Constellation: The Engine Empowering DeFi’s New Extraordinary Exchange

Many blockchain and cryptocurrency projects promise the moon and reach their terminus on a terrestrial crater. This is often the case because they fail to deliver any tangible innovations to the ecosystem.

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“Actual photo” of crypto trader “mooning” Photo Source.

These projects lure hapless speculators like eidolons, offering the image of an asset with no real substance. The fervour for Decentralized Finance (DeFi) has brought a legion of ERC-20 Tokens, including ones that contribute little. In many respects, it is similar to the ICO craze that promised massive profits to investors while leaving, for the most part, empty hands.

Yet, just like the era of the ICO, DeFi has birthed legitimate and cutting-edge projects that clearly separate the wheat from the chaff. All that is needed for one to discern which projects actually have high value propositions is to dig into the details and data pertaining to them.

For those who have set their eyes upon Lattice Exchange, and have drank deep from the wealth of information available, it is obvious the project is poised to massively succeed and transform the face of DeFi.

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Jimmy Song, Blockchain entrepreneur since 2013 Photo Source.

Those who have done their due diligence know Lattice is a decentralized finance application that will overhaul the DeFi landscape with industry-grade technology — advanced AMMs, smart routing, seamless scalability, thick liquidity, and nominal fees.

Lattice imbues the ecosystem with these sought-after qualities largely thanks to the game-changing Constellation Network running under its hood.

In this article, we will explore some of the features of Constellation that made it the only choice for Lattice to provide the superb service of being the best-in-class project in the world of DeFi.

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Constellation is a blockchain microservice operating system. It is the first decentralized application integration platform. The architecture of Constellation actuates a system that provides limitless scalability, unbounded interoperability, and true decentralization.

When the minds behind Constellation set to construct this edifice, it was clear that the indurate architecture of previous blockchain technology would not suffice. Traditional blockchain delays transaction speeds significantly in the process of verification. Furthermore, the inherent problem of scalability in blockchain is that the more users join the network, the more inefficient and slow it becomes. This acts as an immutable barrier to widespread adoption.

Fortunately, there exists an alternative that enables distributed ledger technology to scale horizontally and provides near-instantaneous transaction processing (which also allows for feeless or near-zero transaction fees.) This alternative is the Directed Acyclic Graph (DAG). With this architecture, Constellation provides a system that allows for concurrent programming and exponentially increases throughput as more users join the network.

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Other projects have attempted to incorporate DAGs into their frameworks. However, their attempts fall short. While projects like Nano and Iota have simply extended the traditional chain to a graph consisting of linked blocks, this is not the case with Constellation. Instead, Constellation has a granular data structure abstracted as edges — storing transactions on multiple data-structures. This formulation mimics applications that have already shown limitless scalability.

Constellation’s DAG was built with Scala and Java, allowing easy integration and ease-of-use for millions of programmers. This permits developers to join the network and build decentralized applications with facility. More impressive is that Constellation is language-agnostic, meaning developers can create their applications without reliance on any specific language. This is a tremendous leap forward from platforms like Ethereum that consist of obscure and dogmatic programming languages.

A paramount feature of the network is the Java Virtual Machine, which endows everything from a mobile device to a computer with the status of a node. A node is essentially any piece of computational equipment that executes actions determined by the network. This allows for greater network participation. As you will recall, with the Constellation Network, as nodes are added, greater efficiency and speed is realized.

Perhaps the most noble and innate goal of distributed ledger technology is decentralization, leading to the creation of a truly democratic system for ownership and exchange. In The End of History and the Last Man, Francis Fukuyama argued that democracy is the ideological evolutionary endpoint for humankind, and that it embodies the highest progress we are capable of achieving. Yet, how could any such lofty goal ever be realized with centralized financial systems?

Blockchain networks set out to democratize and decentralize the money system. Prior to the advent of Constellation, this was far from actuation. One of the major problems that has impeded distributed ledgers from achieving decentralization is the consensus models employed thus far. Yet, what is the need for a consensus model in the first place?

Possessing a consensus model ensures the honest behavior of nodes within the network and is vital to the integrity and efficiency of decentralized platforms. If nodes act maliciously and usurp the network for their own ends, the trustless system becomes untrustworthy. It becomes crucial to employ a model that can determine which transactions are valid, and the true state of the system.

The predominating consensus models are proof-of-work and proof-of-stake. Proof-of-work proves to be plutocratic in nature. It requires heavy-computational power that only few can provide. It works because it deters nodes from spending their resources on creating false information. Were a node to act maliciously, they would suffer losses. However, in the early days of cryptocurrency, it may have not been apparent. In our age the expensive equipment required to successfully mine can only be procured by the very wealthy. Ergo, this model falls far short of the decentralized aims of blockchain.

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Although Proof-of-Stake solves some of the problems with Proof-of-Work, like the need for massive energy consumption, it fails to bring decentralization. This model is effective as the more a person stakes, the greater their rewards for behaving well, and the greater their risk in behaving poorly. Yet the crux is that Proof-of-Stake is perhaps worse for governance as it awards greater power to those that own the most tokens. Rather than inadvertently leading to plutocracy, it is overtly built into the system.

The question arises if there is an alternative that actually and effectively democratizes and decentralizes distributed ledger technology? Considering the brilliant and novel approach to consensus that Constellation has crafted, we may at last answer, yes.

Constellation has employed a demonstrably effective and decentralizing model known as Proof of Reputable Observation (PRO) PRO utilizes an industry-grade machine learning algorithm to award nodes that act benevolently. With PRO, there is no blind trust in nodes due to acquisitions or computational power. The more a node participates with good-will, the greater they are rewarded. This ensures not only a functioning democratization of the network, yet a true meritocracy.

The PRO model is compex and utilizes parameters to thwart any node from gaming the system. It operates with both global/network-based criteria, and localized protocols for neighboring nodes to determine reputation. In many respects, it mimics the intricacies of a real society, yet unlike society, no masterful dissimulation can remain undetected. In respect to this, the Constellation Network has built something analogous to a perfect society- a Platonic demos, where there can be no question that the Good is infinitely more desirable than its contrary.

With all of this said, I have only scratched the surface; choosing to highlight some of the major contours of Constellation, yet the discerning eye shall discover the profundity that resides beneath.

There can be no doubt that Constellation is the paragon of distributed ledger technology, and for this reason it resides comfortably under the hood of Lattice Exchange — helping to drive the Digital Age into true decentralization, with efficiency and integrity.

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Join Lattice In Redefining Freedom

Lattice is a DeFi application built with Ethereum and Constellation’s Hypergraph Transfer Protocol (HGTP). Empowering users using advanced AMM algorithms.

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Authored by John Ryan

John Ryan is an independent writer and an avid enthusiast of blockchain technology. He received his University education at Northern Michigan University, as a history major, where he was inducted into the Phi Beta Kappa Society for academic excellence. While in Michigan, he also trained as an athlete at the United States Olympic Education Center, where he achieved the status of a multiple-time University All-American in Greco-Roman wrestling. He has authored several plays and a collection of poetry. Some of his major areas of interests includes: Finance, Literature, and Religious Studies.

John is available to contact via email at:

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Lattice is a DeFi application built with Ethereum and Constellation’s Hypergraph Transfer Protocol (HGTP). Empowering users with advanced AMM algorithms.

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