What is Axelar (AXL)? How Does it Work?

Blockchain technology offers a strong security infrastructure and decentralization, but platforms often face difficulties in communicating with each other. The issue of transferring digital assets from one blockchain to another is usually addressed through bridges. Axelar has tackled this problem with its own blockchain, successfully connecting dozens of blockchains already. In this article, you can find answers to questions about Axelar such as: What is Axelar (AXL)? How does Axelar (AXL) work? How to store AXL? And how to buy and sell AXL?

A Blockchain Connecting Blockchains

Since each blockchain has its own unique applications, users may want to explore opportunities and try out products on different blockchains. The problem, commonly referred to as “interoperability,” reflects the inability of blockchains to communicate with each other. Bridge solutions are commonly used to solve this fundamental issue. However, the centralized nature or operating principles of these bridges can sometimes raise questions for users.

Axelar (AXL) was developed as a blockchain project to address this problem, enabling multiple blockchains to communicate with each other. In this structure, Axelar’s blockchain acts as an intermediary or translator, facilitating the communication between blockchains that do not speak each other’s language.

How Does Axelar (AXL) Work?

Axelar operates on the Delegated Proof of Stake (DPoS) consensus mechanism, with the top 75 validators (those who have the most AXL delegated) actively participating in the network’s operations. Anyone with a sufficient amount of staked tokens can become a validator on the Axelar network.

Unlike other blockchains, Axelar’s purpose is to facilitate the transmission of messages between blockchains. Therefore, Axelar validators must also support the other blockchains integrated into Axelar.

When a user wants to transfer assets between two networks connected to Axelar, Axelar validators first verify whether the asset exists and if there has been any double-spending. Once the validators confirm the presence of the asset on the originating network, and two-thirds of the Axelar validators approve, the asset is transferred to the target network.

As new blockchains are integrated into the Axelar network, the number of networks validators need to support increases, which also raises costs. To reduce these costs and encourage the support of new blockchains, Axelar provides validators with an additional 0.3% reward per supported blockchain. This approach aims to maintain validators’ profitability while ensuring that multiple validators support each network, thus preserving security standards.

The native cryptocurrency of the Axelar blockchain, AXL, is used for paying transaction fees on the network. Additionally, transaction fees for other blockchains supported by Axelar can also be paid using AXL, with automatic conversion to the relevant token.

Users can participate in staking with AXL coins, become validators if they reach a sufficient amount of coins, or delegate staked coins to another validator.

Get to Know Axelar

• Axelar was founded by Sergey Gorbunov and Georgios Vlachos.
• The Axelar network launched in January 2022.
• It currently supports over 60 blockchains.
• Compared to bridge solutions, Axelar is a decentralized, participatory, and transparent Layer 1 blockchain solution.
• Click here to visit Axelar’s website.
• For detailed information about Axelar (AXL), click here.

How to Store Axelar (AXL)?

You can store your AXL assets in browser, desktop, mobile, and hardware wallets that support the Axelar blockchain.

How to Buy and Sell Axelar (AXL)?

To buy and sell Axelar (AXL) with Turkish Lira or Tether (USDT), you can use the BtcTurk | Kripto website or the BtcTurk | Kripto mobile app. If you are not a member of BtcTurk | Kripto, you can sign up immediately on our website or mobile application and buy Axelar (AXL). You can deposit Turkish Lira 24/7 using one of our seven affiliated banks.