To sustain scalability, and interoperational interest in Blockchain innovation, it is important to note that scalability is one of the challenges facing Blockchain for its widespread adoption.
The limitations faced by transaction speed and growth, has slowed down the process and increased fees, making it a problem using blockchain for everyday transactions.
So, in handling large volumes of data processes is where scalability comes to play a significant role in the Blockchain technology.
Different Approach to Blockchain Scalability
1. Increasing Block Size
One of the earliest remedies proffered to Blockchain Scalability was to increase the limit of block size.
This approach involves maximum increase in block size each, allowing for more process in transaction in each block.
2. Off-chain Transaction
Moving some transactions from off-chain is another form of approach to Blockchain Scalability.
This approach entails transacting outside the blockchain network, thereby reducing the loads on the network.
3. Sharding
This technique involves breaking the blockchain network into smaller, manageable segments.
Each subset of shard, can handle transactions, and reduce the load on the network as a whole.
It was proposed as a solution to Scalability for Ethereum, with the intention to increase network capability to handle more transactions.
4. Sidechains
This handles a separate blockchain network linked to the main Blockchain. It allows for more efficient transactions, faster, as they are not limited to the same main Blockchain.
Rootstock and Bitcoin are compatible therefore, enabling smart contracts and decentralised applications.
Interoperability
This is a state where different blockchain network, and token ecosystems allow for communication, exchange of data, and interaction with each other.
This is a transformative concept that looks into connecting isolated Blockchain networks, enabling interaction and shared data, thereby unlocking new applications and functionalities.
Types of Interoperability
1. Cross-Chain Protocol
For functionality sake, cross-chain protocol is designed to make transactions and communications possible between independent Blockchains.
It allows for recognition and interaction with different blockchains so they can interact and share with each other data and assets.
2. Blockchain Bridges
This acts as a connector between two blockchains, enabling the exchange and transfer of information and assets.
They are originally used in smart contracts to lock an asset on one end of a chain and issue a corresponding asset to another chain.
It ensures that the original asset is securely held while its equivalent is used on a separate blockchain.
3. Interoperability Platforms
This is a third-party medium as an intermediary that creates a common ground for different blockchains networks to communicate.
Series of smart contracts and specialised protocols are employed to manage and translate different blockchain language into a standardised format, enabling communication.
4. Layer 2 and Scalability
Layer 2 is built on top of an existing blockchain to improve Scalability and Interoperability in Blockchains.
Sidechain is an independent Blockchain linked to a parent blockchain (Mainchain) through a two-way peg.
They operate by offsetting transactions and processes from the Mainchain network therefore, reducing congestion and enhancing performance.
Conclusion
Scalability remains a big challenge to the blockchain as slow transaction speed and hiked fees necessitates innovative solutions like increased block size, Sharding, off-chain Transaction and sidechain.
Interoperability is another main aspect, enabling various blockchain networks to communicate, exchange data, and interact seamlessly.
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