Despite the 10-year anniversary, blockchain technology is still in the early stages of its formation. For all these years of practical application of the technology has not been found, crypto-enthusiasts continue to surpass transactions between wallets and exchanges, trying to make money on it. In General, the technology of blockchain, except for speculative interest, has not yet generated anything sensible, something that would really be of interest to people and could modernize the long-outdated centralized structures. All this is due to the fact that until a solution is found able to solve trilema of scalability.
V. Buterin wrote a scalability trilemma, according to which any Blockchain can have only 2 of 3 properties: scalability, decentralization or security. All existing blockchains today sacrifice one of the indicators in favor of another, so the technology is still marking time. Bitcoin and Ethereum have sacrificed scalability in favor of decentralization, they perform their function well only until the network is overloaded, and with the growth of the ecosystem there are problems such as limited transaction execution speed. As long as transactions will not be carried out on a free scale - the mass use of blockchain technology can not even dream of. The team of the Elrond Network project understands this and creates its own network, which will be deprived of the shortcomings of existing blockchains.
What is Elrond Network?
Elrond Network is a project that is finally able to solve the trilemma of scalability of blockchain networks and strengthen the interaction of technology with the real sectors of the economy.
The main Task of Elrond Network is to create a new blockchain architecture that goes beyond the modern level and is designed for practical scalability by means of adaptive separation of States and secure transaction confirmation (SPoS).
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In the ecosystem, which strives for firewall interaction, their solution for smart contracts provides a mechanism that is compatible with EVM to ensure interoperability by design. This is a guarantee that Elrond Network will be relevant in an ever-growing blockchain environment.
Elrond Network is a complete reimagining of a public blockchain architecture specifically designed to provide an overall overall improvement through scalability, efficiency, and security while maintaining a fairly decentralized setup. To achieve this, the team introduced a new adaptive state separation mechanism that provides scalability as more nodes join the network, paralyzing transaction processing. At the consensus level, Elrond offers a new mechanism called "Secure Proof of Stake", introducing a random selection of the consensus group, a "bet plus" rate as a fitness feature to prevent Sybil attacks and an almost instant finality based on pBFT. To provide decentralized applications, Elrond is designed so that it is compatible with EVM and Ewasm, supports multiple smart contract languages and formal validation.
Product
To date, Elrond has made significant progress in the development of its product. Thanks to the latest iteration of their network, completely rewritten in the GO code language, the team was able to reach 3750+ TPS in a single segment, which is a significant improvement since their prototype. This shows that the team is committed to its roadmap, ensuring continuous progress even before fundraising, and investors know in advance what they are investing in. Testnet has successfully launched and is running, and the early blockchain Elrond also has a handy UX that will be available to the public in the next few months.
Competitiveness
The main competitors of Elrond Network are EOS, Zilliqa, PChain and Quarkchain. All of these competitors try to solve scalability problems and offer solutions that provide high TPS throughput while maintaining appropriate levels of security. They also follow a different well-trodden path of interaction between the chains, which is also addressed by many other projects such as Polkadot and PChain. There is every chance to beat its competitors by providing the crypto community and the world with a viable product that will take on the competition and integrate the network into the relevant infrastructure projects of the blockchain.
Potential market size
Elrond Network expects to become a major player in the so-called "big League" blockchain development, which is a sector with high bandwidth, segmentation and interconnection. The need for high throughput and low storage costs is constantly high. The project, which will solve these problems and provide an open and easily interacting chain, will gain wide popularity, so this project has every chance to take a leading position.
Innovation and Intellectual property
Position that the team adheres to, applies to open source, which enables more rapid decision-making and supports the principle of decentralization, so they made their own code for the prototype is available on my Github page.
Using The Blockchain
Blockchain technology is an integral part of the Elrond network project, it is the main goal of these projects, as it aims to expand the blockchain infrastructure with its new solution and provide a fast, scalable and secure cryptocurrency and high-bandwidth network.
Ecosystem tokens
The Elrond platform will use its own token called Elrond (ERD). It will act as a low-cost, high-speed cryptocurrency that can be used to process a variety of transactions. The ERD functions will primarily manage the network, as secure stake proof requires nodes to contain a significant amount of EDR in order to manage the network and the negotiation mechanism. Elrond Network will also use a master node system that will encourage EDR holders to bet their coins to help confirm transactions and regulate the system.
Security measures
Elrond Network uses an improved Proof of Stake Consensus algorithm called Secured Proof of Stake, in which consensus is achieved by randomly selecting validators, determining the right to bet and rating with optimal measurement for the consensus group. They use a random number consisting of several variables to select nodes in a group of segments, thus preventing highly adaptive malicious attacks. After each era, 1/3 of the nodes from each shard are redistributed among the other shards to further reduce the probability of malicious actions, and each node has a rating based on the honesty of its actions. The rating affects the probability of selecting a node in the matched group.
