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Ethereum Scaling

Liquidity.network Aimed At Scaling Ethereum Releases Mvp

Liquidity.network Aimed At Scaling Ethereum Releases Mvp

Liquidity.Network aimed at scaling Ethereum releases MVP Liquidity.Network is a bi-directional off-chain solution for Ethereum. As promised by the founders of Liquidity.Network, they have now released their early stage MVP. Liquidy.Network is an off-chain scaling solution running on top of an Ethereum Virtual Machine (EVM) blockchain enabling millions of users and payment processors to execute transactions. The wallet is a DApp that interacts with both the Liquidity.Network hub smart contract and the Liquidity.Network hub server, more details are outlined in the project white paper . Users are required to have either MetaMask, Parity, Mist or another blockchain client running locally to be able to register for the Liquidity.Network hub. The MVP has been released during the middle of the projects token pre-sale . Liquid Ether eliminates gas fees for transactions Users can send Liquid Ether, i.e. off-chain Ether over the Liquidity.Network. If the Ethereum blockchain is congested, transferring Liquid Ether will still be free for regular users, as it doesnt require an on-chain transaction. If transactions fees skyrocket, Liquid Ether transactions remain fast and free. A user can register with the Liquidity.Network off-chain i.e. without an on-chain Ethereum transaction. Registration is sufficient to receive and forward off-chain Ether. The Liquidity.Network team anticipates that most users will no longer need on-chain Ether for payments. Having flexible and easily transferable Liquid Ether will be the preferred way to perform payments among peers. Node 1, Node 2 visit Node 1, Node 2 click register and sign the MetaMask request Node 1: Deposit Wei (Ether). Wait 6 blocks. This creates off-chain Ether from on-chain Ether. Deposit requires the signature of 2 messages through M Continue reading >>

Making Sense Of Ethereums Layer 2 Scaling Solutions: State Channels, Plasma, Andtruebit

Making Sense Of Ethereums Layer 2 Scaling Solutions: State Channels, Plasma, Andtruebit

Construction of the Tunkhannock Viaduct railway bridge in Pennsylvania ( cc ). Roman engineering principles being extended to newuses. Making Sense of Ethereums Layer 2 Scaling Solutions: State Channels, Plasma, andTruebit For ethereum 2018 is the year of infrastructure . This is the year when early adoption will test the limits of the network, renewing focus on technologies built to scale ethereum. Ethereum is still in its infancy. Today, it isnt safe or scalable . This is well understood by anyone who works closely with the technology. But over the last year, the ICO-driven hype has begun to far exaggerate the current capabilities of the network. The promise of ethereum and web3 a safe, easy to use decentralized internet, bound by a common set of economic protocols, and used by billions of people is still on the horizon, and will not be realized until critical infrastructure is built . The projects working to build this infrastructure and expand the capabilities of ethereum are commonly referred to as scaling solutions. These take many different forms, and are often compatible or complimentary with each other. In this long post I want to dive deep into one category of scaling solution: off-chain or layer 2 solutions. First, well discuss the scaling challenges of ethereum (and all public blockchains) in general. Second, well cover the different approaches to solving the scaling challenge, distinguishing between layer 1 and layer 2 solutions. Third, well delve into layer 2 solutions and explain how they work specifically, well talk about state channels , P lasma , and Truebit This article focuses on giving the reader a thorough and detailed conceptual understanding of how layer 2 solutions work. But we wont dig into code or specific implementations. Rather, we focus on Continue reading >>

