Mantle Detailed Explanation: The Road to Transformation and Upgrade of the Largest Decentralized BitDAO

2023-06-04 05:07:59

Author: Nan said

With BitDAO community members approving the merger through governance proposal BIP-21, BitDAO announced that it will merge with its funded Ethereum second-layer solution, Mantle Network. , Mantle, and BIT ecology will be collectively named Mantle, the existing governance and DAO will be called Mantle Governance, and BIT tokens will also be converted into Mantle, so how can Mantle stand out from the many L2 public chains?

Introduction:

Mantle is an L2 scaling solution incubated by BitDAO that uses Optimistic rollup, modularity, and decentralized data availability to achieve higher throughput and scalability.

How is Mantle different from other L2 solutions?

Modular Data Availability: By using EigenLayer, Mantle is able to increase transaction throughput beyond traditional L2. Accessible data availability also means that Mantle can increase throughput without compromising security and reducing node operation overhead. This reduces processing requirements for validators and promotes decentralization.
**Multi-Party Computation (MPC): **Mantle uses MPC to minimize the trust risk of L2 execution results. Using Threshold Signature Scheme (TSS) technology, dedicated nodes contribute multi-party signatures to improve the correctness of off-chain transaction execution results. Enables shorter challenge periods for withdrawals.
**Decentralized Sequencer: **Mantle will decentralize its Sequencer to provide secure and trustless block production. By rotating a permissionless set of orderers, Mantle will reduce the possibility of single points of failure or censorship on the network. Mantle will, over time, decentralize its Sequencer to provide secure and trustless block production.

Based on the above characteristics, Mantle adopts a modular solution, using @Eigenlayer as the DA (Data Availability) solution to avoid publishing transaction data on the ETH main network, which means that Mantle enjoys the security of ETH while avoiding transactions on ETH, Provides new scalability possibilities.

In addition to using Biconomy to provide account abstraction, **Mantle also solves two major problems faced by optimistic rollups. **

The first is a single point of failure that a highly centralized sorter can cause.
The second is the current 7-day fraud proof challenge period. By implementing Multi-Party Computation (MPC), Mantle reduced the challenge period to 1-2 days. Passing nodes will independently validate blocks and increase overall confidence.

Node roles in Mantle:

Sorter

Receive and record transactions sent by users in real time

Produce blocks on L2

Aggregate transactions to produce batches with execution state root

Get blocks validated by the MPC network

Broadcast block data (L1 and L2) over the network

Multi-Party Computation (MPC) Node

"Signing" the batch of transactions generated by the Sequencer to send to L1

Broadcast batched multiparty computations over the L2 network after usage validation

Rollup Validator

Sync summary data from Mantle's trusted collator

Verify the state root submitted by Sequencer on L2

Initiate fraud proofs when invalid state data is found

Provide aggregated data to users

DA Node

Choose to be responsible for storing a copy of the Mantle transaction data so that it is ready to be accessed when necessary

Commitments are made by signing the block data they provide with the BLS signature scheme that guarantees its availability. These signatures are verified by the EigenDA contract on Ethereum

BitDao:

It is currently one of the largest DAO organizations. The treasury has a reserve asset of 3.8 billion U.S. dollars and raised 230 million U.S. dollars in June 21.

BitDAO is composed of many builders, focusing on Web 3.0 products, striving to create a win-win ecosystem governed by $BIT token holders. The reason why BitDAO can become popular is inseparable from the contribution of Bybit, the funder behind it. After inquiry, Bybit regularly donates to BitDAO every day, and the average daily donation amount is nearly

4 million US dollars, and the total amount of donations in the past year exceeded 1 billion US dollars.

Team:

The BitDAO community developed Mantle to create a user-friendly network that fulfills the vision of expanding Web3 adoption. The idea was brought to life by Bybit CEO Ben Zhou and other prominent members of the crypto community such as Sreeram from EigenLayer, Dow Jones and Cooper Midroni. Initially, they just thought of this project, and later decided to build an L2 to solve the existing scaling problems of Ethereum.

The Mantle team has over 50 team members operating under horizontal management, here are some of them:

@ArjunKalsy Ecosystem Leader @jacobc_eth Product Owner and Strategic Advisor

Financing:

Mantle is a BitDAO product, which means they have not raised outside funding for the project.

In this regard, BitDAO also completed the private placement of initial partners led by Peter Thiel, Founders Fund, Pantera Capital and Dragonfly Capital in June 21, with a total financing of 230 million US dollars. Other investors include Alan Howard, Jump Capital , Spartan Group, Fenbushi, Kain Warwick (Synthetix), etc.

Now BitDAO has treasury funds of 3.8 billion US dollars (78.3% of which is $BIT), and the current core budget address of Mantle is 14.3 million US dollars (including 9.8 million $BIT and 9.4 million USDC).

route map:

According to the official roadmap, Mantle will launch a test network (EigenDA+OPU) in Q1 of 2023. After the test network runs smoothly for 3 months, it will launch the OPU-based main network (EigenDA+OPU), and the main network will run for 6-12 months. The zk-Rollup-based main network (EigenDA+zkRU) will be launched in a month.

At present, the project is in the second stage of the test network, and the token conversion proposal has been passed. The details of token deployment and conversion are being discussed. The next stage will be the deployment of $MNT tokens and the launch of the mainnet.

Token Economics:

The Mantle ecosystem and the $MNT token are currently undergoing a governance approval process to determine key aspects including token address, token design, and initial token distribution. This process involves key proposals and discussions, such as the BIP-21 merger proposal and the MIP-22 token design discussion.

BIP-21 Proposal Covers Key Points

BIP-21 has approved the brand and token merger and pre-authorized the token conversion plan ($BIT and MNT). It is recommended that formal discussions and votes be held on key issues of the token conversion scheme.

