Virtual Node

VRC-2

Abstract

Virtual Nodes validate and store balance states within the ZKSC. First, a participant’s Virtual Node produces an unsigned balance state reflecting user actions. Then, the counterparty’s Virtual Node signs valid updates and returns them to the participant. The participant’s Virtual Node then issues the final signature, completing the state and disseminating it back to the counterparty.

Participant Virtual Nodes are programmed to assume counterparty liveness. If the participant's balance state is not immediately returned, the Virtual Node will execute its state on the settlement layer, ensuring network service in all scenarios. If the counterparty does not receive the finalized state from the participant, it will execute the partially signed state on the settlement layer.

If a Virtual Node observes that a stale state has been submitted to the settlement layer, it will automatically override the ledger with its most recent finalized state.

Features

• Self-Verification