Can Ethereum Scale? Steemit

Can Ethereum Scale? Steemit

Ethereum, with a price close to $800 now, is worth over $75 billion. But can it scale to meet the growing demand? Recently we had Cryptokitties clogging up the network. Those Cryptokitties were accounting for over 15% of all transactions on the network and the average transaction spiked to over $1. And then Kik announced it was moving its KIN token from Ethereum to Stellar because Ethereum was unable to scale to meet the needs of KIN. Ethereum knows full well it needs to scale and its a top priority of its founder Vitalik Buterin. He spoke about it recently at the Beyond Block Taipei Conference in Taiwan. The scaling solutions being proposed now include sharding, the Raiden network, and Plasma. But they all hinge on Ethereum going to proof of stake. While thats supposed to be part of the Serenity upgrade, Vitalik did say at DevCon3 that it could happen during the next hard fark, which is the second half of Metropolis called Constantinople. Theres actually a couple different versions of Casper being worked on. Vitaliks is called Casper the Friendly Finality Gadget. His version is an overlay on top of the Ethereum network so its technically a hybrid model. Then theres Casper Correct by Construction from Vlad Zamfir. It starts as a partial protocol and uses input from a safety oracle for secure protocol architecture. The final implementation may end up taking ideas from both. Once Ethereum goes proof of stake then it can move onto sharding, Raiden and Plasma. Sharding makes it so that nodes and transactions can be broken down into smaller groups. Every node on the network wont have to validate every transaction and that will increase transaction capacity. Raiden is an offchain solution that uses state channels. It basically takes transactions off the network and only vali Continue reading >>

Sharding, Raiden, Plasma: The Scaling Solutions That Will Unchainethereum

Sharding, Raiden, Plasma: The Scaling Solutions That Will Unchainethereum

Sharding, Raiden, Plasma: The Scaling Solutions that Will UnchainEthereum And how REX is positioned to grow with the blockchain of tomorrow Cryptocurrency heavyweights such as Bitcoin and Ethereum are beginning to garner the attention of mainstream media in thanks largely to their monstrous rise in value over the past year. This coverage has piqued the interest of people all over the world who are eager learn more about the underlying technology and how to get involved. However, it also raises concerns of scalability growing the capacity of blockchain networks to handle the massive influx of traffic that comes alongside mainstream adoption one of the biggest challenges facing blockchain technology today. In our previous blog post , we discussed how the current throughputs of Bitcoin and Ethereum are limited, which results in a backlog of unconfirmed transactions when their networks are at full capacity. This issue was laid front and center just this week, and provides a perfect example of the challenges facing the extreme growth of blockchain technology CryptoKitties, a recently launched dApp upon which users trade virtual kittens, went viral and tested the networks capacity, providing essential scaling data and a valuable case study for Ethereums viability in asset management, and for the Ethereum blockchains current transactional capabilities. In the span of four days,CryptoKitties went from accounting for 3% of all Ethereum transactions to 11.77%. This resulted in transaction backlogs, network delays and higher gas fees. Real estate, a 217 trillion dollar global asset class, will be among the largest industries to benefit from the blockchain. However, blockchain technology will struggle to reach its full potential if it fails to overcome this obstacle and facilitate Continue reading >>

Sharding Faq Ethereum/wiki Wiki Github

Sharding Faq Ethereum/wiki Wiki Github

Currently, in all blockchain protocols each node stores all states (account balances, contract code and storage, etc.) and processes all transactions. This provides a large amount of security, but greatly limits scalability: a blockchain cannot process more transactions than a single node can. In large part because of this, Bitcoin is limited to ~3-7 transactions per second, Ethereum to 7-15, etc. However, this poses a question: are there ways to create a new mechanism, where only small subset of nodes verifies each transaction? As long as there are sufficiently many nodes verifying each transaction that the system is still highly secure, but sufficiently few that the system can process many transactions in parallel, could we not use such a technique to greatly increase a blockchain's throughput? What are some trivial but flawed ways of solving the problem? There are three main categories of easy solutions. The first is to simply give up on scaling individual blockchains, and instead assume that users will be using many different altcoins. This greatly increases throughput, but comes at a cost of security: an N-factor increase in throughput using this method necessarily comes with an N-factor decrease in security. Hence, it is arguably non-viable for more than small values of N. The second is to simply increase the block size limit. This can work and in some situations may well be the correct prescription, as block sizes may well be constrained more by politics than by realistic technical considerations. But regardless of ones beliefs about any individual case such an approach inevitably has its limits: if one goes too far, then nodes running on consumer hardware will drop out, the network will start to rely exclusively on a very small number of supercomputers running Continue reading >>

