Nodle announces a new Polkadot Substrate Pallet to make Web3 applications easier to develop and more accessible than ever.
Github: https://github.com/NodleCode/chain/tree/master/pallets/sponsorship
Docs: https://docs.nodle.com/docs/nodle-chain/sponsorship/intro-to-sponsorship
In the dynamic world of blockchain, developers need to make applications more and more user-friendly, especially when it comes to real-world and enterprise adoption of Web3 technologies.
Consider this. No real-world or enterprise user wants to create a wallet and maintain it with tokens to test out different transactions or use cases on the chain. Correct?
In order to address this problem with enterprise customers in mind, the Nodle team developed a solution that allows users to be seamlessly onboarded to the Nodle chain, while staying true to the principles of Web3. This is called “transaction sponsorship”, which allows an individual to reserve tokens on the Nodle chain and “sponsor” users to carry out their transactions.
The Nodle team believes this solution will significantly lower barriers to entry for enterprise and Web3 customers who want to leverage the unique properties of the Nodle Network without having to become crypto experts.
This post looks at this solution in detail, discusses how this solution maintains security and prevents potential misuse (such as DDoS attacks or other types of fraud) while promoting a decentralized system.
Introducing the Solution
In this approach, a sponsor (a person who has the funds) creates a virtual fund reserve (aka “pot”) with certain usage limits (“quota”) and specifies (“registers”) who (“users”) can use it. These funds can then be used by the designated users to perform transactions on the network.
This way, anyone can sponsor anyone without having to bother about blockchain concepts or token availability.
The sponsorship feature not only supports transaction fees but also provides micro loans when required.
To learn more about this feature, refer to the technical documentation or the associated source code.
How Does the Solution Work?
The solution is based on a model called Free Signed Transactions. In this method, proxy accounts that are unique to each user are created in a pot (the virtual fund reserve). Users can have different proxy accounts in different pots. Transactions are free for the registered users of a pot; however, sponsors of the pot will have to pay the transaction fees.
These users connect with the blockchain directly, ensuring security while avoiding censorship.
Each sponsor registers user accounts for which they are ready to sponsor transactions. If the users are not registered, then the users cannot create any NFTs or perform other transactions on the network. For each user account, the sponsorship quota amount and transaction fee limits are set to make sure there is no foul play.
A validity check is further added so that invalid transactions are caught early on before the sponsor incurs any fees. Invalid transactions include actions from unregistered users or users who already have used up their sponsorship quota.
What does a sponsor do?
A sponsor:
- Creates a pot with funds
- Registers users for the pot
- Sets or updates reservation quotas and fee limits (tokens set aside for transactions)
- Removes users (when their proxy account is no longer needed. For example, when the account doesn’t have any reserved funds for certain transactions) from a pot
- Deletes a pot
A sponsor also allocates two types of funds with predefined limits that the users cannot exceed:
- Transaction fees for conducting transactions on the network
- Reservation fees or allowance for creating NFTs or other chain-based applications
Read full article from Nodle here
