The state of statechains : exploring statechain improvements

Statechains are a second-layer solution for blockchains using a UTXO model. This paper poses a critical review of the Statechain protocol. It then explores State-accumulators as a possible solution to the scaling problems that Statechains suffer from, concluding that State-accumulators are a viable solution for the user side only. Additionally, the more recent blinded Statechain protocol is detailed and the Blinded Singular State Verification protocol is proposed as an alternative version that requires no unblinding operations.