Ethereum's Vitalik Buterin Deletes Tweet About Sharding, Community Buzzes

Ethereum's Vitalik Buterin Deletes Tweet About Sharding, Community Buzzes

Subscribe to the Bitsonline YouTube channel for great videos featuring industry insiders & experts With the specter of congestion on the Ethereum network growing, any updates or comments pertaining to sharding will unsurprisingly cause a stir. Thats precisely whats happened as Buterin just tweeted, and thereafter deleted, a new remark on a sharding testnet potentially being publicly available soon. In a threaded conversation about Twitter competitor leeroy.io, Buterin wrote: I hope they can participate in the sharding testnet soon when its ready; theyre one of the first apps that could easily benefit from it :) Buterin wasted little time in deleting the comment, though, for reasons not immediately clear. Presumably he retracted the statement to tamp down on any unrealistic hype around sharding, which is likely still a ways off. Conversely, it took little time for Ethereum forums like r/ethtrader to burst with users acknowledging theyd seen the tweet with their own eyes. More have heard of sharding than know what it is. Its important to note here that sharding is not some monolithic system, but rather a series of ideas that are being experimented with. As the GitHub Sharding FAQ explains, though, there is a general gist of what sharding could look like when completed: For example, a sharding scheme on Ethereum might put all addresses starting with 0x00 into one shard, all addresses starting with 0x01 into another shard, etc. In the simplest form of sharding, each shard also has its own transaction history, and the effect of transactions in some shard k are limited to the state of shard k. One simple example would be a multi-asset blockchain, where there are K shards and each shard stores the balances and processes the transactions associated with one particular asset. I Continue reading >>

The State Of Ethereum Scaling, March2018

The State Of Ethereum Scaling, March2018

The State of Ethereum Scaling, March2018 Highlights from EthCC on Plasma Cash, Minimum Viable Plasma, andMore From the 8th to the 10th of March 2018, Paris got flooded with Ethereum professionals, researchers, investors and enthusiasts from all over the world for the Ethereum Community Conference ( EthCC ). EthCC is organized by Asseth which is a French non-profit organization that has been promoting and sharing knowledge on Ethereum and its ecosystem since early 2016. In total, more than 800 people attended (hint: metoo!). The metrics during the final talk on ScalingEthCC Over 100 talks were given over the 3 days of the conference, on topics ranging from Governance, Security and Privacy to DApp development, Gaming and Decentralized Exchanges. You can find most of the talks in the following spreadsheet. Describing each talk is out of scope of this article. So since our focus at Loom Network is on scalability , in this article well focus on covering the scalability talks of EthCC. On Day 2, Karl Floersch presented the latest progress on Plasma & Sharding. The talk is a slightly more detailed version of the Plasma explanatory video he uploaded last week . This was probably my favorite talk, primarily due to Karls energy and enthusiasm about the concepts he described. At the moment, Plasma is designed for simple token transfers (ERC20/Ether), but it is extensible for more complex tokens such as ERC721 or even more general state transitions. It should be understood that Plasma is not a protocol, it is a design pattern, a technique. The main requirement is that a Plasma Chain must be as secure as the rootchain. The main security mechanism behind the Plasma technique is Plasma exits, which is the process that allows a user who participates in a Plasma Chain to stop participa Continue reading >>

