Pell Network x Sovereign Chains Unite to Revolutionize App-Specific Blockchain Cryptoeconomic Security

Pell Network |BTC Restaking
4 min readJan 20, 2025

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Pell Network, the first Omnichain BTC Restaking Network will integrate with Sovereign Chains, a revolutionary app-specific Layer 2 built on MultiversX. This partnership marks a significant milestone in blockchain innovation, combining Pell Network’s unparalleled cryptoeconomic security capabilities powered by BTC restaking with the highly customizable and performance-driven architecture of Sovereign Chains.

Through this collaboration, Sovereign Chains will integrate Pell’s BTC and EGLD restaking mechanisms to enhance the cryptoeconomic security of their app-specific chains, enabling developers to deploy decentralized applications (dApps) with robust scalability, customization, and security. Together, the two platforms aim to empower developers to create next-generation blockchain applications while unlocking new use cases for Bitcoin in the cryptoeconomic landscape.

Pell Network x Sovereign

Pell Network: The First Omnichain BTC Restaking Network

Pell Network is the first omnichain BTC restaking network designed to extend Bitcoin’s security capabilities to Decentralized Validated Services (DVSs). By enabling restaking, Pell provides an open marketplace where staked BTC and Liquid Staking Tokens (LSTs) are utilized to enhance the cryptoeconomic security of various decentralized applications.

Key Innovations:

  • Pooled Security Framework: Restaked BTC offers cryptoeconomic security to multiple DVSs simultaneously, reducing capital inefficiencies.
  • Trust Marketplace: Facilitates seamless interactions between restakers, operators, and DVSs, ensuring optimal security allocation and rewards.
  • Omnichain Compatibility: Developers deploy DVSs on Pell once and access multichain validation services, streamlining scalability and interoperability.

Sovereign Chains: Redefining Customization, Scalability, and Security

Sovereign Chains, powered by MultiversX, represent the next evolution in blockchain architecture, offering app-specific solutions designed to overcome the limitations of traditional general-purpose networks. Built on MultiversX’s advanced sharded architecture, Sovereign Chains deliver developers a highly customizable and performance-optimized environment to deploy their applications in a secure and scalable manner.

What sets Sovereign Chains apart is their modular and interconnected nature. These chains are seamlessly integrated into the MultiversX ecosystem, offering a decentralized, secure, and composable infrastructure from day one, as opposed to the more centralized nature of many Layer 2 solutions. By tapping into the inherent security, decentralization, and trust features of MultiversX, Sovereign Chains enable developers to access high-performance blockchain capabilities while maintaining full control over their network designs.

Key Advantages of Sovereign Chains Include:

  • High Throughput: Capable of processing over 70,000 transactions per second, Sovereign Chains are ideally suited for performance-intensive applications like DeFi, gaming, and other real-world use cases.
  • Customizable Infrastructure: Developers can tailor every aspect of their blockchain, including fee structures, governance models, virtual machines (VMs), and security mechanisms, to meet the specific needs of their projects.
  • Dual-Staking Security: By incorporating dual staking, Sovereign Chains enhance their security. This model uses two tokens to secure the same Proof of Stake (PoS) network, with one being EGLD (MultiversX’s native token). EGLD’s lower volatility, higher liquidity, and broader access ensure stable security for new PoS networks, mitigating the potential impact of market fluctuations on the network’s stability.
  • Seamless Interoperability and Composability: Sovereign Chains come with built-in cross-chain mechanisms, enabling frictionless interactions with MultiversX and other ecosystems, helping unify decentralized services and applications.

Together, Pell Network and Sovereign Chains are poised to address the challenges of blockchain scalability, security, and fragmentation, creating a foundation for innovative and efficient dApps.

How Pell Network Empowers Sovereign Chains

The partnership between Pell Network and Sovereign Chains unlocks a new paradigm of security and scalability for app-specific blockchains. Pell’s restaking technology empowers Sovereign Chains in the following ways:

a. Economic Security through BTC and EGLD Restaking:

Sovereign Chains can leverage Pell’s restaking mechanism to secure their blockchains using BTC and EGLD, enhancing their cryptoeconomic resilience. Restakers delegate their assets to validators on Sovereign Chains, providing a secure foundation for applications while earning additional rewards.

b. Reduced Security Costs for Developers:

By utilizing Pell’s pooled security model, Sovereign Chains eliminate the need for individual applications to bootstrap their own security infrastructure. This significantly reduces the cost and complexity for developers, allowing them to focus on building high-performance applications.

c. Optimized Scalability and Performance:

Sovereign Chains’ high throughput and customizable architecture are enhanced by Pell’s innovative Omnichain architecture, enabling app-specific blockchains to handle large transaction volumes with minimal latency and fees. This is especially critical for use cases like DeFi and gaming that demand high performance.

Vision for the Future

This collaboration represents the first step in a broader vision for Pell Network and Sovereign Chains to create a unified and secure blockchain ecosystem:

a. Expanding BTCFi into App-Specific Use Cases:

By integrating Bitcoin’s liquidity and security into Sovereign Chains, Pell extends BTCFi beyond general-purpose networks. This unlocks new opportunities for Bitcoin in high-performance sectors such as DeFi, gaming, and real-world applications.

b. Unified Ecosystem Development:

Pell and Sovereign Chains share a common goal of eliminating fragmentation and enhancing composability across blockchains. Through this partnership, developers can create interconnected applications that leverage the strengths of both platforms, fostering innovation and adoption.

c. Decentralized Validated Services for Sovereign Chains:

As the collaboration evolves, Pell aims to provide specialized validation services for Sovereign Chains, further enhancing their security and performance. This includes offering slashing-protected security for high-value applications, ensuring a robust and reliable environment for dApp developers.

Together, Pell Network and Sovereign Chains are setting a new standard for blockchain development, combining Bitcoin’s unparalleled security with Sovereign Chains’ app-specific scalability. This partnership not only addresses the limitations of existing blockchain models but also paves the way for a new era of decentralized innovation.

About Pell :

Pell: The First & Omnichain BTC Restaking Network, extending BTCFi into the cryptoeconomic security domain and fully unlocking Bitcoin’s potential.

Your support is greatly appreciated 💙

Learn more about Pell Network:https://pell.network/

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Pell Network |BTC Restaking
Pell Network |BTC Restaking

Written by Pell Network |BTC Restaking

Pell: The First & Omnichain BTC Restaking Network, extending BTCFi into the cryptoeconomic security domain and fully unlocking Bitcoin's potential.

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