Dear aelf Community Members,

Welcome to the June edition of the aelf Monthly Digest! This article provides an overview of the advancements in aelf’s technology, highlights ecosystem development, recaps events held during the past month and shares Web3 industry insights.

Technology

1. aelf's Brand-New Website Launched

We're thrilled to announce the launch of our brand-new website, aelf.com! Designed with a user-friendly interface and updated content, the site offers an enhanced browsing experience and comprehensive information about our blockchain technology, latest news, and events. Explore the new features and stay updated with all things aelf.

2. New aelf Developer Resource Center

We are also excited to unveil our new Developer Resource Center. This dedicated hub provides developers with a wealth of resources, including documentation, tutorials, and tools to support and accelerate your development journey on the aelf blockchain. Whether you're a seasoned developer or just getting started, our Developer Resource Center is your go-to source for everything you need.

3. aelf Cloud-Native Computing

In June, the project improved the stability and performance of the cloud-native computing capabilities, with a significant expected improvement in TPS in the next version. Deployment on the aelf Mainnet is anticipated in July 2024.

4. aelf Explorer

The new version of aelf Explorer has been launched in June with several new features:

Contract Methods and Transactions: Users can now view contract methods and send transactions directly using the aelf wallet or Portkey wallet within the explorer.
NFT Module: A new NFT module displays detailed NFT information and pricing data, keeping users updated on on-chain NFT data.
Charts Module: A new charts module supports multi-dimensional data statistics for chain nodes and blocks, providing a clearer understanding of on-chain node transaction volumes and activity.
Plugin Feature: The explorer now supports plugins, allowing external applications to integrate and display their data. External dapps can showcase their business data through these plugins.

Ecosystem

aelf Ecosystem dApps Highlight

Project Schrodinger

In June, Project Schrodinger continued to thrive with exciting developments and achievements! They kicked off the month with a joint campaign with GaFin, offering participants a chance to win $1,000 worth of USDT and $SGR tokens by completing the Zealy quests. Project Schrodinger also celebrated another milestone with 190,000 users registered and over 230,000 $SGR tokens used to adopt cat NFTs. To elevate users' minting experience, Project Schrodinger also introduced new product updates: an all-new event tab on Project Schrodinger's main page. Additionally, when minting a rare Gen9 cat NFT, users will now be greeted with dazzling light and streamer effects, enhancing the experience on their platform. We are excited about the various achievements of Project Schrodinger and continue to root for them as they continue to innovate and grow the aelf ecosystem.

ETransfer

ETransfer, a cross-chain bridging platform, has just released its Gitbook page. Dive into the ultimate guide to seamless cross-chain services and discover how ETransfer allows fast, cost-effective asset transfers with a user-friendly experience. Follow them on X to stay updated.

AwakenSwap

aelf's first DEX and one of the key drivers of Project Schrodinger's SGR token, AwakenSwap, recently underwent a Smart Contract Security Assessment, which they passed with no critical issues found. Read the summary or refer to the Audit Report by Zellic for more details.

TMRWDAO

TomorrowDAO (abbreviated as TMRWDAO) is a broad-based DAO platform and governance model for aelf and the aelf ecosystem to achieve decentralised governance. The platform enables the creation of various types of DAO organisations, the definition of governance matters (such as network, ecosystem, grant, building, etc.), the establishment of the Treasury, and a series of functions and mechanisms like proposal initiation, voting (staking), and execution. Stay tuned to their X account as more details will be announced soon!

AeFinder

In the June release, AeFinder introduced several key updates:

Management Page: A management page was added for easier operations such as deploying AeFinder Apps, viewing deployed apps, modifying subscription information, and changing settings for indexed and queried data.
Project Setup: Generation and downloading of AeFinder App projects is enabled, allowing developers to quickly set up their own projects.
Log Query Page: A log query page for AeFinder Apps is now provided, enabling real-time viewing of data indexing logs to facilitate debugging and issue resolution.
GraphQL Playground: A GraphQL Playground page is available for easier querying of indexed data.
Data Processing Optimisation: Improvement of the data processing mechanism of AeFinder Apps, enhancing performance and service stability.

