The Blockchain Trilemma - TheMetaEconomist

The Blockchain Trilemma

14 June 2022

Category

With blockchain trilemma we refer to the generally accepted idea that it isn’t possible to make a public blockchain scalable without compromising its security, decentralization, or both.

Scalability
Scalability represents the ability of a network to deal with a large amount of work, processing many transactions per second, measured in TPS. Often attempts are made to improve the scalability of a blockchain by opting for less centralized and faster consensus protocols.
Each blockchain finds a compromise between the three factors and is positioned on the triangle in the position it deems most appropriate for the service it offers.
For example, Bitcoin and Ethereum are decentralized and secure, but lack scalability.

Safety
The more decentralized a system is, the more secure it is, as attacking a single ledger is simpler than, for example, being able to hack a highly distributed blockchain such as that of Bitcoin.

Decentralization
Decentralization indicates the level of distribution of the network's work and the information it contains. It reflects the level at which transactions between users are possible and effective without any control.
Decentralizing the network means increasing the number of participants and therefore the number of transactions to be validated; while the number of competing nodes also increases as a result. This often reduces the scalability of the network.

Recent Post
UAE and LFIs

UAE: new rules are coming to fight money laundering

Man with Oculus

Innovative Business Models between Immersive Reality and Web3

DeSantis protects Bitcoin

USA: DeSantis highlights Bitcoin

Scam alert: FBI said to pay attention

FBI: attention to fake crypto job adv

New AI opportunity in Carnegie University

Carnegie Mellon University: new AI institute 

Pizza con Bitcoin sopra

Celebrating Bitcoin Pizza Day: The Revolutionary First Real Bitcoin Transaction

1 2 3 42
TheMetaEconomist 2022 - Privacy / Cookies
crossmenu