This article was first published on The AdEx Blog - Medium
Back in 2018, we wrote about off-chain event aggregation, which was the backbone of the AdEx v3 protocol.
With the AdEx v4 protocol, we’re introducing OUTPACE: Off-chain Unidirectional Trustless PAyment ChannEls.
What are payment channels and why are they great for AdEx?
Payment channels refers to a set of techniques/methods for enabling multiple payments between parties without committing each payment to the blockchain.
For AdEx, using payment channels has a few important benefits.
Firstly, it allows us to minimize the number of on-chain transactions, and that’s is a huge UX improvement. In the v4 version of our protocol, the only on-chain transactions that you need are opening a campaign (as an advertiser) and withdrawing your earnings (as a publisher).
Secondly, because making payments does not incur any extra fees, we can use micropayments for each individual impression (or any other type of payable event).
This means publishers have a guarantee they can withdraw their revenue at any given time, unlike traditional systems where you can only withdraw your earnings for set, usually long periods, and/or only if you reach a certain threshold.
But most importantly, since the payments are per impression, this eliminates any possibility that an advertiser would cheat a publisher out of their earnings.
What are the benefits of OUTPACE?
- It’s strictly unidirectional, which eliminates the need for watchtowers and complex exit strategies; and
- It allows multiple parties to be paid from a single channel ...
To keep reading, please go to the original article at:
The AdEx Blog - Medium