Topic: Elrond Network - Becoming a regulated ICO - page 5. (Read 1323 times)

What is Elrond Netrork?

What is SPoS?

What is Socail Mining? Regulated ICO?

What is Sharding? Can it solve the public blockchain scalability issue?


Elrond ICO: SPoS? Social Mining? Shrading - Everything you should know


http://coinfunda.com/pow-vs-pos-vs-spos-a-comparative-study-between-consensus-algorithms/

https://ambcrypto.com/can-sharding-solve-the-public-blockchain-scalability-problem-elrond-believes-it-can/

https://www.icoventures.net/elrond-call-synopsis/

Meet our Head of Engineering @AdrianDobrita  - with over 10 years international experience as a software engineer, Adrian has incredible skills in understanding research. He effortlessly applies innovative ideas to the Elrond code and architecture.


https://elrond.com : The user-friendly blockchain for deploying programmable money and unstoppable applications. 10k tx/sec  - minimal latency  -  negligible fees   

Q:What is Elrond?
A:Elrond is a complete rethinking of public blockchain infrastructure, specifically designed to be secure, efficient, scalable and interoperable. Elrond’s main contribution rests on two cornerstone building blocks:

1) A genuine State Sharding approach: effectively partitioning the chain state into multiple shards, handled in parallel by different participating validators;
2) Secure Proof of Stake consensus mechanism: an improved variation of Proof of Stake (PoS) that ensures long term security and distributed fairness, while eliminating the need for energy intensive PoW algorithms.

Q:How does Elrond plan to solve the scalability issue?
A:In Elrond the throughput increases linearly with the number of shards in the network.

Sharding is a scaling technique inspired by traditional concepts of database optimization. Also known as horizontal partitioning, sharding divides the data into several pieces placed on different environments to be processed.

The more validators and shards, the more transactions the network can process. Elrond is performing all network services with minimal energy and computational requirements.

Q:What is Adaptive State Sharding?
A:Sharding is a scaling technique inspired by traditional concepts of database optimization. Also known as horizontal partitioning, sharding divides the data into several pieces placed on different environments to be processed.

In a blockchain context, breaking the network into shards would result in more transactions being processed, verified and validated simultaneously. Each sharding level introduces a certain degree of parallelism, as a result, it becomes possible to process more transactions as the network grows. Implementing any sharding type on a blockchain architecture is extremely difficult.

We can identify 3 sharding types (levels):
1. Network Sharding represents the process of grouping the nodes into shards.
2. Transaction Sharding takes the complexity to the next level and deals with the distribution of transactions across different shards, but all the nodes keep the entire blockchain into their state.
3. State sharding represents the most sophisticated part and is described as a mechanism that allows different shards to deal only with a portion of the state without replicating the data between nodes from different shards. A state sharded blockchain can be seen as a network of fully interconnected blockchains.

In order to match the current scalability needs, Elrond introduces a novel state sharding scheme, called Adaptive State Sharding, with a dynamic model that allows the network to adapt to population and demand changes without compromising security, availability and decentralization.

Q:What is SPoS?
A:In general, Proof of Stake (PoS) concept states that a node’s probability to validate block transactions is proportional to how many tokens it is staking.
Secure Proof of Stake consensus mechanism expands on Algorand’s idea of a random selection mechanism for the validators, differentiating itself through the following aspects:

• Elrond proposes an improvement which reduces the latency allowing each node in the shard to determine the members of the consensus group (block proposer and validators) at the beginning of a round. This is possible because the last block's aggregated signature is used as the randomization factor. In contrast to Algorand’s approach, where the random committee selection can take up to 12 sec, in Elrond the time necessary for random selection of the consensus group is considerably reduced (estimated under 100 ms).

• In addition, Elrond refines its consensus mechanism by adding a additional weight factor called rating. The node’s probability to be selected in the consensus group takes into consideration both stake and rating, promoting meritocracy.

• Elrond uses Bellare and Neven multisignature scheme, which eliminates one communication round in the signing algorithm.

