KAPPI works as a network of several different independent blockchains, which are called spaces. Each of these spaces is powered through a KAPPI DWARF, ensuring that there are a consistent, high-performing and secure PBFT similar consensus engine wherein the accountability is guaranteed through forks. The KAPPI algorithm is scalable and can be used for proof of stake, public blockchains.The KAPPI is a cryptocurrency that operates a multi-asset proof of stake and has a simple governance system that allows for upgrades and is generally adaptable. The KAPPI DWARF can connect to other spaces allowing it to be extended.

KAPPI is comprised of a network of many blockchains that being powered by KAPPI. KAPPI allows many blockchains to be running concurrently with each other whilst retaining interoperability. At its DWARF, KAPPI DWARF manages multiple independent blockchain ‘zones’, that are also referred to by some as shards. With a constant stream of block commits coming from zones on the DWARF, it can keep up with each zone’s information and its current state. In turn, the zones keep up with the DWARF, but not each other except through the DWARF. Information packets are sent from one zone to another through the DWARF through Merkle-proof posting showing that the information was both sent and received accurately.

Due to the inter-blockchain communication, any zone can be a DWARF for the purpose of forming an acrylic graph, if desired. The KAPPI DWARF blockchain consists of a multiple asset distribution ledger with tokens being individually used or used within a zone itself. Tokens can be moved between zones through a DWARF responsible for preserving any global invariance of the total token value across each zone. Sender, receiver, or DWARF blockchains can commit IBC coin packet transactions. The KAPPI DWARF is the central ledger for the entire system and its security is of primary importance. Each zone can have a KAPPI blockchain that is secured by no less than 4 (or less if not using the BFT consensus) and is secured by a set of validators that are globally decentralized to serve as being strong enough to stop any type of hack or attack scenario. The KAPPI zone constitutes an individual blockchain which exchanges IBC messages to the DWARF.

The DWARF would conceive a zone to be a multiple asset membership dynamic with a multiple signature account capable of sending and receiving tokens through IBC packets. Like any cryptocurrency account, zones cannot transfer a token if they do not have that token to send but are able to receive tokens. Zones can use one or more types of tokens, which gives it the ability to inflate token supplies. Atoms of the KAPPI DWARF can be staked by any validator of a zone which is connected to the DWARF. This could result in a double spend attack, but it would be slashed through the KAPPI fork accountability, a zone where voting power cannot create any invalid state. KAPPI DWARF will not execute or verify any transaction that is committed in another DWARF, so users must send tokens to trustworthy zones.

Inter-zone Communication

Using an example, let’s say there are three blockchains, one of which is the DWARF. We want to produce a packet that is destined to arrive at one of the 2 non-DWARF zones. For a packet to be moved between blockchains it is first posted on the receiving chain; the proof will state that a packet was published by the sending chain for the destination. For this proof to be checked by the receiving chain it has to keep speed with the sender’s block headers. This is quite similar to sidechains