https://sui-typescript-docs.vercel.app/dapp-kit?ref=blog.sui.io). ### 2.2 [Solana collaborates with AWS to support deploying Solana nodes on AWS.](https://solana.com/news/solana-blockchain-node-development-blueprints-available-on-aws)  Source: [Solana](https://solana.com/news/solana-blockchain-node-development-blueprints-available-on-aws) Solana is a blockchain capable of processing a vast number of transactions. However, until now, there was a challenge in easily spinning up nodes. With their recent collaboration with AWS, it's now much simpler to deploy nodes on Solana. Nodes on Solana operated through AWS are not limited to just RPC (Remote Procedure Calls) nodes but also include consensus nodes. Using AWS's blockchain node runner, entities can now easily set up a Solana node with just a few actions. This development removes the technical barriers that previously prevented many from launching Solana nodes, enabling them to more easily build their services on Solana. ### 2.3 [dYdX launches its own chain.](https://dydx.exchange/blog/dydx-chain-official-release)  Source: [dYdX](https://dydx.exchange/blog/dydx-chain-official-release) Last year, the on-chain exchange dYdX, which had announced its transition to the Cosmos appchain, garnered significant attention from the industry. In October of this year, it finally emerged as a chain based on Cosmos. The significance of the dYdX Chain is that it's the first instance of an Ethereum-based rollup transitioning to its own independent chain. dYdX has stated that this change was driven by the desire to enhance user experience and speed. Depending on the outcomes shown by the dYdX Chain, it appears that it could have a significant impact on both the Layer 2 and Layer 1 ecosystems. ## 3. Fundraising * The data was collected from [DefiLlama's raises page](https://defillama.com/raises). ### 3.1 Burnt ([Source](http://google.com))  Xion has lowered the entry barrier for fee payments by accepting one of the most well-known stablecoins, USDC, as transaction fees. It is anticipated that the prices of all assets implemented on the Xion blockchain will be benchmarked against stablecoins. Given that it accepts USDC as transaction fees, Xion has received strategic investment from Circle Ventures, a VC under Circle, which issues USDC. The investment amount has not been disclosed. The Xion blockchain can be seen as focusing on easy usability, even for those with no background knowledge in blockchain and crypto assets. Additionally, Xion plans to provide a more user-friendly environment by establishing an infrastructure that allows easy access to the Xion blockchain through mobile platforms. ## 4. More Reads ### 4.1 Projects Updates - [Solana collaborates with AWS to launch a blockchain node runner that easily spins up Solana nodes.](https://solana.com/news/solana-blockchain-node-development-blueprints-available-on-aws) - [Solana launches GameShift, a Web3 game development toolkit for game companies.](https://gameshift.solanalabs.com/) - [SKT1 launches their NFT collection on Avalanche's subnet UPTN.](https://twitter.com/avax/status/1712824481985745395) - [Solana Labs launches an incubator program to energize the Solana ecosystem.](https://twitter.com/solanalabs/status/1717550850107720169) - [Post-mortem on the Aptos Network outage.](https://aptosfoundation.org/currents/10-18-23-aptos-mainnet-incident-report) - [Sui launches dApp Kit, making it easier to create dApps.](https://blog.sui.io/react-apps-dapp-kit/?utm_source=twitter&utm_medium=organic&utm_campaign=build_beyond&utm_content=sui_move) - [Solana collaborates with AWS to support deploying Solana nodes on AWS.](https://solana.com/news/solana-blockchain-node-development-blueprints-available-on-aws) - [dYdX launches its own chain.](https://dydx.exchange/blog/dydx-chain-official-release) ### 4.2 Suggested Reads - **[Ethereum And Solana](https://www.placeholder.vc/blog/2023/10/10/ethereum-and-solana)** This article provides an overview of Ethereum and Solana, further discussing the directions of modular blockchains versus monolithic blockchains. Rather than debating which blockchain is superior or more advanced, the article approaches the characteristics of each from the perspective of Android vs. IOS. Considering that blockchain is also a software, comparing it with the most representative software of the mobile era, Android and IOS, is a novel attempt. This article significantly aids in understanding the differences between Ethereum and Solana. - **[Introducing the Nakamoto Challenge: Addressing the Toughest Problems in Crypto](https://a16zcrypto.com/posts/announcement/introducing-the-nakamoto-challenge-addressing-the-toughest-problems-in-crypto/)** This report, released by one of the most renowned VCs in the industry, a16z, presents seven challenges that blockchains need to address. Particularly, the accomplishments and challenges faced by rollups resonate deeply. At the same time, there's skepticism about whether rollups have genuinely addressed the security concerns as a16z discussed. Additionally, the various issues faced by blockchains (the difficulty in applying Depin, privacy being a double-edged sword, and the complexities in MEV optimization) are persistently important considerations regardless of whether a blockchain is modular or monolithic. Reading this could provide valuable insights for those designing blockchains. *Thanks to [Kate](https://twitter.com/kate_soom) for designing the graphics for this article.*