Q:How is Elrond different from other blockchains?
A:• Compared to Ethereum, Elrond eliminates both energy and computational waste from PoW algorithms by implementing a SPoS consensus while using transaction processing parallelism through sharding.

• Compared to Algorand, Elrond doesn’t have a single blockchain, instead it increases transaction’s throughput using sharding. Elrond also improves on Algorand’s idea of random selection by reducing the selection time of the consensus group from max 12 seconds to less than a second, but assumes that the adversaries cannot adapt within a round.

• Compared to Zilliqa, Elrond pushes the limits of sharding by using not only transaction sharding but also state sharding. Elrond completely eliminates the PoW mechanism and uses SPoS for consensus. Both architectures are building their own smart contract engine, but Elrond aims for EVM compliance to to achieve interoperability between blockchains.

Lucian Todea (@luciantodea)
https://twitter.com/luciantodea

Technology entrepreneur and angel investor. Ironman. Born to run. Co-Founder and COO // Elrond Network.




     https://elrond.com : The user-friendly blockchain for deploying programmable money and unstoppable applications

#168 - Interview with Beniamin Mincu, CEO of Elrond
https://www.podbean.com/media/share/pb-dxxbi-acf0a1

April 4, 2019
The long crypto winter has focused the blockchain world on enterprise projects with customers and solid business models, but we should not forget the importance of Layer One protocols! Behind the hype of STOs, finance platforms, and supply chain solutions lies the world of consensus mechanisms, sharding, proof of stake, and throughput.  And in the middle of this is Elrond.

 

Today we speak with Beniamin Mincu, cofounder and CEO of Elrond, who are combining some of the latest research to make a faster, more secure layer one blockchain.
Please note that the speakers in this podcast are not financial experts and are not offering financial advice

We hope you enjoy our show and feel free to reach out to us at [email protected] or on Twitter through @NealKierans and @NWilliamsMBA

Intro reel and music by Sebastian Rodriguez from NTRPY, http://www.ntrpy.berlin

Editing team: Aiden and Jason Lavallee

https://www.podbean.com/media/share/pb-dxxbi-acf0a1

This Elrond Network (Blockchain) is highly appreciated, people should not ignore it. This is information about Elrond

https://icodrops.com/elrond-network/

About Elrond Network

Elrond contribution proposal:

Adaptive State Sharding - Elrond proposes a dynamically adaptive sharding mechanism that ena-bles shard computation and reorganizing based on necessity and the number of active network nodes. The reassignment of nodes in the shards at the beginning of each epoch is progressive and nondeter-ministic, inducing no temporary liveness penalties. Adaptive state sharding comes with additional chal-lenges compared to the static model. One of the key-points resides in how shard-splitting and shard-merging is done to prevent overall latency penalties.

Elrond solves this challenge by:

    Dividing the wallet address space in shards, using a binary tree which can be built with the sole requirement of knowing the exact number of shards in a certain epoch.
    Introducing a technique of balancing the nodes in each shard, to achieve overall architecture equilibrium. This technique ensures a balanced workload and reward for each node in the network.
    Designing a built-in mechanism for automatic transaction routing in the corresponding shards, considerably reduces latency as a result.
    In order to achieve considerable improvements with respect to bootstrapping and storage, Elrond makes use of a shard pruning mechanism. This ensures sustainability of our architecture even with a throughput of tens of thousands of transactions per second (TPS).

Secure Proof of Stake  - As an improved variation of Proof of Stake (PoS) that ensures long term security and distributed fairness, while eliminating the need for energy intensive PoW algorithms. Elrond introduces an improvement which reduces the latency allowing each node in the shard to deter-mine the members of the consensus group (block proposer and validators) at the beginning of a round. This is possible because the last block's aggregated signature is used as the randomization factor. In addition to the stake factor generally used in PoS architectures as a sole decision input, Elrond refines its consensus mechanism by adding an additional weight factor called rating.

