Ethereum is the second-largest cryptocurrency on the market, Ethereum has taken what the mysterious Satoshi Nakamoto, built with the aim of allowing blockchain developers to build decentralized applications (dapps). The goal is to provide decentralized alternatives to popular apps such as Robinhood or Instagram, that currently have a centralized point of control.
However, despite its popularity, Ethereum has been dealing with a major issue, the scalability of its network. Ironically Ethereum’s popularity and the popularity of the dapps on its network have been too much for it to handle. The example that is always cited when discussing Ethereum’s scalability issues made its way into mainstream news, Crypto Kitties a popular online game built on top of the Ethereum network. Crypto Kitties makes it possible for players to collect, grow and trade virtual cartoon cats on the Ethereum blockchain. The immutability of the blockchain allows players to create or collect unique items and cartoon cats which can then be traded for cryptocurrencies, some have been sold for up to $140k. Despite a great deal of minimalism in terms of gameplay. The issue of scalability became a major problem when the popularity of the game backfired and caused the entire Ethereum blockchain to become stagnant due to an overwhelming amount of traffic that Ethereum was clearly not ready to handle.
There were various solutions proposed by Ethereum founder Vitalik Buterin and the Ethereum foundation to get around this issue. One of these solutions was a mechanism called Sharding.
Sharding is a method of splitting and storing a single block of data into multiple databases. By distributing the data among multiple machines, a cluster of database systems can store larger datasets and handle additional workloads. Sharding comes in handy if a dataset is too large to be stored in a single database. Many sharding strategies allow additional machines to be added. Sh...