Decentralization
The Elrond Network takes another step in the decentralization scale of the Proof of Stake mechanism by adding randomness to it, thereby ensuring that the nodes are redistributed uniformly and non-deterministically among other segments. In addition, the network ensures that the consensus group is chosen fairly based on the node rating and other parameters that also guarantee randomness, and the signature of each block contains at least 2/3 +1 signatures of the validator group, thus ensuring democratic governance in the consensus system.
As described above, reconfiguration of the segments in the epochs and an arbitrary choice of validators in rounds prevents the creation of unscrupulous groups, reduces the chance of DDoS attacks and bribery while maintaining decentralization and high throughput of transactions.
Storage and mining
The Elrond Network will operate on the basis of a negotiated Protocol that belongs to the class of intertwined protocols and is supported by the new Proof of Stake Mechanism.
The storage problem is solved by the Elrond team due to the fact that a network with high bandwidth leads to a distributed register, which quickly increases in size and increases the cost of loading (time + storage). Costs are accounted for in the Elrond solution using reduction algorithms that can summarize the full state of the blockchain in a more compressed structure. The reduction mechanism is similar to the stable control points in pBFT and compresses the entire register state. The network is also beginning to improve Omniledger's algorithm by taking an adaptive approach to state separation, faster random selection of consensus groups, and increased security by replacing a set of validators after each round (a few seconds) rather than after each day.
The system delay due to node rearrangement between segments is eliminated by allocating 1/3 of the validators to other segments, thus ensuring a level of randomness and security, as well as the absence of temporary penalties for network survivability. Elrond uses The bellare and Neven multi-signature scheme, which eliminates one round of communication in the signature algorithm because no proof of ownership is required, however a high level of security is still maintained.
Team Elrond offers a fast, secure, and scalable network of blockchains that can handle 10,000 transactions per second and support a large number of apps dApp. Despite the intense competition in this space, and they are all aimed at creating networks with high capacity, 2020, will involve about 10 000 dApps industry and the blockchain will only contribute to a massive introduction into the world economy and daily life. The fact that Elrond offers Network can greatly increase the value of the entire blockchain technology, using new protocols and mechanisms for consensus and pushing the boundaries. This combined with the fact that one of the priorities of Elrond Network is interoperable compatibility, allows the project to become a leading force in the development of the block chain.
Documentation
All project documentation is in order. Key aspects are posted on the main project website, which anyone can see at any time. It explains in detail the architecture and network layers Elrond presented their views on the development and adoption of business, as well as a short presentation of the team and consultants and a description of the road map.
Technical paper presented in a 16-page document is devoted exclusively to technical aspects of a project, where I particularly did not really understand, but written in a professional manner. The documentation briefly discusses the fact that Elrond Network streamlines the entire blockchain technology, what are the problems of today's networks and how Elrond plans to solve them.
Technical document is intended for people with experience in the field of technology, but it summarizes many important aspects of the network even for non-technical audience. In addition, it explains, first of all, the mechanism of consensus and separation, the cryptographic layer as well as a space competitor. The documentation also discusses security issues and initial load, as well as the problem of storage. The technical document is not exhaustive and does not contain information about the team, selling tokens, legal disclaimers or any potential business plan. Available simple road map, but additional information about the team available on the web site.
Technology
The technical document covers most technological aspects Elrond Network, due to the new consensus model, the mechanism of adaptive division of state, the cryptographic level, the problems of the initial loading and storage, and focuses on the improvement or development of the network point of view, some aspects that can be found in the projects of competitors. In addition, this paper provides information about how to solve such security issues as a Sybil attack, a fraudulent attack, like preventing malicious behavior and privacy is achieved.
Conclusion
I have no doubt that the team creates outstanding product that is able to upgrade the whole blockchain industry and make the technology available to each inhabitant of the planet. The project has a highly skilled team, reliable partners and the finished product, but the competitors have also not hamsters, so the team Elrond Network you need to very quickly move to take their place in this competitive sphere. In General, the project is quite interesting and may well be the best bloccano in the world. For more detailed information on the project can follow the links below.
Elrond Announcements: https://t.me/ElrondNetworkAnn
Elrond Website: https://elrond.com
Subreddit: https://www.reddit.com/r/elrondnetwork/
Medium: https://medium.com/elrondnetwork
Twitter: https://twitter.com/ElrondNetwork
Facebook: https://facebook.com/ElrondNetwork
Bitcointalk: https://bitcointalk.org/index.php?topic=4430681.0
Email address: contact@elrond.com
