Within the blockchain ecosystem, projects often face a trade-off between decentralization, scalability and security.
Traditionally, many choose to optimize the aspect in line with its use-case and value proposition. For some, that may be to hoist the flag of decentralized freedom. Others, meanwhile, seek to onboard critical mass — both for their project and for the community at large.
However, there can be no scalable or decentralized means without a secure environment. LNX Protocol, like CertiK, seeks to solve the trilemma problem with an innovative solution.
LNX Protocol uses the security of blockchain and the scalability of a direct acyclic graph, DAG, to process safe and decentralized transactions at scale. In essence, a “DAG” is a collection of all tasks organized to reflect dependencies, which allows nodes to process transactions simultaneously and provide instant confirmations for scalability. This process allows a safer, tighter, and clearer project that hits all three ends of the triangle, offering decentralization and scale without sacrificing security.
However unlike other DAG projects, LNX creates a non-continuous DAG model. The protocol takes a snapshot of the transactions and aggregates account, asset, and transaction history. This provides a global view of the network while also supporting smart contracts enabling transparency within the platform.
By utilizing a hybrid method, LNX Protocol is able to make a compatible product that’s both familiar and innovative. Unlike traditional blockchains, these transactions are stored as a history of previous owners in the asset, making it of high security while offering other advantages.
Security is a fundamental layer to the LNX Protocol. By partnering with CertiK, the leader in blockchain security, LNX Protocol was able to complement their high security and scalability with CertiK’s smart contract audit in the process.
CertiK was chosen by LNX Protocol to audit the design and execution of the LNX Protocol Token smart contract. To ensure comprehensive review, the source code was analyzed by the proprietary CertiK formal verification engine and manually reviewed by our smart contract experts and engineers.
Formal Verification is the highly specialized process that CertiK uses to mathematically prove the security and correctness of blockchain smart contracts. Unlike manual audits, Formal Verification inspects the entire code and mathematically ensures the platforms works only as it is intended.
CertiK also provided a hands-on, engineering-focused process to close potential loopholes and recommend design changes in accordance with the best practices in the space. This end-to-end process ensured LNX Protocol with proof of stability and confidence knowing their code was secure.
“The LNX Protocol is proud to have passed CertiK’s rigorous audit. We understand the importance of smart contracts into maintaining balance in decentralized communities and we will keep on moving forward to deliver the best results to our community. We would like to thank CertiK and their amazing team for their service.” — LNX Protocol team
Overall we found the smart contracts to follow good practices. With the final update of source code and delivery of the audit report, we conclude that the contract is structurally sound and not vulnerable to any classically known anti-patterns or security issues.
CertiK is a blockchain and smart contract verification platform founded by top Formal Verification experts from Yale and Columbia University. Incubated by Binance Labs, Certik has strategic partnerships with the world’s leading crypto exchanges such as Binance, OKEx, and Huobi, as well as protocols such as NEO, ICON, and QuarkChain.
CertiK’s formal verification method works differently than traditional testing approaches: rather than working manually, CertiK mathematically proves blockchain ecosystem and smart contracts are hacker-resistant and bug-free at scale. CertiK has secured over $4B in asset value, auditing several projects across all major protocols, including BNB, Terra, Crypto.com, and TUSD.