Polygravity's core product is a protocol stack called PolyXchange. PolyXchange is a, high-security, real-time digital contract exchange system, backed by highly scalable blockchain technology. Its main mechanics can be divided into the three protocols it consists of:
Polygravity's EADP is a modified strict fair exchange/non-repudiation protocol that lets trading parties safely sign digital contracts between each other. After contracts are stored in the ESDP the EADP then performs double entry bookkeeping based on the ESDP
The illustrations show two simplified scenarios in which two parties P1 and P2 exchange a digital contract:
PolyXchange does not have a native asset (cryptocurrency). As a result of this no public ledger needs to be maintained that would require a global consensus algorithm. Instead, the EADP can be seen as PolyXchange's consensus algorithm. Due to the fact that this consensus must only be established locally, between the two parties that trade, the network scales linearly with every node joining the network.
The ESDP stores the contract data from the EADP into local, globally interlocked Merkle trees to make an alteration of input history impossible without detection.
By distributing block hashes amongst trading parties, the transacting ledgers become interlocked with each other and their data is rendered immutable. As a result, ESDP data can be used as court evidence to prove that occured exchanges were executed under consensus of both trading parties.
PolyXchange does not have a native asset or "system currency". Because of this, a globally transparent public ledger with a history of all transactions is not required. Transaction data is stored on each trading party’s private blockchain/ledger to which only the respective trading party has access to.
Consumers in the EU have the right to have their data deleted. PolyXchange's ESDP adheres to this legislation by allowing trading parties to “forget” about blocks that save transaction data after an individually configurable time period. However, every trading party holds an immutable and fully notarized record of every exchange it made with other system participants. As a result, even if a trading party would delete their complete transaction history, other parties could still prove what transactions have been made between them and the party who deleted their records.
The PSDP serves as the transport and session layer protocol, providing encrypted, authorized, real-time message-based communication including state synchronization for replication based high-security and availability clusters.
All trading parties are able to create HACs in order to ensure maximum data availability and security of their system. One HAC consists of multiple nodes (current maximum at 12) that synchronize their respective private ledgers and together act as a single trading party.
By bringing together 3 nodes or more in one party, byzantine failure tolerance is achieved, meaning that one third of all nodes can be overtaken by enemies who act maliciously without the system being disturbed. If more than 3 nodes are brought together only a third + 1 nodes must be operational, a third of all nodes can be overtaken by enemies, and the remaining nodes can be down without the system experiencing any irregularities.
The PSDP is quantum computing proof and DDoS hardened due to a highly modular system architecture. Encryption modules can easily be exchanged by every transacting party individually to allow for adaptation to new and evolving system threats.
Common transport and session layer protocols such as the TCP are designed to accommodate as many different applications as possible, creating a lot of functional overhead, which is not needed for focused applications such as PolyXchange.
Our proprietary transport and session layer protocol, the PSDP creates persistent sockets and thus allows for handshake free secure data transmission. The removal of handshakes allows for incredibly fast transmission of data packets, and as a result all transactions made via PolyXchange occur at ultra-low latency, or in “real-time”.
The PSDP features double layer encryption, meaning that transactions are encrypted by both the application that generates the transaction and the operating system running the application. This ensures that the applications which communicate remain unidentifiable to potential eavesdroppers. In addition, transmission layer based authentication allows for identification of communicating parties to each other exclusively, further reducing feasibility of DDoS attacks.