Scaling a blockchain is like building a bigger highway to handle more traffic. It's important to make sure the network can handle more people using it without slowing down. This is called scalability. To do this, we need to use different solutions that work together, like adding more lanes to a highway, to make sure the network can handle the growing number of people using it.
Layer 1 Scalability Solutions
Pipelining and input endorsers are like adding more lanes and traffic lights to a highway. They are ways to make sure the network can handle more people using it without slowing down. The Cardano team is planning to put these solutions into action in the next few years, to make sure the network can handle more and more people using it.
Pipelining improves block propagation times by allowing nodes to pre-notify their peers of an incoming block, enabling them to pre-fetch the new block body. This reduces block propagation time and allows for block size increase, which also influences the blockchain’s throughput. Imagine expanding a road to handle more traffic.
Input endorsers are like a traffic cop on a highway. They keep track of all the cars (transactions) on the road and group them into sets of cars (pre-constructed blocks). This way, they can make sure the cars (transactions) are moving smoothly and quickly, and it allows more cars (transactions) to be on the road at the same time.
Tiered pricing is another research initiative by IOG scientists. Right now, all the cars (transactions) on the road are treated the same way, without the ability to change the order in which they go. Tiered pricing is like creating different lanes for different types of cars (transactions) on the road. This way, it makes sure that the traffic is moving smoothly, and it also helps to prevent any bad actors from causing traffic jams (DoS attacks) on the road.
This is like having different levels of service on a train, some people may want to pay more to sit in first class and have their trip be a priority, while others may be fine with sitting in coach and having their trip be less of a priority.
Layer 2 Scalability Solutions
To make sure more transactions can be processed quickly, blockchain networks can create more roads (sidechains), make use of shortcuts (state channels), or set up a system to make sure only authorized cars (transactions) can use the road (stake-based threshold multi-signature scheme). These are some examples of ways to handle more transactions at once.
Sidechains
The Cardano team has done research on how to make sidechains secure and efficient. They have developed a sidechain called the Cardano EVM sidechain that is currently in testing. This sidechain will be able to work with the same tools and programs as the Ethereum network, which will make it easier for developers to build on Cardano, resulting in benefits such as cost-efficiency, scalability, and security. Think of it like having different lines at a grocery store. Each line is a sidechain, and they are all connected to the main chain, which is like the main store.
Hydra
Hydra state channels are like private chat rooms for transactions. They allow transactions to happen without being recorded on the main chain, which can make the network faster. The Cardano team has done research on how to make these state channels secure and efficient. They have developed a protocol called Hydra, which allows for the same code to be used both on and off the main chain.
Mithril
To make the Cardano network even faster, the team is also working on a way to make data synchronization between applications more efficient. They have developed a protocol called "Mithril" which helps speed up the process of validating new blocks on the network. Think of it like a team of workers checking a new building before it can be used. Mithril helps make sure that the building is safe and secure without taking too much time.
Conclusion
In conclusion, the Cardano team is working tirelessly to improve the scalability and performance of the network through a variety of solutions such as pipelining, input endorsers, tiered pricing, sidechains, Hydra and Mithril. These solutions are designed to ensure the network can handle more users without sacrificing throughput, and provide a more resilient and secure platform for developers to build on.
It's exciting to see the team's dedication and commitment to improving the network in order to meet the growing demand for blockchain technology. The implementation of these solutions is a clear indication of the team's determination to stay at the forefront of blockchain innovation and provide a platform that is both fast and secure. With the team's efforts, we can expect Cardano to become one of the most widely adopted and reliable blockchain networks in the near future.