Shardeum, solution to the scalability trilemma

What is Scalability?

How Scalability issue affects us?

But that is not the only way it affects us, since miners, those who process transactions on the network, directly take the gas fee for each transaction, which makes them the main deciding authority for the average cost of gas. A transaction with a higher gas cost attached to it will be accepted faster, and transaction with a lower gas cost being generally slower due to miners prioritising “better returns”. In the network clogged state, transactions being staged in memory pool and miners prioritising transactions with higher gas prices, results into increase in the lowest gas price for confirming a transaction.

This creates a situation where the network’s gas fee goes up to exorbitant levels as the network becomes more clogged, only worsening the situation. The transaction fee in Ethereum had touched $3500 due to popular NFT mints.

Basically, Scalability issue eventually leads to the higher gas prices which then affect us a lot.

Other Blockchains who suffer or can suffer from the Scalability Trilemma

How Shardeum solves the Trilemma of Scalability?

Sharding involves splitting a blockchain into multiple pieces, or shards, and storing them in different places. By storing the data across different computers, the computational burden on each can be reduced. This allows the network to process a larger volume of transactions.

Shardeum uses Dynamic State Sharding, whose general principle is to divide the address space of accounts into multiple fixed size regions called shards and nodes in the network are assigned to different shards. In a network with state sharding, transactions between contracts in the same shard are fast and easy while transactions across multiple shards are much slower, but not impossible. If a transaction needs to affect more than one shard, it needs to be executed consecutively in each shard. Because transactions are grouped into blocks and consensus is done at the block level, transactions that affect multiple shards risk the possibility of being confirmed in one shard, but getting rolled back in another shard. To prevent this and maintain atomic processing of transactions requires additional complexity. Also transactions which affect multiple shards will require additional processing time proportional to the number of shards they affect. Even with these complexities sharding is still beneficial since the TPS of the whole network will increase proportional to the number of shards it has.

In simpler terms the advantages to Sharding are:
1. Allows for greater scalability,

2. Reduces the processing and memory burden placed on full nodes

3. Works well for proof-of-stake networks

How does Swapped Finance Benefits from the Shardeum Blockchain

These fundamental features helps along with the features inbuilt to the Decentralised Application, Swapped Finance to compete with it’s competition. Where the competition faces Scalability issues and Front-running from time to time, Swapped Finance will not have to encounter such issue beacuse of the Shardeum and it’s technology.

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Swapped Finance is a next generation state sharded AMM built for scalability and is immune to front-running with Shardeum at its core.

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Swapped Finance

Swapped Finance is a next generation state sharded AMM built for scalability and is immune to front-running with Shardeum at its core.