Loom Network Launches Ethereum Scaling Solution

Loom Network Launches Ethereum Scaling Solution

Loom Network Launches Ethereum Scaling Solution Anyone who has been following along with Ethereums ongoing scalability issues has probably heard about Plasma and Casper, two upgrades designed to expand Ethereums ability to process transactions and host dapps. Those solutions are still months or possibly years from deployment. This week, however, Loom Network deployed their own scaling solution for dapps to production, along with a test site DelegateCall . DelegateCall is a competitor to Stack Overflow, built as a blockchain-based dapp . Its live now and you can check out its functionality. According to Loom, its backend is completely decentralized but it can scale the same as a commercial application like Stack Overflow. When users answer questions, they receive ERC20 tokens instead of karma for the upvotes their projects receive. Loom Networks scaling solution relies on creating side chains that are bonded to and Ethereum smart contract via a relay. Each dapp gets its own chain, allowing the dapp to scale while still being tied to the security of the Ethereum mining network. These side chains have their own DPoS consensus , and they support custom transaction types like creating accounts, posting messages, and voting. In the future, Loom Network aims to support hundreds or thousands of different dapps, each running their own sidechains. In addition to DelegateCall, theyre currently building mobile games to demonstrate the capabilities of their scalable DAppChains. Theyve already released one web-based game (not a DAppChain-based game), CryptoZombies , that teaches you how to code in Solidity. For blockchain-based applications and organizations to catch on, we need next generation scaling solutions that can support enterprise applications. Whats so exciting about Loom Continue reading >>

Vitalik Reveals New Idea For Plasma Scaling On Ethereum

Vitalik Reveals New Idea For Plasma Scaling On Ethereum

Vitalik Reveals New Idea for Plasma Scaling On Ethereum Mar 9, 2018 at 21:02 UTC|UpdatedMar 10, 2018 at 12:32 UTC In a surprise appearance at the ethereum community conference EthCC in Paris on Friday, ethereum founder Vitalik Buterin presented a scaling solution for Plasma, a system of smart contracts that seeks to increase the computational potential of the world's second-largest blockchain. Created by Buterin and Bitcoin Lightning Network co-creator Joseph Poon last year, the scaling solution is one of many under development that aims to boost the capacity of ethereum, specifically working by creating a layer of smart contracts that can interact with the main blockchain. But while the current iteration of the prototype requires all users to download and validate each smart contract in the Plasma system, in his new talk, Buterin described a way to limit this to a handful of data points. "The main benefit here is that basically the amount of data that clients need to process goes down by a lot," Buterin explained. Rather than having to download the entire Plasma history, users would be able to instead generate "Plasma coins" by sending a deposit to the contract. As such, instead of downloading and verifying everything, users could simply track the tokens they have created within that system. "Now users only have to verify the availability and correctness of the Plasma chain only at the specific index that they want to spend, or the specific index of any coins that they own and coins that they care about," Buterin said. Created by Buterin and developers Dan Robinson and Karl Floersch, the idea has yet to undergo testing. However, according to Buterin, this minimized system could have a number of important use cases, such as protecting cryptocurrency exchanges from larg Continue reading >>

Dogecoin Is Unexpectedly Helping Ethereum To Solve Its Scaling Issues

Dogecoin Is Unexpectedly Helping Ethereum To Solve Its Scaling Issues

By Carlos Terenzi in Cryptocurrency News Home Doge, a cryptocurrency that was born as a joke currency is now helping Ethereum to solve its scaling issues . As it is known, Ethereum is facing several difficulties in order to scale its network. Dogecoin is playing a crucial role in order to test new technologies in the Ethereum network. On February the 5th, the technology truebit sent Dogecoin to Ethereums Rinkeby Testnet. Once there, the Dogecoin became a distinct asset on the blockchain. This transaction achieves a historic milestone towards interoperability of crypto assets. The test has been nicknamed dogethereum bridge and marks the first release of truebit. Ethereums network is congested due to the fact that the data needs to be sored in the globally database and it requires three times more data than Bitcoin. Truebit aims to scale not only transactions, as other scaling solution like raiden and sharding propose, but it also tries to scale any type of Ethereum computation. The cryptocurrency Ether is not just used for financial purposes, but the whole network is used by several developers all over the world . Truebit may be help all these developers having a smoother experience in the future. Truebit co-founder Jason Teutsch commented about it: We built a first version of that, which we are calling truebit lite. It demonstrates that all the core pieces of truebit work. It is a big milestone for us. With the technology that is available right now, some participants need to behave in an altruistic way. That means that the system verifiers are performing expensive computations to help the network. The intention of truebit is to offer, one day, the possibility to reward participants for doing computational work on their computers. At the moment, there is not an estimat Continue reading >>