AetherLink

In June, AetherLink introduced several updates. Firstly, a monitoring and collection module was added to AetherLink nodes, now deployed on Testnet, allowing node providers to monitor their nodes' operational and task statuses. Additionally, Portkey ZKP login is now supported on Testnet, enabling the Portkey application to use Zero-Knowledge Proofs (ZKP), and AetherLink provides a trusted Google Kid public key upload capability.

Events

1. AI Apex Asia 2024

We were honoured to participate in the inaugural AI Apex Asia 2024 conference in Singapore and contribute to a collective mission of driving collaborative efforts to enhance progress and access to AI technology. Our COO, Brian Liang, had the privilege of participating in a panel discussion on "The Convergence of AI and Web3", where he, along with panellists Michael Heinrich, Yang Liu, and Dr. George S., shared insights on how blockchain and Web3 technology can work in tandem with AI solutions.

2. AI X Blockchain Industry Showcase

On June 20th, aelf and Plug and Play APAC co-organised "How AI and Blockchain Can Boost Your Business," an industry showcase delving into the future of technology, emphasising the synergistic potential of AI and blockchain for business enhancement. The evening boasted a lineup of engaging panel discussions, live demonstrations, and a networking dinner, marking a highlight in collaborative technological exploration. We are enthusiastic about having been integral to such a vibrant gathering and eagerly anticipate future collaborative endeavours. Our heartfelt thanks go out to our partners Plug and Play, Amazon Web Services (AWS), Searce Inc, and to the remarkable speakers from ChainsAtlas Labs, Morpheus Labs, Aethir, and Project Schrodinger for their insightful contributions.

Industry Insights

This month, we published 2 Industry Insights articles:

1. Blockchain Layers Explained: Layer 0, Layer 1, Layer 2, Layer 3

This article provides an overview of blockchain layers, from the foundational physical layer (Layer 0) to the application layer (Layer 3). It discusses key protocols and consensus mechanisms in Layer 1, scaling solutions in Layer 2, and decentralised applications (DApps) in Layer 3. Comparisons between layers are made, highlighting their interactions and dependencies, and future trends and innovations are examined.

2. Crypto Basics: A Beginner's Guide to Understanding the Fear and Greed Index

This article is a beginner's guide to the Fear and Greed Index – a crucial sentiment indicator in crypto trading. Exploring its calculation, interpretation, and practical applications, the article emphasises its role in gauging market sentiment and managing risk.

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*Disclaimer: The information provided on this blog does not constitute investment advice, financial advice, trading advice, or any other form of professional advice. Aelf makes no guarantees or warranties about the accuracy, completeness, or timeliness of the information on this blog. You should not make any investment decisions based solely on the information provided on this blog. You should always consult with a qualified financial or legal advisor before making any investment decisions.

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About aelf

aelf, the pioneer Layer 1 blockchain, features modular systems, parallel processing, cloud-native architecture, and multi-sidechain technology for unlimited scalability. Founded in 2017 with its global hub based in Singapore, aelf is the first in the industry to lead Asia in evolving blockchain with state-of-the-art AI integration, transforming blockchain into a smarter and self-evolving ecosystem.

aelf facilitates the building, integrating, and deploying of smart contracts and decentralised apps (dApps) on its Layer 1 blockchain with its native C# software development kit (SDK) and SDKs in other languages, including Java, JS, Python, and Go. aelf’s ecosystem also houses a range of dApps to support a flourishing blockchain network. aelf is committed to fostering innovation within its ecosystem and remains dedicated to driving the development of Web3, blockchain and the adoption of AI technology.

Find out more about aelf and stay connected with our community:

