Sidechain (Side Chain)

A sidechain (also known as a side chain) refers to an external secondary blockchain protocol that is linked to a primary blockchain network, known as the mainchain. Sidechains facilitate the exchange of data and value between themselves and the mainchain, often leveraging distinct consensus mechanisms. This versatility and scalability make sidechains well-suited for a wider array of enterprise and individual users. For instance, sidechain solutions enable the transfer of assets between multiple protocols, such as Ethereum and Bitcoin, while also enhancing Layer-2 scaling solutions to boost transaction speeds on the mainchain.