LSK is the abbreviation and token of the project Lisk. The goal is to create a Dapp (application software) ecosystem based on sidechain technology, similar to Apple's App Store (application download store).
The Lisk project was separated from the Crypti blockchain project in January 2016, and the mainnet was launched in June 2018. It is unclear whether Lisk version 1.0 will include sidechain technology.

How Lisk Works
Like BitShares, Steem and EOS, Lisk uses the dPoS consensus algorithm. There are 101 delegates acting as block producers. Delegates are elected via blockchain voting. The number of votes allocated to each account is equal to the amount of LSK it owns. Block production takes place in turns, with 101 representatives producing one block each round. Lisk supports 10-second block generation, and each block generation will reward 4 LSK. Blocks are generated in 10 seconds, which means that more than 12 million LSK will be rewarded to delegates within a year. The initial supply is 100 million LSK with an annual inflation rate of over 12%.

As we have seen with BitShares, Steem, and EOS, the dPoS consensus algorithm is a tradeoff: the dPoS algorithm is fast and scalable, but the price to pay for this is decentralization.

The Lisk Team
Lisk was founded by Max Kordek and Olivier Beddows. Both Max and Olivier are from the Crypti project. According to a Lisk blog post, they left Crypti and formed Lisk in early 2016 after disagreements with the rest of the management team. Not much is known about Max and Olivier's respective histories prior to Crypti and Lisk. Max currently serves as Lisk's President and CEO, and Olivier serves as Lisk's Vice President and CTO.

To build Lisk, Max and Olivier co-founded lightcurve GmbH, a blockchain consultancy, development studio and marketing agency. There are over 50 people working on lightcurve and its only client is Lisk.

Project Highlights
LISK is the first decentralized application solution written entirely in js. This opens up a new field of ecology and developers. Any web developer already familiar with JavaScript and Node.js can immediately transfer to developing decentralized applications from day one.

Our core goal with LISK is to create a complete plug-and-play system that allows developers to complete all steps from design, development, release and monetization on one platform. Leveraging the LISK ecosystem, developers can quickly deploy their JavaScript applications to gram-hosted storage nodes, get listed on the gram-dapp store, and have immediate access to LISK computational code execution nodes. And supported by the integrity and security of the side chain by the borrower consensus function.

Most importantly, all these cloud functions are paid by users and LISK representatives who pay both via the built-in invoicing system (or by the network itself in the case of representatives) and pay in Grams (a cryptocurrency of Grams) or BTC. It's truly a one-stop shop for app development, offering a cutting-edge, lightweight, and forward-thinking solution.

Sidechain

Lisk plans to utilize sidechains and encourage developers to build dApps in sidechains. The side chain can lock the LSK tokens in the main network account of the side chain owner through special main network transactions to store the LSK tokens of the main network. This means that in the event of a defective sidechain, all LSK tokens are safe and retrievable by the owner of the sidechain. However, this also means that any sidechain users are under the control of the sidechain owner.
Sidechains are fully customizable blockchains. Developers can customize all specifications, parameters and transaction types of the sidechain. The side chain can use the LSK tokens of the main network, or issue its own custom tokens.
A key challenge of sidechains is finding node operators to "keep alive". According to Lisk, sidechain developers can specify their own consensus algorithm or choose to use Lisk’s consensus algorithm. If so, they need to find their own representatives to keep the blockchain running. The 101 representatives of the main network do not need to serve as side chain representatives.
The technical details of how Lisk's sidechain technology works are unclear. It is unclear how secure the sidechain is, how dApps will run on it, and how the sidechain will communicate with the main chain.

Application scenario

(1) Lisk
LISK full client is the best solution for super users, delegates and developers. It is available for Windows and Apple operating systems. Although it is only possible to be a rep with that client. Users of the Lite Client can connect to the full Client Access network.
They can also use them for API calls if it is allowed by the owner of the full client. All client users download the blockchain to each other through a peer-to-peer connection.

LISK users can use the Lite client to access their dapps and install them. Provide dapps API and peer API to developers. Developers can quickly and easily create JavaScript dapps using nw.js2 or electron3.

(2) Lisk Thin Client

Regular users will primarily use the Lite client, a lightweight client, to access their Borrower, Borrower accounts.

A lite client is available on Windows and Mac OS. It requires no installation process as it utilizes modern web technologies. It does not act as a network node, it can only connect to other nodes online via HTTP connections. This brings several advantages.

Users do not need to download the chain, which means that they are in a very small application. It does not broadcast keys over the network, all data is signed locally on the device. It is possible to make all types of deals available.

If you want to run a proxy node, you can register a delegation account with the lite client. However, it is not possible to run a delegate, that creates new blocks. For this you need the full client.

LISK users can use the Lite client to access their dapps and install them. The dapps API and peer APIs are provided to developers.

They can create easy and fast JavaScript dapps NW. JS or Electron.

(3) LISK mobile wallet

The mobile client allows users to access their borrower accounts on the go. It's available for iOS and Android and select Apple and Google Play app stores.

The mobile client's backend infrastructure will mirror our desktop solution. The real change is in the additions and tweaks to the Forms UI that will allow mobile devices to customize the experience. The app is custom designed to provide a familiar and easy-to-use mobile interface, much like the bitcoin or banking apps you already use every day. It will also allow you to launch your favorite dapps from the app itself. In the future, we plan to integrate device-specific features, such as the ability to utilize fingerprint or retinal scans, for added security in your account.