Website | X | Telegram | Discord

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Back to Blog

Tool/Platform	What's it about
ChainGPT	An AI-powered assistant for the blockchain and crypto industry, specializing in content creation, language translation, smart contract coding, and more.
aelf	A high-performance, customisable multi-chain blockchain framework with AI-powered smart contracts and a developer-friendly environment.
Quick Intel	An AI-powered crypto security platform that helps investors avoid scams, rug pulls, and honeypots by analysing smart contracts, social sentiment, and on-chain data.
Cogwise AI News Aggregator	An AI-powered news aggregator that analyses real-time news and global trends to predict market movements in the crypto market.
OpenAI Codex	An AI system that transforms natural language into code, automating code creation for smart contracts, blockchain applications, and other development tasks.
QnA3	An AI-powered Web3 knowledge hub that provides real-time information and insights on cryptocurrencies, blockchain projects, and the broader Web3 ecosystem, with unique Solana Actions integrations.
Fetch.ai	A platform that combines AI and blockchain to create autonomous economic agents (AEAs) for various applications, including supply chain optimisation and smart city management.
Octavia	A decentralised digital identity (DID) platform for creating and managing self-sovereign digital identities, empowering users to control their data and online presence.
TensorFlow	A versatile open-source machine learning framework used for building AI models that can analyse blockchain data, enhance security, and predict market trends.
Alethea	A platform that creates 'Intelligent NFTs' (iNFTs) with unique personalities and the ability to engage in conversations, powered by AI and blockchain technology.

Tool/Platform

What's it about

ChainGPT

An AI-powered assistant for the blockchain and crypto industry, specializing in content creation, language translation, smart contract coding, and more.

aelf

A high-performance, customisable multi-chain blockchain framework with AI-powered smart contracts and a developer-friendly environment.

Quick Intel

An AI-powered crypto security platform that helps investors avoid scams, rug pulls, and honeypots by analysing smart contracts, social sentiment, and on-chain data.

Cogwise AI News Aggregator

An AI-powered news aggregator that analyses real-time news and global trends to predict market movements in the crypto market.

OpenAI Codex

An AI system that transforms natural language into code, automating code creation for smart contracts, blockchain applications, and other development tasks.

QnA3

An AI-powered Web3 knowledge hub that provides real-time information and insights on cryptocurrencies, blockchain projects, and the broader Web3 ecosystem, with unique Solana Actions integrations.

Fetch.ai

A platform that combines AI and blockchain to create autonomous economic agents (AEAs) for various applications, including supply chain optimisation and smart city management.

Octavia

A decentralised digital identity (DID) platform for creating and managing self-sovereign digital identities, empowering users to control their data and online presence.

TensorFlow

A versatile open-source machine learning framework used for building AI models that can analyse blockchain data, enhance security, and predict market trends.

Alethea

A platform that creates 'Intelligent NFTs' (iNFTs) with unique personalities and the ability to engage in conversations, powered by AI and blockchain technology.

Chain	URL	Explorer
AELF	https://aelf-test-node.aelf.io/	https://explorer-test.aelf.io/
tDVW	https://tdvw-test-node.aelf.io/	https://explorer-test-side02.aelf.io/

Chain

URL

Explorer

AELF

https://aelf-test-node.aelf.io/

https://explorer-test.aelf.io/

tDVW

https://tdvw-test-node.aelf.io/

https://explorer-test-side02.aelf.io/

Feature	Description
Inheritance	ERC-404 inherits from the interfaces IERC-404, IERC721 Receiver, and IERC165, implementing functions specified in these interfaces, behaving as both ERC20 and ERC721.
Data Structures	Mappings track balances, allowances, approvals, and ownership of tokens. Double-ended queue stores ERC721 token IDs. Data for managing ownership and indices of ERC721 tokens.
Constructor	Initialises token name, symbol, decimals, and other necessary variables for ERC20 and ERC721 tokens.
Token Minting and Burning	_mintERC20 function for minting ERC20 tokens. _retrieveOrMintERC721 function for minting ERC721 tokens and retrieving from a bank. _withdrawAndStoreERC721 function for depositing ERC721 tokens into the bank.
Transfers	Functions for transferring ERC20 and ERC271 tokens between addresses. Distinguishes between token types based on ID. _transferERC20WithERC721 function handles transfers involving both types.
ERC20 and ERC721 Interactions	Approve function handles approvals for both token types. Functions like transferFrom, safeTransferFrom, and permit handle transfers and approvals.
EIP-2612 Support	Supports EIP-2612 permit functionality for ERC20 tokens.
Interface Compatibility	Implements necessary functions for ERC-404 and ERC165 interfaces, indicating compatibility with ERC20 and ERC721 standards.

Feature

Description

Inheritance

ERC-404 inherits from the interfaces IERC-404, IERC721 Receiver, and IERC165, implementing functions specified in these interfaces, behaving as both ERC20 and ERC721.

Data Structures

Mappings track balances, allowances, approvals, and ownership of tokens. Double-ended queue stores ERC721 token IDs. Data for managing ownership and indices of ERC721 tokens.