MIP-22 Proposal Covers Key Points

The Mantle Token $MNT shall contain functionality similar to the "upgradeability" and "minting" functionality of $ARB and $OP Tokens.
The one-way token conversion ratio should be set to 1 $BIT token to 3.141 $MNT token. (see update 1)
The Mantle core contributor team will be empowered to determine the best timing and sequence for $BIT token delisting, $MNT token listing, conversion channel opening, and Mantle network mainnet.
It is possible to create a $MNT-ETH DEX liquidity pool by using the benefits of the deconstructed $BIT-ETH pool and referring to the intent of BIP-10.
A temporary conversion library can be established to support the token creation and conversion process.

Currently, there are no formal discussions on macro goals or restrictions on the distribution of MNT tokens. However, the core contributor team provided the following estimated priorities:

User Incentives: This involves driving user adoption of Mantle products through a variety of means including multi-seasonal achievements, quests, and airdrops. Target metrics for user adoption include daily active users, total transaction and protocol fees, total value locked (TVL), and other product adoption metrics.
Technology Partner Incentives: This category includes decentralized applications, infrastructure service providers, and core protocol technology partners that contribute to the Mantle ecosystem.
Core Contributor Team and Advisors: ** The budget, fundraising and allocation process follows strict procedures such as the BIP-19 Mantle Network Budget.
Other: This category includes acquisitions, token swaps, treasury bond sales, and other opportunistic transactions that may arise
Destroy: MNT tokens include a burn function, allowing MNT tokens to be removed from circulation and total supply analysis. The destruction of MNT tokens from the treasury is determined through the Mantle governance process.

Token economics of BIT:

On July 15th, 2021, $BIT token launched with a max supply of 10,000,000,000 tokens (no inflation)

After the MIP-22 vote is passed, it will be converted into $MNT 1:1

Governance:

Mantle governance mainly follows the off-chain governance process. Discussions are initiated by Mantle's core contributor team or community members, and then introduced to the wider Mantle community through forum discussions. Discussions that generate enough interest and positive sentiment may progress to a formal proposal "MIP", which is then voted on by MNT token holders. Once a proposal is approved, individual core contributor team members will support its implementation on the terms outlined in the proposal. This approach is considered an "off-chain" governance process, as the results of governance votes do not automatically trigger product code updates or automated financial operations.

latest progress:

Since the testnet launch on January 10th, 2023, Mantle has been relentlessly implementing its decentralized data availability layer, innovative fraud proofs, decentralized orderer, and more, all with the highest possible quality of work. Five months on, the team is pleased to announce that it will officially upgrade to Mantle Testnet Phase 2 "Ringwood" on May 25, 2023 at 6AM UTC.

**In the latest issue of AMAMantle on May 29th, contributors Igneus Terrenus, Jordi Alexander, and afkbyte answered some community questions. **

**When will the token swap be implemented? **

A token switch from $BIT to $MNT will likely be performed sometime in June. The token swap will take place prior to the Mantle Network mainnet launch to ensure the $MNT token can be used as the network's fuel token (and more).

**What will the token be used for besides GAS? **

The team took a close look at the various L2 and other network tokens that exist today. The goal is to create a strong set of ecosystem rewards and incentives to help facilitate the sustainability of network growth.

**Airdrops and incentive programs work well for this, and **TVL stats show that they help maintain activity on the network. But since $MNT token holders will manage the funds, the team is taking steps to prevent exploitation by sybil attackers. The specifics of Mantle's incentives will be discussed in the future, but the goal will be to ensure that the product and ecosystem benefit from the use of funds.

At present, MIP-22 is voting on the details of token conversion in Snapshot. Voting time is: 3:57 pm, May 31, 2023—3:57 pm, June 7, 2023

ecosystem:

Mantle currently cites 49 projects on its ecosystem page.

A large part of this is in the gaming space, with only a few DeFi/infrastructure projects.

Summarize:

As a public chain on the L2 track, Mantle has extremely fierce competition for its position. OPtimistic and Arbitrum adopt OPtimistic rollup, and Zksync and Starknet adopt Zk-Proof. Based on the Base built by OP Stark, the EVM compatible chain Linea launched by Consensys, the Zk-EVM launched by Polygon, etc., the launch of L2 is essentially to improve the scalability of ETH and reduce costs. So how can Mantle stand out from the many L2 public chains is a problem. The core of Mantle is built using Optimistic rollup, and at the same time, it uses the DA layer of modular components with EigerLayer, and introduces MPC multi-party computing and a more decentralized sorter to achieve improvement. TPS and cost reduction are the solutions proposed by the project.

As a part of BitDao, the BitDao treasury has more than 3 billion funds, which makes Mantle relatively sufficient in terms of funds. However, BitDao, as a Dao organization, has a great relationship with Bybit. In the past year, Bybit More than $1 billion has been donated. Bybit holds a large amount of $BIT, which is one of the reasons why many exchanges do not list $BIT. And after donating 2.7 billion $Bit to the BitDao treasury later, bybit will hold the largest amount of $BIT. So, it's very decentralized at this point. Moreover, the token performance of $Bit has changed from $1.4 in ICO to $0.5 now, which makes many people very worried about the future performance of Mantle.

In terms of the ecosystem, at present, there are mainly game Dapps, while Defi and infrastructure products are relatively few. Mainstream protocols such as Ethereum have not yet been connected to the Mantle testnet. It remains to be seen whether they will be gradually connected after the mainnet is launched. .

Finally, since the test incentives are mentioned in the document and the core staff in the AMA, those who are interested in this can also experience the Mantle testnet by themselves. As for the subsequent development of the ecology, please stay tuned.