Ethereum can achieve a million transactions per second

Buterin believes that Ethereum can process up to a million transactions per second, using second-layer solutions
04 June 2018   920

One of the main disadvantages of crypto have long been the slow transactions. Developers are constantly trying to find ways to speed them up and reduce the transaction and confirmation time. Vitalik Buterin, Ethereum co-creator, has claimed that Ethereum can reach a million transactions per second, using second-layer solutions such as Sharding and Plasma.

During the new OmiseGo AMA session Vitalik Buterin has once again expressed his beliefs that Ethereum blockchain can process up to a million transactions per second by utilizing second-layer solutions.

For those new to the topic, Plasma allows Ethereum to handle “micropayments” on child blockchains, and Sharding divides the blockchain network into sections, or “Shards” as they are called, which simplifies the processing of the new data on the blockchain by the nodes. Theoretically, each of this solutions can provide a scaling by factor of 100, if implemented.

In the Buterin's opinion, layer 1 and 2 networks are complementary, because the scalability gains are multiplied, if the approaches are stacked, instead of developers competing against each other to see whose approach is better.

“If you have a Sharding solution, the Sharding solution itself might increase the scalability of Ethereum by a factor of 100, or eventually even more. But then, if you do Plasma on top of the scalability solution, then what that means is, you’re not just doing 100 times of the amount of activity but you are doing 100 times the amount of entrances, the amount of exits, and despite resolutions. So if you get a 100x from Sharding and a 100x from Plasma, those two basically give you a 10,000x scalability gain, which basically means blockchains will be powerful enough to handle most applications most people are trying to do with them”, Buterin said.

This line of thought is not new for him, he has already mentioned the same thing during 2017 Disrupt SF Conference when speaking with venture capital investors.

Constantinople to be Postponed

Ethereum's hardfork will be late due to critical vulnerability found
16 January 2019   180

A scheduled upgrade of the Ethereum network called Constantinople was postponed indefinitely after a critical vulnerability was discovered in one of the improvements, CoinDesk reports.

This is a vulnerability in EIP-1283, which, as identified by the audit company SmartSecurity smart contracts, gave hackers the opportunity to steal user funds.

During a video conference on Tuesday with the participation of Ethereum developers and other clients and projects working on the network, it was decided to temporarily postpone the activation of the hard forks.

In particular, Vitaly Buterin, developers Hudson Jameson, Nick Johnson and Evan van Ness, as well as release manager of Parity Afri Shoedon took part in the meeting. Discussing the revealed vulnerability, they agreed that it would be impossible to eliminate it before the appointed time for hardfork (around 04:00 UTC on January 17).

A vulnerability, called a reentrancy attack, allows an attacker to repeatedly enter the same function and infinitely withdraw funds.

Imagine that my contract has a function which makes a call to another contract… If I’m a hacker and I’m able to trigger function a while the previous function was still executing, I might be able to withdraw funds.

Joanes Espanol

CTO, blockchain analytics firm Amberdata

According to him, this is a lot like the vulnerabilities that were discovered in The DAO in the summer of 2016.

Representatives of ChainSecurity also noted that up to the Constantinople hard fork, data storage on the network cost 5,000 units of gas, which exceeds the 2,300 gas usually needed to call the “transfer” and “send” functions. After the upgrade, “dirty” storage operations will cost 200 units of gas, and an attacking contract can use 2,300 gas to successfully manipulate the variables of vulnerable contracts.

New date of hardfork not yet determined.