Avail is the first modular data availability layer that uses validity proofs along with data availability sampling. This allows developers to build blockchains that scale effectively as demand increases. To understand what this means and how it works, we share our in-depth review of the project with you.
Avail is described as a decentralized ordering service that supports various types of rollups, such as EVM rollups, SVM rollups, Move rollups, and Risc Zero rollups.
Rollups are solutions that execute transactions outside the main Ethereum chain (off-chain), but post transaction data on-chain. This approach helps scale by reducing the load on the main chain while still ensuring security and data availability.
For example, rollups are no longer just general-purpose solutions. They are becoming highly specialized and can cater specifically to NFTs or swaps, making them much more granular.
The Avail protocol facilitates easier verification through data sampling, allowing rollup developers to innovate without the burden of managing cryptoeconomic security.
Data availability in blockchain is crucial for maintaining the integrity and security of the transaction order. It ensures that once transactions are ordered and committed, this order cannot be reverted.
Unlike centralized systems like those used by Amazon or Visa, blockchain does not have a central authority to determine the transaction order. Instead, decentralized mechanisms such as sequencers are used to establish and verify the order of transactions.
Avail aims to facilitate easier and more efficient blockchain operations by distinguishing between different blockchain layers – the base layer and the execution layer. The Rollups, which are part of the execution layer, operate on top of a base layer such as Ethereum or the Avail blockchain. This allows Rollups to focus solely on executing transactions without needing to handle network security or consensus.
This review of Avail (AVAIL) was created for informational purposes. This article is not intended for promotion.
Anurag Arjun, the founder of Avail, entered the crypto space in 2017 after spending over a decade in the fintech sector, primarily in product engineering roles.
He co-founded Polygon, then known as Matic Network, where he contributed significantly to the development of Polygon’s POS stack, plasma stack, and various bridging infrastructures.
Avail was initially started within Polygon in late 2020 but was spun out as a separate entity in March 2023.
The recent investment influx of $75 million, including a $43 million Series A funding round, was specifically dedicated to constructing a unification layer for Web3. This funding came from prominent entities such as Peter Thiel’s Founders Fund, Dragonfly Capital, Cyber Capital, and other notable venture capitalists and angel investors.
Avail has partnerships with major players and projects like Madara, Dimension, and Eclipse within Avail’s ecosystem. Avail’s partnerships also include collaborations with the top five Ethereum rollup stacks: Arbitrum, Optimism, Polygon, Starknet, and zkSync. In total, Avail has over 110 partnerships.
Avail’s Unification Layer is the critical first step in a three-phase plan aimed at accelerating the unification of Web3.
According to many, a unification layer is necessary to streamline operations across different technologies and platforms within blockchain. A layer that aims to shift the focus from merely redistributing existing users within the fragmented landscape towards attracting new users into the Web 3.0 space.
The decision to build the Avail Project stems from the pressing issue of fragmentation in the web3 space. With numerous Layer 2 solutions available, the complexity for new users is daunting.
The launch of Avail DA on the mainnet marks a significant step towards resolving this fragmentation.
Avail proposes a data availability layer similar to what Celestia offers, but with significant distinctions. Celestia utilizes fraud proofs, which differ from the zero-knowledge operations used by Avail.
Avail’s data availability layer serves as the groundwork upon which cross-ecosystem interoperability can be built. It can help overcome challenges related to data censorship and fraud, which are critical in decentralized environments.
Above the DA layer, the Nexus layer functions as a lightweight yet powerful tool for proof aggregation and sequencer selection. Operating as a ZK rollup on top of Avail, Nexus enables effective cross-rollup and cross-ecosystem settlements.
Nexus serves a critical function by aggregating proofs from various rollup stacks such as Polygon, zkN, and Starkware. It compiles these proofs into a single comprehensive proof that validates the overall rollup.
Nexus focuses on ensuring the validity of these rollups without incorporating specific validity proofs from individual systems like ZK Sync. Instead, it relies on sequencer statements to ascertain the state of deposits and withdrawals. This enables quick communication across chains while maintaining a set of trust assumptions.
The Avail Nexus acts as a liquidity aggregator, aiming to resolve the fragmentation of liquidity across various roll-ups. This feature is particularly advantageous for Ethereum’s modular ecosystem, helping applications track and manage liquidity more efficiently across different roll-ups.
Third is the Fusion Security layer, which encapsulates a mechanism where a basket of tokens can pool their crypto-economic resources to enhance and secure the Avail network. This layer addresses the need for shared security, which is crucial in a unified web3 ecosystem.
Fusion Security allows for multi-asset staking, including cryptocurrencies like Bitcoin, Ethereum, stablecoins, and the Avail token. We discuss staking below.
