Komodo Platform Just Out-Performed Visa
The Komodo Team Believes Blockchain Scaling Can Be Simple, Secure, Straightforward…And They Just Demonstrated It.
‘whatever capacity the hypersonic maglev road can achieve, N asphalt roads will get much better overall traffic throughput and be much less expensive’ -JL777
A Simple Use-Case Test
Today a simple little note hit the Komodo Platform official Discord/Telegram channel…nearly slipping through the cracks as yet another subtle, humble revolutionary advancement in cryptocurrency and blockchain technology.
Here’s a snippet (read the entire thread here):
Nearly 10,000 transactions are being processed per second, using a new approach…leveraging existing bitcoin protocol and technology developed by Komodo.
When the average user reads this it may not be very apparent why this is so impressive and so revolutionary. April of 2017, just 14 months ago, an article appeared discussing the comparison of several technologies in regards to TX/Second.
This is an important discussion with regards to financial systems and global economy, trade, internet and communication. It essentially boils down to scalability of a system.
In the 2017 article the following numbers were noted:
Bitcoin: ~3–4 TX/s
Ether: ~20 TX/s
PayPal: 193 TX/s (maxing out around 450 TX/s)
Visa: ~1,600 TX/s (claiming capacity of 56,000 TX/s)
Now, take a look at the results of Komodo’s development and live testing using 64 Chains to scale up TX/s for cryptocurrency.
Komodo: ~10,000 TX/s (100,000 Payments/s) @ 64 chains
Here’s a GIF of the live test results:
That puts Komodo on that list as the leader, ahead of even Visa’s capacity because we need to look at what a TX is…in this case we are looking at Payments.
Transactions vs Payments
In discussing the tests JL777 was performing, he made an important point to me regarding TX vs Payments.
“one tx can have 1 payment or 100+. at 100 payments per tx, you lose 90% of your tx/sec speed, but gain 100x on payments…so an overall10x increase in payments per second.” — JL777
Let’s break that down.
10,000 tx/sec of 1 payment each, is simply 10,000 payments per second. Impressive and outperforms every blockchain being used today and most modern financial tx systems.
However, the bitcoin protocol can contain many payments in a single tx. So let’s say there are 1,000 tx/sec of 100 payments each. That works out to 100,000 payments per second. And that is at the currently tested use case, using 64 chains.
What this means? Today test results show Komodo at ~100,000 payments/sec, but this is with 64 chains.
Why 64 Blockchains?
64 is simply an arbitrary number…you can scale this to any number of chains to scale the resultant tx/s performance. In JL777’s words, they are “only” testing with 64 chains now and achieving 10K tx/s. And this scales up with a 1:1 relationship of N Chains : N TX/s Rates. In other words, double the chains to 128 and your speed will jump to ~20,000 TX/s.
Once the tech is configured for a setup it’s simply a matter of scaling the number of independent blockchains, to scale the performance.
How Do You Use Many Blockchains?
The “why use multiple” is a no-brainer, independent blockchains are always faster than shared chains. But to use multiple chains you need a couple important “features”.
For one thing, you need to secure each chain. As you may already know, Komodo leads the industry in security having developed dPOW (delayed proof of work) in which the Komodo chain and any forked asset chain, is capable of notarizing to the Bitcoin chain.
Notarization of this nature is essentially a “backup” of the blockchain, being “saved” to the Bitcoin blockchain…the most secure, longest chain in the world. To take down a dPOW notarized chain, you have to take down Bitcoin first.
With this feature already built into Komodo, standing up 64 new blockchains is simple and you get “Bitcoin Security” out of the box.
The next issue becomes how to use many independent blockchains communicate with one another. This is achieved with another revolutionary advancement from Komodo called MoMoM.
Who’s Your MoMoM?
For a more complete understanding of MoMoM tech and how Komodo is solving scalability, this document goes more in depth than I will here: Komodo Scalability
Take a look at JL777’s brief summary of how this technology works in this situation.
‘…the essence is that we add to the notarization data, additional levels of merkle data that allows any chain to validate any other chain’s tx, as long as KMD is around to create the proofs. This ability allows to create a burn protocol, so that coins can be burned on one chain and recreated on another.
No user has to run all the chains, they would just run the ones they care about, so however the usage is localized, users would use the few chains they need. We use komodo assetchains, so you launch a new komodod (daemon) for each chain assuming a geographic allocation of chains, you would have chains that are citywide, countywide, statewide, nationwide. So most people just have their city’s chain locally, if they are travelling to a different city, they convert to the new city’s chain.’ -JL777
With a little prep work the entire process can be configured and automated. The burn protocol will take a bit longer, utilizing notarization and dPOW with security built into the process. And transferring coins from one chain to another is impacted by this notarization process.
A Nationwide Cryptocurrency
This successful series of testing is the first viable candidate for effectively creating a nationwide cryptocurrency. There is no need to configure insecure sharding protocols or try to maintain bloated “shared” blockchains.
All the while not only maintaining security and improving performance, but actively improving security through dPOW. Scalability, then, becomes something only limited by the Internet itself.
One of the largest hurdles blockchain and decentralized services have to overcome is that of scalability and performance.
Komodo is solving both.
When decentralized solutions have just out-performed Visa in payments/sec in live testing and with ready-to-go tech…we don’t call it visionary, we call it revolutionary.
John Westbrook is Marketing Lead of Utrum Foundation, a decentralized trust solution built on an independent blockchain forked off Komodo, utilizing dPoW to notarize to the KMD blockchain.
To learn more about Utrum (ICO Active), visit https://utrum.io/tokensale/
To learn more about Komodo, visit https://komodoplatform.com