Vitalik Buterin & Joseph Poon Propose New Scaling Solution For Ethereum: Plasma

Vitalik Buterin & Joseph Poon Propose New Scaling Solution For Ethereum: Plasma

We've all witnessed the recent Bitcoin fork on August 1. The whole reason for this procedure was to scale the network, which means to improve its transaction speed and efficiency. Now, Ethereum is planning to do the same and is looking into different scaling solutions. Ethereum founder Vitalik Buterin and Lightning Network co-author Joseph Poon have just released a possible solution: We propose a method for decentralized autonomous applications to scale to process not only financial activity, but also construct economic incentives for globally persistent data services, which may produce an alternative to centralized server farms.-[Plasma Whitepaper]( ) Why is a Scaling necessary for Ethereum ? The ethereum network can't effectively support many users right now. It's too overcrowded. Similar to the issues that Bitcoin faced, the technology is simply not ready for the sudden high demand and the growing amount of users. The results are that transaction times are increasing and the fees for smart contracts are also rising. There have already been several other proposals to solve this problem, but Plasma has been the most popular one yet (which is probably due to the famous names involved with the project!) The solution for the scaling problem is to minimize the data on the blockchain. Right now, all transaction data is stored on the blockchain - and obviously, that's a lot to handle and is slowing down the network. That's why these scaling solutions propose technologies that reduce the amount of data directly stored on the blockchain, and instead stores them off-chain. "Large apps cant run solely on-chain and likely never will. They need off-chain scaling solutions. While its tricky to make accurate estimates when combining scaling improvements, its conceivable we could se Continue reading >>

Ethereum Will Soon Test Sharding Tech To Fix Scaling Issues, Vitalik Buterin Hints

Ethereum Will Soon Test Sharding Tech To Fix Scaling Issues, Vitalik Buterin Hints

Vitalik Buterin has made it clear that designing more efficient scaling solutions is one of the biggest challenges for the Ethereum blockchain and it seems the company is gearing up take on this hurdle head-on. Buterin has indicated the company will soon begin testing its new scaling tech better known as sharding . Talking about the cryptocurrency scam epidemic on Twitter, the young co-founder strongly hinted that Ethereum is close to launching its sharding testnet. While Buterin did not offer a clear timeline, he said that Leeroy a decentralized Twitter rival will be a suitable candidate for the experiment. I hope they can participate in the sharding testnet soon when its ready, the founder responded to a comment asking about a verified Twitter on the blockchain. Buterin has since purged the tweet, but you can still see the full response here: Buterin and lead developer Nick Johnson have often stressed the central role sharding could play in Ethereums plan to move from proof-of-work to proof-of-stake system for verifying transactions on its network. During a talk in Taipei in November last year, Buterin laid out the companys intention to reach Visa levels of scalability within the next three to five years, as reported by Trustnodes. Sharding was painted as a crucial part towards accomplishing this goal. For context, Visa processes upward of 1,500 transactions per second, while Ethereum roughly handles between 10 and 30. The way Ethereum is currently setup requires that a transaction is verified by every single validator on the blockchain, which makes the network inherently more secure but also significantly slower. Sharding basically splits the network into small partitions known as shards, with each piece containing its own independent state and transaction history. Continue reading >>

