SubQuery explained: decentralized data indexing for Polkadot
Thread891 words
Explains why blockchains need indexing and how The Graph works, then positions SubQuery as the multi-chain Polkadot-native alternative with a marketplace model and flexible payment models. Names OnFinality as the team behind it.
Key claims
SubQuery supports any Substrate chain and added EVM support
Delegators can switch indexers without unbonding periods
Public sale interest form open until 6 June 2022
0/ Today’s thread is on @SubQueryNetwork, the prime data aggregation & indexing layer of the #Polkadot ecosystem🚀
$SQT Public Sale approaching quickly as well!👀
A 🧵on the importance of data indexing protocols & how #Subquery works (0/26) 👇
1/ For any web application, being able to consume relevant & concise data is essential. This is no different with blockchain-based decentralized applications
2/ Unfortunately, and opposed to centralized data storage systems, certain aspects of blockchains can make it time-consuming & challenging to query data
3/ But wtf is indexing? In essence, indexing aims to reduce the time needed in finding particular pieces of data or information. In computer science, this means cutting search time. Database indexes speed up queries by giving easy and quick access to relevant rows in a table
4/ Indexing is also crucial on blockchains. The infrastructure of blockchains consists of blocks that contain transactions. These blocks are connected to adjacent blocks, providing a linear immutable ledger of what happens on the network
5/ Nevertheless, this data structure makes looking for a particular transaction on each block time-consuming. Indexing will make this process efficient & fast, as these indexing protocols consume all the data on the blockchain and then convert it into a queryable format
6/ @graphprotocol for example is a decentralized protocol for indexing & querying blockchain data. It enables collecting, processing, accessing relevant information that is difficult to query directly and enables developers...
7/ ...to access the data through open #GraphQL based APIs. These APIs are called subgraphs and can be tailored to attend to an application's specific needs
8/ On #TheGraph, indexers & delegators are users of The Graph that provide services to the network, such as helping to process data and passing it on to applications and end-users
9/ Curators are subgraph developers who decide which subgraphs are of high enough quality to be indexed by #TheGraph by attaching tokens, known as $GRT to subgraphs that they want to support. In exchange for their work, all of these users are granted a portion of the network fees
10/ Like #TheGraph, @SubQueryNetwork is also a decentralized data aggregator. It offers an indexing & querying layer between substrate-based L1 blockchains and decentralized applications
11/ However, what differentiates #SubQuery from competitors like #TheGraph, is that it is built not on #Ethereum but on the #Polkadot Network instead
12/ Why is #SubQuery important? Well, parachains in the Polkadot ecosystem have to organize & coordinate. To do so, they need a secure & decentralized data aggregation layer that standardizes & unifies communication between different applications on separate parachains
13/ So now we know that #SubQuery enables the decentralized querying of open-source blockchain data. But how exactly does it work?
14/ The consumers of #SubQuery’s data are primarily application developers. They can request data from the blockchain, while indexers work to clean and provide that data to the consumers
15/ They build data indices according to a manifest. This is basically a document describing which data from a particular protocol needs to be indexed and in what form exactly
16/ Nodes operated by indexers, record these instructions (i.e. what event to listen to, how to store the data and in which form) and subsequently update the data indices with the new data that is fetched periodically
17/ Lastly, delegators can stake $SQT to support their favourite indexers and earn rewards
17/ In terms of design, #SubQuery mainly elevates itself from competition through its marketplace structure that enables the efficient allocation of capital and useful parachain data
18/ In Feb #SubQuery has updated its whitepaper & introduced three innovative payment models, providing participants with various flexible ways to transact using $SQT, with both indexers & consumers coming together on the marketplace to advertise pricing & payment models
19/ The $SQT token powers the #SubQuery network, provides incentives to participate and serves as a medium of exchange for transactions on the marketplace. Moreover, delegators can support their favourite indexers by delegating their $SQT tokens to them
20/ Now that we understand how @SubQueryNetwork works, lets have a quick look at three main characteristics that give #SubQuery a competitive advantage:
- Multi-chain by design
- Simplicity / Ease of access
- Flexibility
21/ Multi-chain:
#SubQuery is native to the Polkadot ecosystem, an interoperable network of application-specific L1 blockchains and supports any substrate-based chain by default. However, it has also added EVM support and aims to support any L1 (within #Polkadot or not)
22/ Simplicity:
#SubQuery's goal is to make it as easy as possible for anyone to participate. #SubQuery won’t require high staking thresholds to participate or huge investment into hardware. The focus will be on making #SubQuery easy to join and build with
23/ Flexibility:
Users have the freedom to adapt & transform data to suit their needs. Moreover, delegators can quickly & easily support diff indexers without unbonding periods. Lastly, #SubQuery's flexibility is also exemplified by their innovative marketplace & payment models
24/ @OnFinality the company behind @SubQueryNetwork, is a major infrastructure provider for the Polkadot ecosystem, working with big projects including @AcalaNetwork, @MoonbeamNetwork, @AstarNetwork, @PhalaNetwork, and @bifrost_finance
25/ Finally, SubQuery can rely on strong backers/investors including @DCGco, @NGC_Ventures, @arringtonXRPcap and @DFG_OfficiaI and a lot of high profile partnerships in the #Polkadot ecosystem
26/ Public Sale Expression of interest form is still open until 6th of June 2022, don’t miss out!🚨🚀
x.com/SubQueryNetwork/status/1526125302249824258
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How the covered assets moved · since 31 May 2022
Prices as of 23 Oct 2026This explainer walks through how things work without making a call on the token, so price moves since publication are shown as market context.
Covered in this piece
$SQTSubQuery Networksince listing 24 Feb 2024−100.0%−100.0% vs BTC
Mentioned for context
$GRTThe Graphsince publication−85%−94% vs BTC
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