The world of blockchain and cryptocurrency is evolving rapidly, with the introduction of new products and tools such as decentralized applications (DApps). In this network, a noteworthy element is NFTs (non-fungible tokens). Typically, the Ethereum blockchain is used to trade and mint NFTs, primarily due to the security provided by its standard smart contracts. However, this also increases the burden on the blockchain, causing gas fees to rise significantly. This is where Immutable X steps in, as a layer 2 scalability solution designed specifically for Ethereum NFTs. Here's a closer look at Immutable X and how it works.
What is Immutable X?
Immutable X is a groundbreaking layer 2 technology on the Ethereum blockchain designed to solve the scalability challenges of the NFT market. It provides a solution to Ethereum’s scalability issues, especially for NFTs and blockchain games. Founded in Surrey Hills, Australia in 2018 by James Ferguson, Robbie Ferguson and Alex Connolly in partnership with StarkWare, Immutable X is focused on providing a seamless experience for users and developers in the NFT space.
The platform uses StarkWare’s zero-knowledge aggregation technology, allowing it to process more than 9,000 transactions per second (TPS), significantly higher than the requirements of mainstream NFT projects. It allows the creation, trading, and management of NFT and ERC-20 tokens with zero fees, instant transaction execution, and carbon neutrality, making it ideal for NFT projects, blockchain games, and other applications that require high scalability Attractive options.
Unique features of Immutable X include its proprietary IMX token, which serves as a utility and governance token with a total supply of 2 billion. It also emphasizes environmental responsibility, offering a fully carbon-neutral NFT marketplace by partnering with climate-conscious companies like Trace and Cool Effect. The platform has received attention and investment from major institutions such as Temasek, Tencent, Animoca Brands, and Arrington Capital. Its partnership with GameStop to launch the GameStop NFT marketplace and the creation of a $100 million IMX token fund to support NFT game creators are important milestones that highlight its growing influence in the digital asset space.
How Immutable X works
Immutable X is a cutting-edge layer 2 blockchain solution on the Ethereum network that features integration with StarkWare’s zk-rollup scaling engine, StarkEx. The platform is tailor-made to enhance the scalability and efficiency of NFT transactions. Here is a structured overview of its main features and functionality:Core Technology: Zero Knowledge (ZK) Rollups
ZK-Rollup process: Bundles a large number of transactions into a single zk-STARK proof, significantly reducing the computational resources required for block verification.
Privacy and Security: Using zero-knowledge proof, transactions can be verified without revealing detailed data, enhancing user privacy and security.
Scalability and speed:High Transaction Capacity: Capable of processing over 9,000 NFT transactions, minting, and transfers per second.
Efficiency: Provides significant scalability improvements, especially for blockchain gaming and NFT markets.
Platform design and components
StarkWare’s zk-rollup: A key component for improving blockchain efficiency and reducing gas fees.
Link Mediator: Facilitates communication between Ethereum and Immutable X, allowing transactions to be made using Ethereum wallets.
Fee structure: Includes a 2% fee for NFT transactions and allows market participants to set additional fees.
Additional feature: immutable zkEVM
Integrate with the Ethereum Virtual Machine: enable complex interactions such as custom smart contracts.
Diverse applications: suitable for NFT creation, trading and blockchain games.
Partners and use cases:Partnering with GameStop: Targeting their NFT marketplace.
NFT-based games: including Gods Unchained, demonstrating the utility of the platform in the gaming field.
User experience and environmental considerations
APIs and SDKs: Simplify blockchain interactions for users and developers.
Carbon Neutral Approach: Focused on minimizing environmental impact while enabling efficient NFT transactions.
All in all, Immutable X is a comprehensive solution for NFT transactions that offers speed, scalability, and security while also taking into account environmental impact. Its integration with StarkWare technology and user-friendly design make it an attractive platform for a variety of blockchain applications.
What is IMX?
The IMX token is the native token of the Immutable X protocol and the cornerstone of its ecosystem. With a total supply of 2 billion, this ERC-20 utility and governance token plays a multifaceted role in terms of transaction fees, staking, governance, and incentivizing platform participation.
Utility and Incentives: Transaction Fees: Immutable X charges a 2% fee and protocol fees on all secondary transactions, paid in IMX tokens. This fee structure is separate from Ethereum gas fees and integrates the IMX token into daily platform usage.
User Rewards: Users are rewarded for platform activities such as trading NFTs, and the rewards are paid in the form of IMX tokens, thereby enhancing user engagement and promoting ecosystem development.
Staking and Rewards:Staking mechanism: IMX token holders can stake their tokens in the Immutable X protocol. Rewards are regularly distributed to active stakeholders every 14 days, promoting long-term holding and ecosystem participation.
Participation criteria: To receive staking rewards, users must hold IMX, participate in governance votes, and actively participate in the platform by holding NFTs or completing transactions.
Governance and influence
Decentralized Governance: IMX holders have voting rights on important proposals involving token-related decisions, such as reserve allocation, token supply changes, and activation of daily rewards. Their voting power is proportional to the tokens they hold.
Ecosystem Development: Proposals and decisions made by IMX holders directly impact the trajectory and development of the Immutable X platform, ensuring a community-driven approach.
Token distribution
Allocation for ecosystem growth: A significant portion of IMX tokens are allocated for ecosystem growth, including user rewards and developer grants.
Funding and Partnerships: Immutable X participates in strategic partnerships and funding rounds, including private and public token sales, to further grow and expand impact.
In summary, the IMX token is a key element of the Immutable X ecosystem, facilitating transaction fee payments, staking, governance, and user incentives. Its integration into platform operations and emphasis on community engagement through governance solidifies its role as not just a digital asset, but a key driver of platform growth and development.
Projects built on Immutable X
Immutable X is a prominent layer 2 blockchain platform that has become a hub for a variety of innovative games that leverage its infrastructure to enhance player experience and NFT integration.
Gods Unchained: A card game that makes money while you play, each card is a tradable NFT. Players strategize to reduce the health of their opponent's god character. NFT trading volume has increased since migrating to Immutable X in June 2021.
Ilvim: An open-world role-playing game and auto-battle game set on the Ethereum blockchain. Players capture and fight the Illuvial, the monsters that populate the world. Offers fast, gas-free NFT minting and trading on the Illuvium marketplace. It is expected to be released in early 2023 as the first AAA game among NFT games with 3D sci-fi movie effects.
Guardian Guild
A multiplayer role-playing game where players form teams of guardians. Developed by Stepico Games with a focus on scalability and user experience. Scheduled for release on Android and iOS in 2023.
Wagmi Game: A futuristic tower defense game set in the year 3022. Players choose humans or aliens to defend the tower using troops and traps.
Immortal Blocks: A AAA game from Wagyu Games. Players will explore and fight in this game, taking advantage of the seamless trading and minting experience provided by Immutable X.
in conclusion
Immutable X is changing the future of NFT and blockchain gaming. Through its high scalability, zero fees, fast transaction processing, and commitment to a carbon-neutral ecosystem, Immutable X is a key player in the development of the NFT and blockchain gaming space. As more projects join and the technology further develops, Immutable X's influence will continue to grow and become an indispensable part of the blockchain world.