A guide on how to use the most advanced technology in the field of digital finance – the new Smart Bybit Token (SLN). Known as a distributed network system, SLN acts as a bridge between blockchains and web applications, leveraging the power of smart tokens. Explore more deeply about SLN and how it works on Bybit exchange in the article below from BCrypto .
Understanding Bybit Smart Exchange
Bybit’s Smart Exchange is powered by Smart Layer (SLN), a decentralized network designed to enhance the utility of Smart Bybit tokens—crypto assets embedded with programmable logic. Instead of functioning as a standalone blockchain, Smart Layer acts as a bridge between blockchain networks and external environments, such as Web 2.0 applications and online platforms, facilitating seamless integration of exchange tokens into various digital services.
How It Works
Within the Smart Layer ecosystem, network nodes continuously monitor and process smart token transactions, ensuring efficient interactions between underlying blockchains and external applications. This allows for secure and automated asset transfers while expanding the practical applications of crypto assets.
Key Features and Compatibility
- EVM Compatibility – The Smart Layer is fully compatible with any Ethereum Virtual Machine (EVM)-based blockchain, including Ethereum (ETH), Polygon (POL), and Avalanche (AVAX).
- Smart Layer Launchpad – Bybit provides a customized token launch platform, allowing projects to efficiently create and deploy their own Smart Bybit tokens.
- Interoperability & Connectivity – The system enhances blockchain interoperability by bridging on-chain and off-chain applications, enabling expanded use cases for crypto assets beyond traditional exchanges.
Bybit’s Smart Exchange simplifies crypto transactions while increasing their functionality, providing an innovative approach to integrating blockchain-based assets into a broader digital ecosystem.
Introduced by Smart Token Labs, an Australian blockchain startup founded in 2017, Smart Layer plays an important role in the overall ecosystem of smart token technology. The platform's testnet was launched in January 2024, with the native token SLN launched a month later. Currently, in the testing phase, the project is expected to launch the main net in 2025.
See more: Instructions on how to Bybit register for traders
Bybit Smart Tokens: Enhancing Token Functionality
The Smart Layer Network (SLN) serves as a multifunctional platform that provides an execution environment for programmable smart tokens. Unlike traditional cryptocurrency tokens, Smart Bybit Tokens contain embedded scripts that enable them to perform predefined actions automatically.
How Smart Tokens Work
Smart Bybit Tokens go beyond simple asset transfers by incorporating programmable logic, allowing them to execute complex tasks without manual intervention. For example, in a flight ticketing application, these tokens can:
- Automatically adjust ticket prices based on real-time demand
- Manage seating arrangements dynamically
- Process refunds and reschedule flights in case of disruptions
- Query data from multiple flight sources to optimize operations
- Handle user identity management for secure transactions
A Versatile Solution
Bybit’s Smart Layer Network enables these tokens to function much like a traditional flight booking platform, offering automated and data-driven solutions without relying on centralized systems. This concept extends to various industries, making Smart Tokens a powerful tool for decentralized applications.
TokenScript Bybit: Simplifying Smart Token Integration
TokenScript is an advanced blockchain scripting engine designed to bridge the gap between smart tokens and external applications. While the Smart Layer Network (SLN) acts as the execution environment for Smart Bybit Tokens, TokenScript serves as a development toolkit, enabling seamless front-end integration.
Key Functions of TokenScript
- Front-End Development Support – TokenScript simplifies the process of integrating smart token functionalities into web and mobile applications.
- No Deep Blockchain Expertise Required – Even developers without extensive knowledge of blockchain technology or smart contracts can use TokenScript to implement Bybit Smart Exchange token functions with ease.
- Enhanced Usability – The scripting engine streamlines the interaction between external applications and Smart Bybit Tokens, making decentralized applications (dApps) more accessible to a wider audience.
Bybit’s TokenScript ensures that developers can efficiently incorporate smart token logic into various platforms, unlocking new possibilities for blockchain-based applications.
Bybit's ERC-5169 Token Standard: Enhancing Smart Token Functionality
The ERC-5169 token standard is a critical component of Bybit’s Smart Token ecosystem, enabling the development of programmable smart tokens. Alongside the Smart Layer Network (SLN) and TokenScript, ERC-5169 plays a fundamental role in enhancing the functionality and interoperability of Smart Bybit Tokens.
Key Features of ERC-5169
- Smart Token Support – Unlike traditional ERC-20 tokens, ERC-5169 introduces an additional function called scriptURI(), which allows tokens to execute embedded scripts for advanced programmability.
- Integration with Bybit's Smart Ecosystem – This standard ensures that all Smart Bybit Tokens comply with Ethereum’s smart contract framework while incorporating programmable logic beyond simple transfers.