Ethereum's Raiden Network Has New Scaling Competiton

Ethereum's Raiden Network Has New Scaling Competiton

Ethereum's Raiden Network Has New Scaling Competiton Mar 2, 2018 at 13:00 UTC|UpdatedMar 4, 2018 at 11:30 UTC Yet another ethereum scaling solution is launching a test network. Announced Friday,Liquidity.Network is officially joining Raiden Network as the latest ethereum project to attempt to move transactions off the world's second most valuable blockchain and into payment channels, in turn, allowing thenetwork to support greater adoption and use. Similar to bitcoin's better-known Lightning Network, Liquidity.Network aims to enable ethereum users totransact back and forth, without having to pay the cost of moving coins on the blockchain itself. In short, users pay to start channels and to close channels, not for what happens in between. But while Raiden is the furthest along in its development of the concept, it's still yet to go live, and with ethereum nearing capacity at times,today's news that another team is working on the challenge marks what many will likely see as welcome competition. Notably, the solution makes use of Revive , an early-stage technology pioneered last year that claims to offer a better, less expensive way of setting up off-chain transactions. Liquidity.Network co-founder and Imperial College London assistant professor Arthur Gervais told CoinDesk: "What we're providing is a payment hub which allows you to do bi-directional payments among however many people you want, which we think could be big for ethereum in general." According to Gervais,what's available for use on ethereum's Ropsten testnet today is an unfinished alpha version, one that he hopes will attract early testers. Like Raiden, Liquidity.Network will also issue a token to fund development and power the protocol, though it's currently in pre-sale and isn't yet necessary for the netwo Continue reading >>

How Can Ethereum Systematically Scale Better? | Hacker News

How Can Ethereum Systematically Scale Better? | Hacker News

I have hard time believing that a knowledgeable person would have numbers on the scaling improvement column on the scaling efforts list."3-10x" for ditching EVM for WASM which is at a concept phase,"2-8x" for parallel processing of transactions Even Vlad would laugh at that column. The whole thing feels like a desperate "don't panic sell" when people realize the state of Ethereum's scaling since today its blockchain is increasing at a rate of 1GB/day. I personally hope Ethereum's fans start to be more honest with themselves and do some critical thinking. There are some horrible echo-chambers (/r/ethereum /r/ethtrader) that are traps for newcomers. The closer scaling solution is Raiden (funnily one of the core devs is the one made the infamous hacked DAO contract) which is quite the challenge unless they intend to support a limited subset of Ethereum's capabilities, but they are working on it and looks alive. Apart from that which is a year or so away, Sharding is way off like the list says and will be a huge challenge. Also what is certainly interesting is ethereums difficulty bomb, which should activate later this year. Certainly gives interesting image on ethereums development style, this was implemented to "force" the ethereum devs to implent PoS before it activates. However as far as I understand, the only thing that this forces ethereum devs to do is a hard fork that removes the difficulty bomb somewhere this year. There is only one type of difficult bomb for Ethereum (the ice age), and that is already underway. As linked to in that article, block times would reach about 30 s mid-August ( ). The difficulty bomb/ice age is _not_ to force the devs to implement PoS. The reason the ice age(s) exist is to make sure minority chains eventually die. Bitcoin does not have Continue reading >>

Does Ethereum Have A Problem With Scaling Just As We Have Seen With Bitcoin?

Does Ethereum Have A Problem With Scaling Just As We Have Seen With Bitcoin?

Cryptocurrency technology, Blockchain, needs to evolve to become the powerful and flexible tool it wants to be. Ethereum begins along this path by embracing the approach known as sharding, which has great potentials but also unanswered questions. With Sharding we mean a change to the operation of Ethereum, and blockchain in general. Thanks to this, each user can only approve specific instruction sets and transfers of Ether between certain nodes. This way, the single user does not have to approve all transactions each time, the system becomes more efficient and the performance improves. "Performance" in this context means in particular the speed of transactions. It's a "problem" common to all the most famous cryptocurrency, and has recently been at the center of a big change even in Bitcoin. The point is this: every computer in the blockchain is a node, that is, a machine that downloads all the blockchain (about 120 GB in the case of BTC) and undertakes to confirm the transactions. It can be seen that the system gets slower, so that in the case of Bitcoin it may take even days - a sluggish one that among other things prevents some financial operations that need speed. In addition, the commissions paid to miners (to confirm transactions) become too high, almost unbearable. To introduce a simpler comparison term, you may think that the Visa circuit processes approximately 40,000 transactions per second, while BTC and ETH blockchains, respectively, 3-7 and 7-15 transactions per second (units, not thousands). At the moment it is not even far-fetched to realize a decentralized Facebook or decentralized YouTube that has the same number of functionalities, active users, and storage as "centralized counterparts". The goal, however, is to implement such applications. Ethereum is Continue reading >>

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