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Do you know what Zilliqa Currency is? It’s time to learn about one more crypto asset.
What is Zilliqa Currency?
We believe that if you have viewed our academic page, you must have come across a lot of things regarding crypto-currencies. The situation is changing over time and new cryptocurrencies are being created to improve the decentralized nature of cryptocurrencies. One of them is Zilliqa. We’re going to shed some light on this cryptocurrency.
What is Zilliqa
Zilliqa is a public blockchain that comes with scaling solutions that break down the transaction validation nodes in the blockchain into smaller components. It seeks to mobilize a wide range of computers to run a blockchain platform that aims to increase scalability for users through sharding. In other words, it aims to develop an ecosystem of decentralized applications. In a few words, it’s about making blockchains faster and more scalable. As Bitcoin and Ethereum grow, their digital ledger gets bigger and heavier, slowing the process down.
Also, the more nodes process blocks, the longer it takes to reach a majority consensus. Segmenting Process Zilliqa divides its infrastructure into multiple interconnected blockchains to support more transactions. These shards simultaneously test the “microblocks” and then these microblocks are combined to create a single block in the blockchain. Zilliqa also launched Scilla, a native security-focused programming language that allows developers to write and run custom digital applications designed to replicate real services.
The history of Zilliqa
It was launched in 2017 by co-founders Amrit Kumar and Sinshu Don, researchers at the University of Singapore. The main network of the network, the blockchain, which performs the function of transferring digital currency from the sender to the recipient, was put into operation in 2019. In 2017, the project held the ZIL token ICO, raising over $ 22 million in Ethereum.
Zilliqa uses a hybrid consensus search mechanism – PoW + pBFT. The first run requires proof-of-work hardware, thus protecting the system from possible attacks. The blockchain is divided into two layers – DS (directory service blockchain, contains node data) and TX (transaction blockchain, storing relevant information). Rewards are distributed between the different nodes of the network. Blockchain supports smart contracts based on a proprietary language, Scilla. This enables faster fault detection and prevents potential hacks in advance. Of the disadvantages, some point to a weak business model. The platform is led by scientists, not businessmen. Some users point out that other projects have stronger partnerships, so Zilliqa still has room for improvement.
Difference between Zilliqa and Ethereum
Zilliqa and Ethereum differ in many ways, and we’re going to list some of those differences.
Transaction Speed: While Ethereum operates at 10 transactions per second, Zilliqa operates at 2500 transactions per second. In Zilliqa, the more nodes, the higher the transaction rate per second.
Consensus: While Ethereum uses Proof of Work (PoW) to reach consensus, Zilliqa uses Practical Byzantine Fault Tolerance (pBFT) to achieve consensus. Zilliqa only uses PoW for identification purposes to avoid attacks.
Finality: The Zilliqa Protocol gives finality. This means that no confirmation is required. But with the PoW-based Ethereum consensus, temporary forks may arise that will require a confirmation round to avoid double-spending.
In conclusion, we can say that Zilliqa would be a good long-term investment for patient traders. As the segmented architecture of Zilliqa gives the platform several advantages over its contemporaries, including increased scalability and greater security.