Constructor

Initialises token name, symbol, decimals, and other necessary variables for ERC20 and ERC721 tokens.

Token Minting and Burning

_mintERC20 function for minting ERC20 tokens. _retrieveOrMintERC721 function for minting ERC721 tokens and retrieving from a bank. _withdrawAndStoreERC721 function for depositing ERC721 tokens into the bank.

Transfers

Functions for transferring ERC20 and ERC271 tokens between addresses. Distinguishes between token types based on ID. _transferERC20WithERC721 function handles transfers involving both types.

ERC20 and ERC721 Interactions

Approve function handles approvals for both token types. Functions like transferFrom, safeTransferFrom, and permit handle transfers and approvals.

EIP-2612 Support

Supports EIP-2612 permit functionality for ERC20 tokens.

Interface Compatibility

Implements necessary functions for ERC-404 and ERC165 interfaces, indicating compatibility with ERC20 and ERC721 standards.

Role	Max Number
BP	2N+1, N starts from 8 in 2022
Candidate node	5*(2N+1)
Voter	No limit

Role

Max Number

2N+1, N starts from 8 in 2022

Candidate node

5*(2N+1)

Voter

No limit

Benefits	Description
Makes smart contracts 'smarter'	AI-driven smart contracts can autonomously modify terms based on predefined conditions and real-time data input, ensuring that the contracts are not just automated but also intelligent and self-improving over time.
Levelled up data analysis	Data is the new oil, and AI is the machinery that refines it. It is possible for AI to reduce large-volume blockchain data analysis time by up to 90%.
Boosts security	Through machine learning models, AI can prevent frauds and detect security threats in real time. It can identify potential breaches, predict future threats, and adapt to evolving security measures.
Lowers carbon footprint	AI algorithms help optimise energy consumption in blockchain operations, given the flak drawn by activities like Bitcoin mining.

Benefits

Description

Makes smart contracts 'smarter'

AI-driven smart contracts can autonomously modify terms based on predefined conditions and real-time data input, ensuring that the contracts are not just automated but also intelligent and self-improving over time.

Levelled up data analysis

Data is the new oil, and AI is the machinery that refines it. It is possible for AI to reduce large-volume blockchain data analysis time by up to 90%.

Boosts security

Through machine learning models, AI can prevent frauds and detect security threats in real time. It can identify potential breaches, predict future threats, and adapt to evolving security measures.

Lowers carbon footprint

AI algorithms help optimise energy consumption in blockchain operations, given the flak drawn by activities like Bitcoin mining.

Fund house	Known for	Description
Grayscale Investments	Market leader, extensive experience	Known for pioneering cryptocurrency ETFs
Ark Invest	Innovative approach, tech-forward	Led by renowned investor Cathie Wood
Fidelity Investments	Established trust, large client base	Strong presence in both traditional finance and crypto
VanEck	Diversification, Risk management	Pioneers in commodity-linked ETFs
Invesco	Strong research, broad market reach	Expertise in global ETF offerings
Bitwise Asset Management	Crypto-focused, deep sector knowledge	Early entrant into crypto index funds
WisdomTree	Strategic asset management, innovative solutions	Notable for integrating crypto assets into traditional portfolios
ProShares	ETF expertise, market adaptability	Launched the first Bitcoin-linked ETF in the U.S

Fund house

Known for

Description

Grayscale Investments

Market leader, extensive experience

Known for pioneering cryptocurrency ETFs

Ark Invest

Innovative approach, tech-forward

Led by renowned investor Cathie Wood

Fidelity Investments

Established trust, large client base

Strong presence in both traditional finance and crypto

VanEck

Diversification, Risk management

Pioneers in commodity-linked ETFs

Invesco

Strong research, broad market reach

Expertise in global ETF offerings

Bitwise Asset Management

Crypto-focused, deep sector knowledge

Early entrant into crypto index funds

WisdomTree

Strategic asset management, innovative solutions

Notable for integrating crypto assets into traditional portfolios

ProShares

ETF expertise, market adaptability

Launched the first Bitcoin-linked ETF in the U.S

Pros	Cons
Enhanced Efficiency and Automation	Security and Reliability Concerns
Advanced Analytics and Predictive Modelling	Ethical and Regulatory Dilemmas
New Financial Products and Services	Centralisation Paradox: Power is concentrated in the hands of a few

