The Web3 industry is expanding rapidly, with new blockchains and decentralized applications (dApps) launching every day. However, user experience hasn’t improved due to complicated login options, high transaction fees, and fragmented liquidity across multiple chains.
To solve these problems, Arcana Network provides multiple tools to help developers improve dApps’ user interface and boost customer onboarding. Before elaborating on Arcana’s solutions, let’s try to understand the problems of most existing Web3 protocols.
The Problems of Using Complicated dApp Interfaces
To begin with, users now manage their assets across multiple dApps spread over different blockchains. Currently, most networks use bridges for interoperability to allow tokens and data movement. However, bridges have certain inherent challenges.
Bridges run on a push model, which requires users to manually select the source and destination chain, tokens, and gas fees. As users have to “push” information, it becomes complex for novices without technical knowledge.
Moreover, bridges can suffer from security vulnerabilities if malicious actors attack the validators and relayers used by bridges. To date, the total value hacked through bridges is $2.83 billion.
Bridges also affect dApps’ performance due to multiple confirmations from separate chains, leading to transaction latency. Consequently, it affects user experience and sub-optimal results for cross-chain asset transfers.
On the other hand, most dApps have a complex interface where users first need to set up a Web3 wallet. Then, they must connect their wallet to the dApp and ensure safe storage of seed phrases.
Thus, dApp usage is different from the simplicity of signing into Web2 services with social media accounts that users are accustomed to. These high technical barriers, along with unpredictable and exorbitant transaction fees or gas, prevent users from accessing Web3 platforms.
The Arcana network aims to solve these problems with its diverse range of tools and services.
How Arcana’s Tools Improve dApp User Experience
Arcana’s foundational philosophy is to abstract away Web3 complications, thereby offering users a simple and easy-to-use app interface. To this end, they’re introducing chain abstraction, an abstracted wallet SDK, and a gasless SDK, to replicate web2’s ease in the Web3 space.
Chain Abstraction
Arcana’s Chain Abstraction protocol eliminates liquidity fragmentation by offering a seamless multi-chain experience to hold any assets on any chain and spend them anywhere.
Chain Abstraction improves user experience by providing a unified aggregated token balance across all networks. It further enables users to spend the balance on any chain without bridges, abstracting away the need to manually switch chains.
Thus, users don’t need blockchain-specific gas tokens to access cross-chain dApps, enhancing capital efficiency and liquidity usage by reducing bridging transactions. Consequently, developers can focus on building high-quality dApps without worrying about native chains and their liquidity availability.
Technical Architecture
Arcana’s Chain Abstraction leverages a modular layer 1 consisting of a decentralized network of nodes, i.e., Arcana Network. The nodes run a state machine that tracks user accounts, current balances across chains, and total spending and provides a user’s unified cross-chain balance.
Nodes are also responsible for Distributed Key Generation (DKG) to create and store keys in a sharded manner. DKG combined with Multi-party Computation (MPC) and Threshold Signatures (TSS) eliminates centralized failure points and provides robust verification before validating transactions.
Arcana Vault smart contracts are deployed to individual networks, which hold and supply token liquidity to users when they need it. The Vault works upon instructions from Arcana nodes and executes transactions accordingly.
Moreover, Solvers compete for fees to fulfill liquidity requirements across different vaults on each blockchain. A netting procedure tracks liquidity positions in vaults and issues netted rebalancing instructions to vaults for transaction settlements.
Arcana Auth SDK
The Arcana Auth SDK enables social login features to help dApps onboard users quickly with their social media accounts. Thus, anyone can use their Gmail or social accounts like X, LinkedIn, Discord, Steam, and others to log in to a Web3 application.
The social login automatically creates an in-app, non-custodial Arcana wallet in the backend, making dApp usage easier for new users. The Auth SDK comes with a built-in gasless feature that waives transaction fees for whitelisted app operations.
Developers can easily customize the Auth SDK and integrate it into any dApp to scale customer onboarding. It’ll help users to manage digital assets and participate in DeFi through a single social media account.
Arcana Gasless SDK
The Arcana Gasless SDK enables no transaction fees for third-party browser-based wallets and works independently from Auth SDK. The Gasless SDK helps to sponsor gas fees and improve user retention rates.
Developers can customize gas sponsorships to design curated offers for creating customer whitelists and build precise marketing strategies. For example, dApp developers can offer gasless transactions for the first hundred users to improve conversion rates.
Arcana’s Gasless SDK enables a simple Gas Tank setup to define gas sponsorships for different networks with easy enable-disable options. Further, Gas Tanks don’t have a lock-in or withdrawal period so dApp owners can withdraw fees anytime.
SendIt
Arcana’s SendIt enables users to send crypto to anyone on their email even if they don’t have a Web3 wallet. SendIt generates a non-custodial wallet for new users and the email ID holder can use the wallet to access the crypto.
When users receive crypto through SendIt, they’ll have to verify ownership through a Google Sign-in or passwordless authentication. Upon successful verification, they can use the crypto from SendIt’s wallet or transfer it to any other wallet.
Users can also earn experience points (XP) for using SendIt to seamlessly transfer crypto and win weekly/monthly prizes plus airdrops.
Facilitating Mass Adoption by Abstracting Web3 Complexities
Currently, 5.44 billion people use the internet globally, but only 580 million people use cryptocurrencies. The disparity between internet usage and Web3 adoption exists due to high technical barriers and complex user interfaces.
Arcana is trying to facilitate mass crypto adoption by doing away (abstracting) with Web3 complications. Its products replicate web2 protocols’ ease in the blockchain space by offering a user-friendly Web3 ecosystem.
Therefore, Arcana’s solutions aim to naturally fit into user’s existing digital lives by making dApps simple for everyone.
Spencer Hulse is the Editorial Director at Grit Daily. He is responsible for overseeing other editors and writers, day-to-day operations, and covering breaking news.
