The Hopium ecosystem’s most promising feature is being able to co-exist in several layers of blockchains simultaneously. But what does multichain consensus brings to the ecosystem? Let’s find out and unravel the wonders and benefits of multichain consensus protocol.
The blockchain ecosystem has been depicted by exclusivity, hard-to-grasp, and the shadow of being an unknown technology stigma until the previous decade. Institutions, governments, organizations, and a minority of the masses have started accepting blockchain and adopting it in their daily lives.
But what will take the blockchain to a whole new level of technological advancement is the ability to become multichain consensus assets, which will become a vital role in the growth and mass adoption of Web3.
This article will discuss what multichain consensus can do and why it is necessary for the future growth of the blockchain ecosystem.
What is Multichain Consensus?
A multichain consensus protocol enables multiple subchains or chains to co-exist within a single network and attain an independent consensus. Multichain consensus is a ledger technology that enables multiple blockchain networks to attain consensus conditions of their shared data. Paving a way for multiple blockchain networks to communicate and approve the validity of data and transactions stored on their specific chains.
What are the benefits of multichain consensus?
In an ecosystem, a consensus can process the validity of transactions in which the participating nodes agreed upon the state of the blockchain ecosystem.
There are various benefits to using a multichain consensus protocol in an ecosystem:
- Scalability: By enabling multiple subchains or chains to work simultaneously within a single network, a multichain consensus can enhance the scalability of the system. This is because every subchain or chain process transactions independently, and have the possibility to enhance the overall throughput of the system.
- Modularity: A multichain consensus protocol enables the building of modular and specialized subchains within one network. This allows different parts of the ecosystem to work with protocols, rules, and purposes supporting customization and flexibility.
- Security: Inside the multichain consensus protocol, the security between every subchain or chain is detached from each other. This means that the debacle of one chain or subchain will not influence the security of the other chains, further improving the resilience of the ecosystem.
- Interoperability: A multichain consensus protocol enables the combination of several blockchains within one network, allowing interoperability between the chains. This can facilitate the transfer of data and value between blockchain ecosystems and allows new applications and use cases.
- Performance: A multichain consensus protocol can enhance the performance of a blockchain ecosystem by enabling several subchains or chains to operate transactions alongside each other, further reducing the time required to attain a consensus.
Type of Multichain Consensus Mechanisms
There are various types of multichain consensus mechanisms, each with its unique set of advantages and disadvantages. Some of the most conventional types of multichain consensus include:
- Proof of work (PoW): Proof of work is the most widely used and known consensus mechanism, that is currently being used by ecosystems like Bitcoin and the previous version of Ethereum. The nodes compete to work on a complicated mathematical problem in a proof-of-work system. This process takes a vast amount of computational power which makes the process expensive for bad actors to manipulate the blockchain ledger.
- Proof of stake (PoS): in a proof-of-stake system, the nodes are designated to validate transactions and compute new blocks to the blockchain. This equates that the more cryptocurrency a node posses, the more likely it is to be appointed to validate transactions. This specific mechanism is less expensive than proof-of-work and is more energy efficient.
- Delegated proof of stake (DPoS): in a DPoS type of mechanical system, the nodes are chosen to validate new blocks and transactions to the blockchain depending on the number of votes they receive from the other nodes in the network. This enables the possibilities of the network to attain consensus rapidly and efficiently. On the other hand, it also means that the deciding power of the ecosystem is leaning towards a more centralized approach.
- Proof of authority (PoA): In this type of blockchain system, a tiny amount of nodes with a trusted and known identity are designated to add new blocks and validate transactions to the blockchain. This enables a faster transaction speed and reduced energy consumption, while it also means that the network is more prone to a singular point of failure.
Final thoughts
While the multichain consensus protocol is still in its infancy stages, the technology is slowly proving its benefits to the future growth of the blockchain as a whole. We can safely say that a multichain consensus protocol technology still has a long way to go and still has a vast of unlocked potential, which can lead to an expansion to a broader market audience, and open doors to opportunities that increase the rate of mass blockchain mass adoption.
