What Is The Graph?

1. What Is The Graph?

The Graph is a decentralized protocol designed to index, query, and organize blockchain data, making it easily accessible for developers. Often called “the Google of blockchains,” The Graph enables the creation and use of open APIs called subgraphs, which dApps can query using GraphQL. This removes the need for custom indexing infrastructure, enabling scalable, efficient, and fully decentralized Web3 applications.

2. Why The Graph Was Created

The Graph was created to solve the inefficiencies in accessing blockchain data. Before it, developers had to build custom solutions to retrieve on-chain data, which was costly, slow, and centralized. The Graph solves this by providing a decentralized indexing and querying system that simplifies data access, ensures transparency, and supports the growth of decentralized applications across multiple blockchains.

3. How The Graph Works

1. Smart contract events are emitted during blockchain activity, producing raw on-chain data.
2. Developers define subgraphs to specify which data should be indexed and how it should be structured.
3. Graph Nodes scan and index blockchain data according to the subgraph manifest.
4. The indexed data is stored in a decentralized format, ready for queries.
5. Applications use GraphQL to fetch structured, real-time data from the indexed subgraphs.
6. Indexers, curators, and delegators maintain the network's integrity and performance.

4. Key Features of The Graph

• Subgraphs: Custom APIs that define and expose indexed blockchain data.
• Decentralized indexing network with no single point of failure.
• GraphQL integration for efficient and precise querying.
• Supports multiple blockchains including Ethereum, Arbitrum, Optimism, and Polygon.
• Crypto-economic incentives to reward honest network participants.
• Open marketplace where curators signal high-value subgraphs.

5. Who Can Use The Graph?

• Web3 developers building decentralized applications.
• DeFi protocols requiring real-time data access for analytics and dashboards.
• NFT platforms managing ownership data and metadata.
• Data analysts and researchers accessing blockchain insights.
• Enterprises integrating blockchain infrastructure for compliance and visibility.
• Node operators participating in indexing and delegation.

6. What Is the $GRT Token?

$GRT is the native utility token of The Graph and is essential for powering its decentralized indexing ecosystem. It has multiple use cases across the network:

• Staking: Indexers stake $GRT to provide indexing services and earn rewards.
• Delegation: Token holders delegate $GRT to indexers and share in their rewards.
• Curation: Curators stake $GRT to signal high-quality subgraphs to the network.
• Query Fees: Applications pay in $GRT to access indexed data.
• Governance: $GRT holders can participate in protocol upgrades and ecosystem decisions.