The Avail token is integral to the Avail network and serves many purposes. Primarily, the Avail token is utilized for staking, which underpins cryptographic security within the network. This staking mechanism is crucial for maintaining the integrity and reliability of the Avail layers and infrastructure.
The token is also employed to cover fees charged to rollup sequencers. These fees are associated with operations like data availability.
Furthermore, the Avail token enables users to assume critical roles within the system. Users can stake Avail tokens to become bridging relay proof aggregators or sequencers.
Avail employs the Nominated Proof of Stake (NPoS) consensus mechanism with up to 1000 validators, derived from the Substrate ecosystem. NPoS is a variation of the Proof of Stake (PoS) model that allows token holders to nominate validators who are tasked with validating transactions.
To begin staking Avail, you will need to access a staking dashboard or any other platform you prefer. Ensure you have an account on the Avail network and some Avail tokens in your wallet. You can use any compatible wallet, including Polkadot.js, Substrate Wallet, Talisman, or others based on your preference.
First, connect your chosen account to the staking dashboard. Your account should then appear in a dropdown menu on the site. Once selected, your account will be linked to the main website, where you can view the contents of your wallet.
Farming your staked Avail on Sophon, now also live! You are able to stake your Avail tokens now on deq.fi via this link. By staking your Avail there, you will receive stAvail. Subsequently, you will be able to farm your stAvail on Sophon via farm.sophon.xyz. By doing this, farmers are offered multiple benefits: Auto-compounding AVAIL rewards, earning DEQ points, and earning SP (Sophon points). More about this in our article (TBA).
For those preferring less active involvement, nomination pools are an alternative. These pools lower the entry barrier—requiring only 100 Avail compared to 1,000 for direct nominations—and handle the selection and reward distribution processes.
Nomination pools are collective groups where multiple participants combine their tokens to delegate to a validator on Avail. This option is ideal for those who prefer not to handle the selection and trust management of validators individually.
When nominating validators, users have the ability to directly rank and choose the validators they wish to support. This method offers more control and potentially higher rewards, but it demands active involvement and due diligence. Key considerations include:
If you want to nominate validators, navigate to the validators section in the staking dashboard to view a list of active validators. After assessing the available metrics and making an informed choice, go to the “nominate” section and start the nomination process.
You can choose to have your payouts added to your existing stake to compound, or have them released to your account as they are earned.
These rewards, proportional to the stake amount, are coupled with transaction fees collected by validators for producing blocks. Rewards are typically distributed on an era basis, which is a set period such as every 24 hours.
To minimize slashing risks (which penalize validators for misbehavior or inadequate performance), it is essential to select validators with a reliable performance history, competitive commission rates, and a solid reputation.
Diversifying your nominations across multiple validators can also help mitigate potential losses due to slashing events.
Sophon’s farm, only accessible on Ethereum mainnet, is designed to provide an early engagement opportunity within the Sophon ecosystem. Participants can support the project’s growth while earning rewards by staking their stAVAIL tokens. This enables them to accrue Sophon Points (SP) and potentially increase their returns by boosting their deposits.
Enhance your earnings by utilizing Boosters, which can increase SP earnings fivefold. Boosters may be activated at the time of deposit or after your staking has begun. You can use a booster by permanently dedicating a portion or all of your staked assets to provide liquidity on the Sophon mainnet, effectively transferring asset ownership to the network and therefore boosting your potential returns. The way to do this is the following;
The allocation of Avail tokens is crafted with community growth and long-term sustainability in mind. Over 65% of Avail tokens are dedicated to the community through various initiatives.
Each category has specific terms for token release and vesting which are designed to support gradual and sustainable token distribution.
Looking ahead, the vision for Avail in the next three to five years is quite ambitious. The ecosystem aims to align with the evolving architecture of blockchain technology, particularly focusing on the role of rollups.
Rollups are anticipated to be the future of blockchains due to their efficiency and ease of deployment, which allows for rapid experimentation and innovation. But will this trajectory stay the same? If there are new solutions found, could Avail pivot correctly?
This potential shift could mean a move towards a more modular and flexible blockchain infrastructure, where base layers serve primarily to verify rollup proofs and facilitate rollup-specific operations. We hope for Avail that the underlying infrastructure does not change too drastically.
Avail’s innovative approach, inspired by successful Web2 systems like UPI, sets the stage for a more interconnected and scalable Web3 ecosystem. By addressing current fragmentation and scalability challenges with a structured, layered approach, Avail aims to facilitate a more cohesive and user-friendly blockchain environment.
Disclaimer: Trading and investing in cryptocurrencies (also called digital or virtual currencies, altcoins) involves a substantial risk of loss and is not suitable for every investor. You are solely responsible for the risk and financial resources you use to trade crypto. The content on this website is primarily for informational purposes and does not constitute financial advice.
Start learning about crypto at YourCryptoLibrary