Pros

Cons

Enhanced Efficiency and Automation

Security and Reliability Concerns

Advanced Analytics and Predictive Modelling

Ethical and Regulatory Dilemmas

New Financial Products and Services

Centralisation Paradox: Power is concentrated in the hands of a few

	Layer 1	Layer 2	Layer 3
Function	Core blockchain operations (consensus, security)	Scaling and efficiency improvements	Application layer (dApps, smart contracts)
Examples	Bitcoin, Ethereum	Lightning Network, Plasma	Decentralised exchanges, NFT marketplaces
Scalability	Limited by design	Enhanced through off-chain processing	Dependent on underlying layers
Security	High, due to decentralisation	Relies on Layer 1 for finality and security	Inherits security from Layer 1 and 2
Primary Role	Foundation of the blockchain network	Alleviates congestion, speeds up transactions	User interaction and functionality

Layer 1

Layer 2

Layer 3

Function

Core blockchain operations (consensus, security)

Scaling and efficiency improvements

Application layer (dApps, smart contracts)

Examples

Bitcoin, Ethereum

Lightning Network, Plasma

Decentralised exchanges, NFT marketplaces

Scalability

Limited by design

Enhanced through off-chain processing

Dependent on underlying layers

Security

High, due to decentralisation

Relies on Layer 1 for finality and security

Inherits security from Layer 1 and 2

Primary Role

Foundation of the blockchain network

Alleviates congestion, speeds up transactions

User interaction and functionality

AI Crypto Project	Category
Fetch.ai (FET)	Decentralised AI
SingularityNET (AGIX)	Decentralised AI Marketplace
Ocean Protocol (OCEAN)	Data Sharing and Monetisation
The Graph (GRT)	Blockchain Data Indexing
Numerai (NMR)	Crowdsourced Machine Learning
Cortex (CTXC)	AI Execution on Blockchain
Golem (GLM)	Decentralised Cloud Computing
NEAR Protocol (NEAR)	Scalable Blockchain Platform
Akash Network (AKT)	Decentralised Cloud Computing
Render Token (RNDR)	Distributed GPU Rendering

AI Crypto Project

Feature	Parallel Execution Scheduling	Sharding
Strategy	Concurrent execution of non-conflicting transactions within a single blockchain	Partitioning the blockchain into multiple shards, each processing a subset of transactions
Advantages	Increased transaction throughput, faster confirmation times, reduced fees	Enhanced scalability, improved network capacity, potential for increased decentralisation
Challenges	Complexity of dependency analysis, potential for security vulnerabilities	Complexity of cross-shard communication, potential for increased centralisation
Suitability	Suitable for blockchains with relatively low transaction volumes or those where maintaining a single, unified state is crucial	Suitable for blockchains with high transaction volumes or those where scalability is a primary concern

DEX	Best For
Uniswap	Largest DEX, high liquidity, popular for trading ERC-20 tokens on Ethereum
AwakenSwap	Multi-chain DEX, user-friendly interface, good for beginners
SushiSwap	Similar to Uniswap, offers yield farming opportunities and staking rewards
PancakeSwap	Leading DEX on Binance Smart Chain, lower fees, good for BEP-20 token trading
Curve Finance	Stablecoin trading and low slippage, ideal for large trades with minimal price impact
Balancer	Automated portfolio management and customisable liquidity pools
1inch	DEX aggregator, finds best prices across multiple DEXs, saves on gas fees
Kyber Network	Instant token swaps and high liquidity, suitable for quick trades
Bancor	Automated market making and single-sided liquidity provision, reduces impermanent loss risk
ZKSwap	Layer-2 DEX on ZK-Rollups, offers faster and cheaper transactions with improved scalability
dYdX	Decentralised derivatives exchange, offering perpetual contracts and margin trading

