IOTA Foundation Discloses Clues about Sharding Solution

IOTA Foundation Discloses Clues about Sharding Solution

IOTA developer Hans Moog has talked in a series of blog posts about the sharding solution for IOTA Tangle, Crypto News Flash website reported.

While the technology is still being studied, Moog said it is too early to discuss them publicly, adding that IOTA faces different challenges than other cryptocurrencies such as Ethereum.

It is worth mentioning that developers do not face the problem of increasing transaction fees while the network is heavily loaded, due to IOTA Tangle’s fee-of-charge system.  

However, each IOTA node can only process a maximum number of transactions per second (TPS). Thus, there are actually two solutions to address this issue.

The first solution is that a small number of efficient nodes such as hashgraph or EOS conducts the calculations, and the second is represented in the sharding which means each node should perform a subset of the total work.

The coin developer indicated that the first is a short-term solution, while sharding faces security issues, and that is why “this traditional way of sharding […] is not an answer to the IOTA vision “:

“IOTA’s vision is to provide a DLT platform that can automatically keep pace with the growing adoption by offering higher and higher throughput that scales with the number of nodes in the network. At the same time, the mechanism used needs to be flexible and fast enough to respond to things like supply and demand shocks in network throughput, so that the network can remain operational without the nodes having to decide on fees to process which transactions to charge.”

How sharding works?

The sharding mechanism is very complicated for outsiders. However, Moog said it is really very easy. It can handle an infinite number of transactions because the Tangle is not restricted by a block size. When network performance exceeds the nodes’ capacity, transactions are distributed across the nodes so the individual nodes do not see the whole Tangle.

“Different network segments will shard at different times depending on the actual throughput and more or less instantly without having to engage in complicated negotiations about when and where to shard. It simply depends on the transactions the nodes can process (agent-centric approach). Once the load drops, the different tangles are in theory (see problems below) able to merge back together, resulting in a system that is able to dynamically react to different network conditions and growing adoption.”

Coordicide Version 1 to handle 1,000 TPS

In a recent meeting, Darcy Camargo, who is a member of IOTA Foundation‘s research team, talked about transition from Coordinator to Coordicide, Crypto News Flash website reported.

Camargo clarified that there are essentially three reasons for removing the Coordinator: responsibility, scalability and centralization.

He added that the current situation is that the foundation is responsible for users’ tokens. This responsibility should be transferred to the IOTA token holder. It seems that the removal aims to eliminate the project’s current centralization. However, the elimination of the Coordinator would contribute to the improvement of scalability.

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Rabea Maguid 551 Articles
Rabea Maguid is a journalist completely obsessed with crypto industry. He holds B.A. from Al-Azhar University, and has a background in journalism and economics. Rabea Maguid likes to think about the future in a positive way, and sees blockchain as a potential driver of deep societal change.