Saga: A modular blockchain platform for gaming

Modular blockchain technology provides new ideas for solving the challenges of decentralization, security, and scalability. This innovative approach decentralizes the fundamental functions of blockchain into specialized networks, including execution, settlement, data availability, and consensus. Unlike traditional blockchains, modular blockchains separate these tasks, greatly enhancing the efficiency of each function.

Since the rise of the modular blockchain concept, various solutions have emerged in this field, including shared sequencers, validation systems, interoperability protocols, order flow abstraction projects, as well as rollup frameworks and Rollup-as-a-Service (RaaS) and other infrastructure services.

In this context, Saga stands out as a modular Layer 1 platform designed specifically for the gaming industry, becoming an innovator in the field of cryptocurrency technology.

Overview of Saga

The Saga protocol simplifies the blockchain launch process by providing Chainlet. Chainlet is a dedicated blockchain that developers can easily launch, just like deploying a smart contract. This solution integrates key elements such as data availability, consensus, execution, and settlement, providing developers with a seamless product experience. By integrating these components, Saga not only saves developers' time but also reduces the common complexity of modular systems.

The Saga protocol adopts a fully decentralized proof-of-stake model, ensuring that each Chainlet maintains the same high security standards as the Saga mainnet and uses the same set of validators.

The influence of Saga is reflected in its rapid growth. In less than two years, it has attracted 350 projects, with 80% focused on the gaming industry. Strategic partnerships with industry leaders such as Polygon, Avalanche, and Celestia further highlight Saga's ability to effectively expand its infrastructure and support a wide range of Blockchain applications.

Saga Architecture

Chainlets

The Saga protocol revolutionizes the deployment of Blockchain through Chainlets. These are interoperable and customizable automated, high-performance Blocks within the Saga ecosystem.

Chainlets are protected by the Saga Blockchain and are validated through the shared security model of "Interchain Security," ensuring they have the same level of security and decentralization as Saga itself. This model is similar to the Cosmos SDK application chain, but does not require managing a validator set independently.

Chainlets provide developers with a decentralized and secure way to deploy blockchains for specific applications, allowing developers to freely choose their preferred virtual machine. The launch of Saga Realms further extends this flexibility, enabling developers to launch customizable chains with different features and services on Saga.

The process of launching a Chainlet has a unique permissionless nature. Developers only need to use $SAGA tokens to pay for the setup and maintenance costs of the Chainlet, similar to using a subscription service from a cloud service provider.

security chain

The secure chain is the main source of security for the Saga protocol, built using Cosmos-SDK. It is responsible for the minting and staking of $SAGA tokens, as well as potential penalties for validator misconduct.

platform blockchain

The platform chain is also built on Cosmos-SDK and serves as a place for developers to launch and manage Chainlets. It brings together various security sources, including the security chain, and extends security to Chainlets through Cross-Chain Validation (CCV), while reporting any misconduct back to the security chain for potential penalties.

The platform chain initially obtains security assurance mainly from the Saga secure chain, and plans to incorporate additional security sources such as Ethereum, Polygon, and Avalanche in the future.

Team and Ecosystem

The Saga team is led by experienced co-founders, including:

• Jin Kwon: Co-founder and Chief Strategy Officer, former Vice President of Ignite
• Jacob McDorman: Co-founder and Chief Technology Officer
• Bogdan Alexandrescu: Technical expert and entrepreneur
• Rebecca Liao: Co-founder and CEO, co-founder of Skuchain

As of April 2024, the Saga Innovators Program includes 350 projects, with 80% focused on gaming, 10% on NFTs and entertainment, and 10% on decentralized finance (DeFi).

Saga has partnered with several leading blockchain protocols, including XPLA, Com2uS, Celestia, Polygon, and Avalanche, to expand its Chainlets technology.

Saga Origins will be launched in March 2024, dedicated to supporting Web3 game development, providing comprehensive support from concept to release, including influencer collaboration, financial support, and promotional services.

Token Economics

$SAGA tokens have multiple uses within the Saga protocol, including paying network validators' fees, rewarding stakers, and participating in network governance. The initial supply is 1 billion $SAGA tokens, of which approximately 9% were released during the token generation event.

The market capitalization is $22.5 million, and the fully diluted value is $3.6 billion. The current circulating supply of tokens is 90 million, accounting for 9% of the total supply.

Financing Journey

Since its establishment, Saga has gone through multiple rounds of successful financing:

• October 2021: Raised $2 million with investment from Ignite
• May 2022: Seed round financing of 6.5 million USD
• November 2023: Expanded seed round financing of 5 million USD

In addition, Saga's launch on a certain trading platform set a record for all previous launch pools on that platform, attracting over 13 billion dollars in funding in less than 24 hours.

Positive Factors

• The key position of modular blockchain
• The rapid growth of the GameFi industry
• Strategic cooperation with major blockchain entities
• Secured significant investments from well-known investors
• Successful launch on a certain platform

Challenge

• The fierce competition in the blockchain field
• The high volatility of the cryptocurrency market
• Potential regulatory and legal risks

Conclusion

As an important participant in modular blockchain technology, Saga stands out especially in the gaming sector. Through the innovation of Chainlets and a commitment to scalable, interoperable infrastructure, Saga not only meets the current demand for blockchain solutions but is also expected to profoundly influence the future development of decentralized applications. Saga's commitment to technological advancement and innovation makes it an important entity worthy of attention in the blockchain ecosystem.