Scalability is one of the main problems of the Ethereum blockchain. The current limitations that the network faces in terms of capacity and speed prevent it from being used on a more global scale.
Ethereum Plasma was proposed by Ethereum co-founder Vitalik Buterin along with Joseph Poon. The concept was born in August 2017 as a method to solve scaling problems for the Ethereum blockchain. Along with Thaddeus Dria, Joseph Poon was also responsible for the concept of the Lightning Network, which is a scaling solution proposed for Bitcoin in 2015. Although Plasma and Lightning Network have been proposed as blockchain scaling solutions, each has its own mechanism and features.
This article provides a brief overview of Ethereum Plasma, but it should be remembered that Plasma itself is not a project, it is an off-chain scaling method or framework for building scalable applications that can be implemented by various research groups or companies differently.
How does Plasma work?
The main idea of Ethereum Plasma is to create a framework of side chains that will interact with the main chain (in this case, the Ethereum blockchain) as little as possible. This framework is designed to work as a blockchain tree, which is hierarchically organized in such a way that many small chains can be created on top of the main one. These small chains are also called as Plasma chains or small chains.
(* Plasma chains, child chains)
The Plasma structure is built using smart contracts and Merkle trees, which allows the creation of an unlimited number of small chains, which are essentially smaller copies of the main Ethereum blockchain. At the top of each small chain, a large number of other chains can also be created, and this is what creates the tree structure.
Essentially, each small Plasma chain is a customizable smart contract that can be designed to operate in a consistent manner to serve different needs. This means that circuits can coexist and operate independently. Ultimately, Plasma will enable enterprises and companies to implement scalable solutions in a variety of ways according to their specific context and needs.
Therefore, if Plasma is successfully developed and implemented on the Ethereum network, the main chain will be less likely to be overloaded, since each small chain will be designed to operate in a specific way to achieve its own specific goals, which are not necessarily related to the main chain. In this way, the small chains will facilitate the overall operation of the main chain.
Fraud proofs
The connection between small chains and the main chain is protected by fraud-proof, so the main chain is responsible for the safety and punishment of attackers.
Each small chain has its own mechanisms for verifying blocks and a specific implementation of fraud-proof, which can be built on the basis of various consensus algorithms. The most common are Proof of Work, Proof of Stake and Proof of Authority.
Fraud proof ensures that in the event of malicious activity, users can report fraudulent nodes, protect their funds, and exit the transaction (which involves interaction with the main chain). In other words, fraud proofs are used as a mechanism by which a small Plasma chain files a complaint with its parent chain or root chain.
MapReduce
The Plasma Whitepaper also presents a very interesting application of so-called MapReduce computing. Essentially, MapReduce is a set of functions that are very useful for organizing and computing data across multiple databases.
In the context of Plasma, these databases are blockchains, and the tree structure of the chains allows MapReduce to be used as a way to facilitate data verification within the tree chains, greatly increasing the efficiency of the network.
Mass exit problem
One of the main problems associated with Plasma is the mass exit problem, which refers to a scenario in which many users attempt to simultaneously exit their Plasma chain, flooding the root chain and causing the large network to become overloaded. This may be caused by fraudulent activity, network attacks, or any other type of critical failure that a small Plasma chain or group of chains may have.
Conclusion
Plasma is essentially an off-chain solution that seeks to significantly improve the overall performance of the Ethereum network by creating a tree structure of many smaller chains. These chains will facilitate the main chain, which will be able to process more transactions per second.
The hierarchical model of connected blockchains proposed by Plasma has enormous potential and is currently being tested by numerous research groups. If developed correctly, Plasma will likely improve the efficiency of the Ethereum blockchain and provide a better framework for developing decentralized applications. Moreover, the idea can be adapted and implemented by other cryptocurrency networks to avoid scalability issues in the future.
Ethereum Plasma is an open source project and the public repository can be found on their GitHub. Besides Ethereum, there are many other cryptocurrencies and GitHub repositories that currently work with Plasma. A few examples include OmiseGO, Loom Network, and FourthStateLabs. For more detailed and technical information, you can refer to Plasma's official white paper or LearnPlasma website.
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