Ethereum (ETH) Blockchain is constantly moving forward with its technological innovation like the Plasma project and sharding. But transaction speeds were a worry for the Blockchain Network, the average transaction speed on the Ethereum network is 6 minutes. And Ripple (XRP) is the undisputed winner when it comes to transaction speed. The network can process around 1500 transactions per second with an average speed of 3-5 seconds per transaction.
Ethereum is the second largest cryptocurrency in the market according to market cap. Have a look at the price analysis for the coin. But it seems that the Ethereum Network is catching up which has got the Ripple community worried. A Redditor called Killerbeegi addresses these qualms in his post,
“I know that XRP can currently do 1500 TPS vs ETH 15 or so. But I know Ethereum is researching Sharding and Plasma and bypassing POW. …How will Ripple be able to compete with that level of performance? Would Ripple implement a similar technology? I know they must be aware of their competition from Ethereum but 1,000,000 TPS seems like the golden ticket to beating out all competition.”
Ethereum’s Blockchain is widely outranked by competitors because it only processes 15 transactions per second. The network is further slowed down from the transactions from some widely used dApps like Cryptokitties. But the implementation of the Plasma protocol will change all this.
Plasma Protocol and Sharding
The Plasma protocol doesn’t depend on the base-layer Proof of Stake algorithm on Ethereum, however it’s complementary to it. The protocol works on the Raiden architecture. This allows to incentivize and enforce execution of smart contracts that can be scaled to a significant amount of state updates per second.
Sharding is a database partitioning technology. This divides large databases seen on the Blockchain, into smaller and quicker parts that can be managed easily. These easy to manage parts are called data shards. A sharding protocol can scale transaction speeds to a great extent using digital processing. This particular example can be seen on the Zilliqa Blockchain.
User Sukrim, however doesn’t agree and explains why Ethereum has difficulties scaling, saying:
“XRPL has a lot of breathing room until these numbers are reached, Ethereum too. Depending on the safety and finality guarantees of Plasma etc. there might be some similar issues to Lightning – everything’s fine as long as everything works, but if suddenly a large amount of money wants to leave a shard or close channels then it again matters how much the lowest layer can process. For scaling XRPL, Ripple currently mostly focuses on promoting Payment Channels and Interledger connectors using them.”
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