Feature	Description
Accuracy	High accuracy in data analysis and trade execution is crucial for minimising errors and maximising profit potential
Real-time Analysis	Ability to perform real-time market analysis to seize opportunities as they arise
Backtesting Capabilities	Essential for testing strategies against historical data to ensure reliability and effectiveness
Customisation	Offers flexibility to tailor trading strategies according to your specific needs and market conditions
Security	Strong security measures to protect against hacking and unauthorised access
User-Friendly Interface	Easy-to-navigate interface, allowing even beginners to deploy and manage trades effortlessly
Technical Support	Reliable customer support to assist with any technical issues or questions
Compatibility	Integration with various platforms and brokers for a seamless trading experience
Performance Metrics	Ability to provide transparent and accurate info on historical performance, and key metrics like moving averages. Low latency arbitrage strategies give insights into trading performance and decision-making accuracy.
Cost	The cost of using AI trading bots can vary depending on fee model (i.e. monthly subscription vs commission)

Feature	Decentralised Exchanges (DEXs)	Centralised Exchanges (CEXs)
Security	Higher security due to no central point of failure	Lower security, prone to large-scale hacks
Control Over Assets	Full control over private keys and assets	Users must trust the exchange with their private keys
Regulation	Less regulated, offering more freedom	Heavily regulated, leading to restrictions
Liquidity	Rising liquidity without significantly impacting market price	Higher liquidity, with more users and trading pairs
Ease of Use	More complex, requiring knowledge of wallets and keys	User-friendly interfaces, suitable for beginners

Benefit	Description
Expands smart contract capabilities	AI oracles enable smart contracts to access and process real-world data, significantly broadening their potential use cases beyond simple on-chain transactions
Automation and efficiency	By automating data retrieval and validation, AI oracles streamline processes, reduce manual intervention, and improve efficiency across various industries
Trust and transparency	AI oracles, especially decentralised ones, enhance trust and transparency by providing verifiable and tamper-proof data sources for smart contracts
Innovation and new possibilities	The combination of AI and blockchain through oracles opens up new avenues for innovation, enabling the creation of decentralised applications that were previously unimaginable

aelf Monthly Digest – June 2024

Dear aelf Community Members,

Technology

1. aelf's Brand-New Website Launched

2. New aelf Developer Resource Center

3. aelf Cloud-Native Computing

4. aelf Explorer

Ecosystem

aelf Ecosystem dApps Highlight

Project Schrodinger

ETransfer

AwakenSwap

TMRWDAO

AeFinder

AetherLink

Events

1. AI Apex Asia 2024

2. AI X Blockchain Industry Showcase

Industry Insights

About aelf

Blockchain Guide: 7 Consensus Mechanism Types, and How AI Turbocharges Them

Beginner's Guide to Sharding: Scaling Blockchain for the Masses

	Sharding	Layer 2 Solutions	Sidechains
Definition	Divides blockchain into smaller pieces called shards, each processing its own transactions and smart contracts	Builds secondary protocols on top of the main blockchain to handle transactions off-chain	Separate blockchains linked to the main chain, allowing for independent transaction processing
Scalability	Increases capacity by parallel processing across multiple shards	Offloads transactions from the main chain to enhance speed without altering base layer	Expands network capacity by adding parallel chains
Security	Maintains security through cross-shard communication and consensus mechanisms	Security is partially dependent on the underlying blockchain, with some added risks	Potentially weaker security compared to the main chain, risk of isolated attack vectors
Complexity	Requires sophisticated coordination and consensus among shards	Involves complex off-chain protocols and transaction routing	Needs robust mechanisms for cross-chain communication and consensus
Examples	Ethereum 2.0	Bitcoin's Lightning Network, Ethereum's Optimistic Rollups	Polygon, Rootstock

Consensus Mechanism	Energy Consumption	Scalability	Security	Decentralisation	Example Blockchains
Proof of Work (PoW)	High	Low	High	High	Bitcoin, Ethereum (historically)
Proof of Stake (PoS)	Low	High	Medium	Medium	Ethereum 2.0, Cardano, Solana
Delegated Proof of Stake (DPoS)	Low	High	Medium	Low	EOS, Tron, Steemit
Practical Byzantine Fault Tolerance (PBFT)	Low	Medium	High	Low	Hyperledger Fabric
Proof of Authority (PoA)	Low	High	Medium	Low	VeChain, POA Network
Proof of Elapsed Time (PoET)	Low	Medium	Medium	Low	Hyperledger Sawtooth
DAG-based consensus	Low	High	Medium	Varies	Hashgraph, IOTA