SKALE Network: Elastic Ethereum, an overview of the blockchain platform for building optimized dApps

3 min readJan 12, 2021


The SKALE Network is an open source project with many contributors including the foundation of Skale, Inc. ( provides a solution through which developers can create sidechains for their applications, secured by blockchain validators, and also run smart contracts.

How Skale Network works

The dApps network works on the principle of a service provider with the help of the sidechain, applications can access third-party blockchains and their dApps in order to improve performance or security, for example. Skale interacts with the Ethereum blockchain through the SKALE Manager smart contract.

In order for the dApp to work, computing resources are required, which are provided by the validators. Validators play a key role in the security of the Skale blockchain network. The protocol allocates the resources of the validators and optimizes them to achieve the best efficiency of the blockchain network. SKALE currently has over 46 validator organizations. For more information visit:

Where is the office located and who is behind the project

SKALE Labs offices are in San Francisco, CA and Kharkiv, Ukraine. The SKALE Labs investors include Blockchange, ConsenSys Labs, Hashed, HashKey, Floodgate, Multicoin Capital, Recruit Holdings, Signia VP, Winklevoss Capital, and more.

Who founded SKALE Labs and what is their experience?

SKALE Labs was founded by Jack O’Holleran and Stan Kladko, both serial entrepreneurs. They have consciously built a core team that is filled with experienced software engineers, product marketers and operations people. As a part of the process, they have made a concerted effort to create a team that is gender and ethnically diverse.

Jack O’Holleran is Co-founder and CEO of SKALE Labs, and a veteran entrepreneur with a deep background in machine learning, AI, security and blockchain. Prior to co-founding SKALE, Jack was a founder at multiple Silicon Valley enterprise technology companies. He holds a BS from the University of Nebraska and calls the Bay Area his home.

Konstantin “Stan” Kladko is Co-founder and CTO of SKALE Labs and brings 19 years of experience in cryptography and enterprise infrastructure technologies. He has founded several Silicon Valley venture backed startups and founded and ran a US government certified crypto lab for 7 years. Stan has a Ph.D. in Physics from the Max Planck Institute for Physics of Complex Systems, Germany.

What dApps are already using SKALE

SKALE currently includes over 60 decentralized applications in the Innovator program. They run a gambit from gaming to defi, streaming music to real estate.

Why do these dApps choose SKALE

Not only is SKALE easy to integrate (you can get started with a few lines of code), SKALE offers dApps benefits that range from an order of magnitude increase in transaction time to lower gas costs.

SKALE token and how it works

The SKALE Network token ($SKL), is a hybrid ERC-777 use token that represents the right to work in the network as a validator, stake as a delegator, or access a share of its resources by deploying and renting an Elastic Sidechain or Elastic Blockchain for a period of time as a developer.

It serves as the built-in instrument of transfer for facilitating four main functions:

Security of and staking in the network. SKL token holders (delegators) stake their SKL tokens to validators who run nodes that make the SKALE network function by validating blocks, executing smart contracts, and securing the network. They are rewarded with SKL tokens for their efforts.

Payment method for SKALE Chain subscription fees. Developers purchase their subscription access to elastic blockchains (S-chains) using SKL tokens.

Rewards for validators and delegators staking their tokens. Rewards are accumulated monthly, based on fees paid by developers for chains and monthly inflation of tokens into the network.

Governance and voting. SKL tokens will be used for on-chain voting, which will control all economic parameters of the SKALE Network. Additional information surrounding governance and the N.O.D.E Anstalt can be found here.

Additionally, you can check out the project at the links below, join the SKALE community on Discord with developer documentation! Also, read the Technical Review and Consensus Review









vnas is the Proof of Work validator and network contributor. Our mission is to assist community members in staking and make it simple to everyone.