- Ethereum Adoption – Originally developed by Smart Token Labs in 2022, ERC-5169 was officially adopted by Ethereum in 2023, solidifying its role as a next-generation standard for smart token execution.
Bybit’s integration of ERC-5169 ensures a more versatile and automated token experience, allowing seamless interaction between smart tokens and external applications within the Bybit Smart Exchange ecosystem.
How Bybit Smart Layer Network (SLN) Works
The Smart Layer Network (SLN) is a specialized infrastructure that operates on top of the core blockchain, integrating a native authentication system to enhance the functionality of Smart Bybit Tokens. It consists of two main types of network nodes: service nodes and anchor nodes, each playing a crucial role in maintaining the efficiency and security of the ecosystem.
Types of Nodes in SLN
-
Service Nodes
- Facilitate the integration of Smart Bybit Tokens with external applications.
- Enable flexible interactions between smart tokens and external systems, such as requesting data and executing scripts.
- Require KYC authentication to ensure compliance and security.
-
Anchor Nodes
- Oversee the performance and integrity of service nodes.
- Maintain a Distributed Hash Table (DHT), which tracks the processing of Smart Bybit Tokens.
- Implement a reward and penalty system to ensure service nodes adhere to Service Level Agreements (SLAs).
Ensuring Network Stability and Security
By monitoring service nodes and enforcing quality standards, anchor nodes play a vital role in maintaining the overall stability and security of the SLN. This system ensures that the Smart Layer functions efficiently and transparently, creating a seamless environment for token interactions.
Additionally, NEO nodes, selected by a Decentralized Autonomous Organization (DAO), may participate in the Smart Layer network, further strengthening the decentralized nature of the ecosystem.
See more: Open Bybit exchange account to many new opportunities
What is Bybit SLN Token?
Smart Layer's native cryptocurrency plays an important role as a utility Bybit Token. Used to encourage activity of all types of network nodes. Includes service node and anchor node, on the platform. It is also the means of payment for access to Smart Layer services that the platform provides to external applications.
Furthermore, SLN also serves as a governance token. By owning Bybit tokens, users become members of the platform's DAO. Have the right to vote on important decisions. Regarding changes and improvements to the Smart Class ecosystem.
SLN is a deflationary Bybit Token with a maximum supply of 100 million. The distribution and unlocking period are determined as follows:
- Seed Investor: 6.8125%, unlocked in 18 months
- Other Investors: 19.6364%, unlocked in 12 months
- Group Investor and Equity: 22.96%, unlocked for 36 months
- Node Reward: 20%
- Ecosystem Fund: 18.4%, unlocked for 48 months
- Fund/Reserve: 4%
- Total Community Rewards: 4%
- Marketing & Collaboration: 2.1911%
- Airdrop: 2%
Is Smart Layer Bybit token a good investment?
If you are considering investing in Bybit SLN tokens:
- Potential of Smart Layer: Smart Layer brings extremely useful and high-potential services. Especially in connecting EVM blockchains with external applications. Especially Web 2.0 applications and websites. Although the web3 ecosystem has many advantages in terms of security and tokenization. The majority of digital activity still takes place on traditional Web 2.0 platforms. Smart Layer acts as an important bridge between blockchain and Web 2.0. Bringing decentralized security, privacy, and cryptography to a broader range of the Internet. Especially with a large number of Web 2.0 users around the world. For example, the Bybit smart token layer can replicate the functions of flight booking applications, and health monitoring solutions. Update Bybit Bonus and almost every other web application currently depends on Web 2.0 technology.
- SLN is the token of the deflationary Bybit exchange: SLN has a fixed supply that does not exceed 100 million units. This scarcity may increase the value of the token in the future. This can also reduce price volatility compared to tokens with a larger supply.
These should be carefully considered when evaluating the potential of investing in Bybit Token SLN.
Epilogue:
As shared by BCrypto, Bybit Token is not only a means of payment and governance in the Smart Layer ecosystem but also represents the infinite potential of connecting blockchain and Web 2.0. With the advantage of a deflationary token and vast application potential, SLN promises to be an attractive choice for investors in the crypto community.
Frequently asked questions:
What special characteristics does the SLN token have in terms of supply?
SLN is a deflationary Bybit Token with a maximum supply not exceeding 100 million units. This could create scarcity and increase the value of the token in the future.
What different functions is the SLN token used to perform in Smart Layer?
SLN is used as a means of payment for access to Smart Layer services and is also a governance token. Allows owners to participate in important decisions related to the ecosystem.
Does Bybit SLN's token have applications in other areas besides payment and administration?
In addition to payments and administration, SLN also has potential applications in replicating the functionality of Web 2.0 applications. Flight booking, health monitoring solutions, and many other web applications.