Main problems tackled:

    Full descentralization - Eliminating the need for any trusted third party, hence removing any single point of failure
    Robust security - Allowing secure transactions and preventing any attacks based on known attack vectors;
    High scalability  - Enabling the network to achieve a performance at least equal to the centralized counterpart, as measured in TPS;  Initial tests show 5000tps at 4MB/s average bandwidth with 16 shards. Linearly, Elrond has reached 10000tps at 8BM/s with 16shards and 50000 tps at 8MB/s average bandwidth 64shards.
    Efficiency - Performing all network services with minimal energy and computational requirements;
    Bootstrapping and storage enhancement - Ensuring a competitive cost for data storage and boot-strapping;
    Cross-chain interoperability - Enforced by design, permitting unlimited communication between external services.

Elrond innovation:

    Security through multi signing - This scaling technique can be used in blockchains to partition states and transaction processing, so that each node would process only a fraction of all transactions in parallel with other nodes. As long as there is a sufficient number of nodes verifying each transaction so that the system maintains high reliability and security, then splitting a blockchain into shards will allow it to process many transactions in parallel, and thus greatly improving transaction throughput and efficiency. Sharding promises to increase the throughput as the mining network expands, a property that is referred to as horizontal scaling
    Randomness source - Each node from the list E can be selected as part of j an optimally dimensioned consensus group, by a deterministic function, based on last block’s aggregated signature, the round r and a set of variation parameters. The random number, known to all shard nodes through gos-sip, cannot be predicted before the block is actually signed by the previous consensus group. This property makes it a good source of randomness and prevents highly adaptive malicious attacks. We define a selection function to return the set of chosen nodes
    Performance - Sharding approach shows a linearly increasing throughput.
    Shard storage pruning - To reduce storage requirements and bootstrapping time.

https://icobench.com/ico/elrond-network

Toward the end of 2017 Twitter was flooded with statements like: “Down with the banks!”; “Crypto vs government!”; “We don’t need regulation!”

All that quickly changed in 2018 after the market crash. Afterwards, the battle cries turned into:
   + We need regulation!
   + Who allowed this to happen?
   + ICO market is full of scams!
   + They changed the terms on their investors, why is nobody doing anything!

Lots of investors can resonate with the latter claims. ICOs have frequently changed their vesting schedule without any warning to investors. Indeed, up until last year, it wasn’t even clear to whom ICO’s had to report their metrics.

Another problem for many ICOs are banks, or more so the lack of banks.

Finding crypto-friendly banks is hard, and most projects you see out there do not have a bank account. Not because banks are worried about going out of business from the pending blockchain revolution or any of that, but simply because the level of KYC & AML done by most ICOs and exchanges does not satisfy required regulatory guidelines. Or at least this is what the banks say.

So, in order to build a global lasting infrastructure, we first wanted to make sure that we establish a solid foundation in a country with clear legal crypto guidelines.

Switzerland: trial and error
We started our journey back in 2017 in Switzerland. Many projects were heading in that direction and it looked like a good idea, especially after FINMA (the Swiss Financial Authority) announced its detailed ICO guidelines in February 2018.

It made sense to attempt to build in an environment with an established set of rules, but things were not as established as they seemed.

Since FINMA was just publishing some guidelines, and there was no bill to explain and enforce the regulations, nothing was actually clear. The market was booming, and Swiss banks were ready to profit of the boom. They told us that our KYC & AML had to be done by a certified KYC provider in Switzerland. Needless to say that the price for this services were 10x the average market price.

After months of trying to get a clear view of what we are supposed to do, what our token will be legally considered, countless discussions with our lawyers, banks, and KYC/AML providers, we decided to give up on this slow and expensive option. It was time to go back to the drawing board and look for a different jurisdiction. One in which blockchain, crypto, and ICOs were regulated, but also one where we could move a lot faster.

More: https://medium.com/elrondnetwork/becoming-a-regulated-ico-ef8f03bd39f5

For more information, please visit us:

Official website: www.elrond.com
Elrond Github: https://github.com/ElrondNetwork
Whitepaper: https://elrond.com/files/Elrond_Whitepaper_EN.pdf
Twitter: https://twitter.com/elrondnetwork
Community platform: community.elrond.com