Leveraging Klaster for Enhanced Cross-Chain Functionality within Polkadot

Hey all! This is a proposal from the Klaster.io team — cross chain infra that will bring additional value to Polkadot ecosystem!

**
Abstract:**

This proposal outlines the integration of Klaster, a protocol designed for seamless transaction execution across different blockchains, into the Polkadot ecosystem. Currently, Klaster supports Ethereum Virtual Machine (EVM) compatible blockchains, facilitating transactions across these networks with ease. Expanding Klaster to support Polkadot will significantly enhance interoperability and user experience within the ecosystem, aligning with Polkadot's vision for a fully interoperable and scalable multi-chain network.

1. Introduction to Klaster

Klaster protocol enables transactions across various blockchains through its network of nodes, offering users and developers a unified execution environment. It simplifies the complex landscape of blockchain transactions by introducing multi-chain accounts. These accounts are jointly managed by users and Klaster's nodes, allowing for off-chain transaction signing and on-chain execution without the need for users to directly interact with blockchain complexities such as gas fees and network differences.

2. The Need for Cross-Chain Solutions in Polkadot:

Polkadot's architecture, based on a central Relay Chain and various parachains, inherently supports cross-chain communication and interoperability. However, the current state of cross-chain communication requires improvements in user experience and operational efficiency. Klaster's integration would further enhance these capabilities, allowing seamless transactions not only between parachains but also with external EVM-compatible blockchains. This opens up a myriad of opportunities for dApp development, asset transfer, and more efficient governance models - thereby enriching the Polkadot ecosystem with increased functionality and connectivity.

3. Benefits of Klaster Integration:

1. Unified Transaction Environment:

   • Users can transact across parachains and external chains using a single wallet interface, significantly improving the user experience.

2. Cross-Chain Gas Management:

   • The integration with Klaster empowers DOT holders by allowing gas fees for transactions on various blockchains, including EVM-compatible ones, to be paid in DOT.

3. Smart Accounts gain cross chain functionalities

   • Klaster empowers smart accounts with the ability to execute transactions not just on their native chains but across multiple blockchain ecosystems.
   • For example, a smart account can initiate a DeFi swap on Ethereum and settle the transaction on Polkadot, all while managing gas payments in DOT.
   • This multi-chain functionality significantly enhances the interoperability and efficiency of smart contracts, opening up new possibilities for cross-chain applications and services.

4. Enhanced Security and Efficiency:

   • By leveraging Klaster's intent solvers and multi-chain accounts, transactions become more secure and efficient, reducing the likelihood of failed transactions and enhancing overall network throughput.

4. Technical Implementation:

The integration process would involve collaboration between the Klaster team and Parachain teams to ensure compatibility with the Substrate framework. This includes the development of custom pallets for the Relay Chain and parachains, enabling them to interact with Klaster's multi-chain accounts and transaction protocols.

The flow is as follows:

1. User initiates a trsansaction and requests a quote
2. Klaster Nodes offer a quote for the transaction execution
3. Klaster SDK merges Payment & Execution data into an Execution Blob
4. User signs the Klaster Execution Blob
5. Klaster Node picks up the Blob and sends the information to —
   1. Payment Chain Klaster Singleton
   2. Execution Chain Klaster Singleton
6. Payment & Executoion Chain Klaster Singleton validates the signature
7. Upon validating the signature
   1. Payment Klaster Singleton — transfers paymet to Klaster Node address
   2. Execution Chain Klaster Singleton — executes transaction on behalf of the user

Here's a quick demo of a user connecting to AAVE on Optimism, while paying for the transaction in USDC on Arbitrum. The same effect can be achieved using Polkadot and DOT; or the parachains.

5. Potential Challenges and Solutions:

1. Compatibility:

   • Ensuring seamless integration with Polkadot's unique architecture. This can be addressed through joint development efforts and leveraging the flexibility of the Substrate framework.

2. Security:

   • Maintaining the high security standards of Polkadot while integrating new functionalities. Continuous auditing and testing, along with the implementation of Klaster's proven security protocols, will mitigate these concerns.

6. Klaster brings value to DOT:

Integrating Klaster into Polkadot will not only enhance the ecosystem's interoperability and efficiency but also directly benefit DOT in several ways.

Klaster allows transaction fees to be sponsored by an agent, enhancing the flexibility and utility of transaction execution within the ecosystem. Integrating Klaster into the Polkadot ecosystem will enhance interoperability and reduce barriers for users and developers interacting across blockchains, including those outside the Polkadot network.

This integration will improve the value proposition of DOT by making the Polkadot ecosystem more accessible and attractive to a broader user base. By connecting Polkadot's ecosystem with EVM-compatible chains, DOT gains increased utility and demand, as users from other chains can seamlessly participate in Polkadot’s DeFi, NFT, and gaming ecosystems without leaving their native platforms. This cross-chain functionality enhances the liquidity and accessibility of DOT, potentially leading to an increase in its value as it becomes a pivotal asset across multiple blockchain ecosystems. This strategic expansion not only strengthens the Polkadot network's position in the market but also underscores the intrinsic value of DOT as a key facilitator of cross-chain transactions and interactions.

7. Conclusion:

Integrating Klaster into Polkadot represents a significant step towards achieving unparalleled interoperability and user experience within the ecosystem. This proposal calls for the support and collaboration of the Polkadot community to bring this vision to reality, paving the way for a more connected and efficient blockchain ecosystem.

FAQ:

1. **How is Klaster different from blockchain bridges that have existed until now?

   **

   • Unlike traditional blockchain bridges, which mainly facilitate asset transfers between two distinct chains, Klaster transcends by enabling seamless cross-chain transactions and interactions directly from a user's single smart account. It introduces a holistic approach to blockchain interoperability, integrating cross-chain gas payments and transaction executions without the need for multiple wallets or managing different network tokens, thereby offering a more unified and efficient blockchain experience.

   • Klaster by its nature is not a bridge; it’s an underlying infrastructure that allows for seamless UX. Klaster fundamentally differs from traditional blockchain bridges by focusing on enhancing the user experience through an underlying infrastructure that enables seamless cross-chain interactions, rather than merely transferring assets between chains.