Upgradeability

Reef Chain has been designed to be self-upgradable by default. New features, security updates, and performance optimizations are instantly installed on Reef Chain through scheduled updates, without the need for any complicated blockchain forks.

Scalability

Reef Chain has a much higher transaction throughput as compared to legacy Ethereum and is more efficient with blockchain storage. The increased scalability ensures that the user experience is not hindered even when network traffic is excessively high.

Solidity Support

Reef Chain supports Solidity, an object-oriented programming language for writing smart contracts on various blockchain platforms, most notably Ethereum. DApp developers are able to port existing DeFi applications from legacy Ethereum to Reef Chain without modifying the base code written in Solidity. This will let DeFi investors enjoy their favorite applications with a much superior user experience.

Nominators

Nominators on Reef Chain are responsible for voting for and electing competent Validators (block producers). Nominators are rewarded with part of the revenue share generated by the Validators. However, if a Validator misbehaves in a fraudulent manner, Nominators can lose their bonded stake.

Validators

Validators on Reef Chain are responsible for reliable block production. The Validators are elected by Nominators and require strong technical skills and quick problem-solving ability as the baseline. The Validators may also provide additional services to the community, such as:


- Host Reef Chain boot nodes


- Host fast sync block export/import infrastructure


- Develop and maintain DevOps tooling


- Develop and maintain security tooling


- Develop and maintain block explorers, RPC nodes, SQL indexers and other public infrastructure

Governance

Reef Chain has been built with upgradability and long-term sustainable governance in mind. The governance responsibility is split into two groups:


- Technical Council, which is elected via Proof of Commitment and is responsible for reviewing and approving blockchain updates.


- Validators, which are elected via Nominated Proof of Stake and are responsible for reliable block production.

What is Nominated Proof of Stake?

Nominated Proof of Stake (NPoS) is the consensus algorithm used in Substrate-based blockchains, such as Reef Chain, Polkadot, Kusama, and Edgeware. The main actors involved in NPoS are Validators and Nominators. NPoS ensures:


- Decentralization and fair representation through ‘proportional justified representation’, which assigns slots to validators proportional to their nominations.


- High security through ‘maximin support’, which distributes the nominated stake such that every validator in the active set has roughly the same amount of stake backing it.

Transaction Time

In high liquidity markets, transactions are completed much faster as compared to markets with low liquidity because of the large number of market participants. Trading in liquid markets is also beneficial for short-term traders as they are able to enter and exit a trade quickly and easily.

Fair Prices

Foreign exchange liquidity fair prices are important in a liquid exchange as they facilitate fair prices amongst the community in the market, which hosts a larger number of traders. High commercial activity forces sellers to sell their assets at competitive prices, and buyers in turn will bid higher prices. In this way, an equilibrium market price that is fair to both buyers and sellers is formed.

Market Liquidity

In the field of business, economics, or investment, market liquidity is a characteristic of the market whereby people or companies can buy or sell assets quickly without causing drastic changes in asset prices. Liquidity involves the trade-off between the asset's selling price and the selling speed. In a liquid market, the trade-off is soft: people can sell quickly without having to accept a significantly lower price. In a relatively illiquid market, assets must be discounted to sell quickly.

Liquidity Bridge

Reef Liquidity Bridge will allow users to wrap existing ERC-20 tokens to REEF-20 tokens, and transfer liquidity from Ethereum to Reef Chain (link). This enables users to access the advanced features Reef Chain provides, such as high scalability, low transaction fees, and self upgradability.

Reef 20

REEF-20 is the official token standard on Reef Chain. Reef users and developers can create their own REEF-20 tokens, or port existing tokens from legacy Ethereum onto Reef Chain through the liquidity bridges.

Reef Token

REEF tokens are the fuel of the Reef ecosystem. Holders of REEF tokens participate in the governance of the network and vote on various proposals, including but not limited to changing the structure of the Reef Baskets, altering pool attributes, altering the structure of the DAO, and so on. REEF tokens also empower the holders to stake their tokens, earn staking rewards, and participate in a host of DeFi farming programs.

Reef Staking

REEF holders are able to stake their REEF tokens to the Validators of Reef Chain and participate in the consensus process and governance of the network. Stakers also earn attractive rewards on the REEF tokens that they stake.

Reef Debit Card

Reef will be the first protocol in the DeFi space to offer DeFi Debit Cards. DeFi Debit Cards will be rolled out in Q2 of 2021. Over 60 million merchants worldwide accept the Reef Finance Debit Card. Holders of Reef's DeFi Debit Card are able to easily spend the yields they earn on Reef’s platform and earn lucrative cashback in the form of REEF tokens for the money they spend.

Reef Chain

Reef Chain is an EVM compatible DeFi blockchain developed on the Substrate framework. Reef Chain offers high scalability, low transaction fees, and a host of other features required to power DeFi DApps. Reef Chain allows developers to seamlessly port their existing applications from legacy Ethereum to Reef Chain without any change in the base code.