ChainX (PCX) is a community-run layer2 network of bitcoin. The network aims to build a trustworthy and scalable Bitcoin layer-2, which is a secondary framework or protocol built on top of an existing blockchain network. This off-chain layer intends to increase Bitcoin’s payment speed as well as its function extension. ChainX’s community-run network aims to be the gateway to Bitcoin’s ecosystem as a layer-2 framework.

According to its whitepaper, due to the limitations imposed by block size and block production, Bitcoin falls short of providing a significant purpose when it comes to large-scale payments. Also, the network suffers from scalability issues. As a solution, Bitcoin’s reliability in the layer-2 network is built up by ChainX.

ChainX aims to allow the deployment of smart contracts using virtual machines such as EVM in order to achieve Bitcoin scalability and to provide a suitable development platform for Dapp developers. Virtual machines are sets of virtual space where code can run independently of the rest of the system. As a result, virtual machines help test new software or execute potentially harmful applications. Likewise, the Ethereum Virtual Machine (EVM) powers the Ethereum network’s nodes to execute smart contracts.

The platform aims to offer certain features like:

PCX is ChainX’s governance token. Accordingly, the token has three main utilities: governance, payment, and staking. PCX aims to represent the voting rights on the ChainX network, granting holders the ability to vote on protocols, products, new features, objectives, upgrades, and maintenance. Additionally, the network seeks to enable holders to stake their tokens in order to safeguard the network while also receiving incentives. Further, as a facilitator for the transaction process, ChainX charges transaction fees for the computational power through the PCX token.

Lipeng Yue co-founded the ChainX network in 2016 in China.

The PCX token has a total supply of 21 billion and halves every two years like Bitcoin. Halving is meant to reduce the supply of tokens in half to lower the availability even as the demand rises.