Through the consensus mechanism and multi-shard architecture of NEAR, transaction costs can be significantly reduced and processing efficiency can be improved. This is particularly important for Rollup-like scaling solutions. For example, if Arbitrum publishes transaction data from Ethereum to NEAR, it can save $16.2 million in 10 weeks. This article is sourced from zerokn0wledge.
Title: NEAR Protocol’s Data Availability: A Game Changer for Rollup Solutions
Summary:
NEAR Protocol, with its consensus mechanism and multi-shard architecture, provides a highly scalable and cost-effective data availability (DA) layer. This is crucial for Rollup-like scaling solutions, as it significantly reduces transaction costs and improves throughput. By integrating with Rollup development toolkits and stacks, NEAR is building a modular blockchain ecosystem. The article highlights the advantages of NEAR’s DA solution, its integration with Rollup development toolkits, and the potential of a full-fledged modular blockchain ecosystem built on NEAR.
Introduction:
Modular theory is reshaping Web3, and NEAR Protocol’s DA layer plays a crucial role in enabling highly scalable and cost-effective data storage. Rollup solutions face scalability bottlenecks in releasing on-chain data, but NEAR’s consensus mechanism, Nightshade, enables parallel processing across multiple shards, resulting in a highly scalable and cost-effective DA layer. NEAR serves as a complementary solution to Ethereum, offering improved scalability and efficiency.
NEAR’s Data Availability Layer:
NEAR’s DA layer leverages Nightshade, which parallelizes the network into multiple shards. Each shard generates a small portion of blocks called chunks, which are aggregated to generate blocks. This entire process occurs at the protocol level and is invisible to users and developers. NEAR’s DA layer ensures sufficient time for querying transaction data, making it crucial for any Rollup solution.
Advantages of NEAR Protocol’s DA Layer:
NEAR’s data availability layer offers high scalability and cost-effectiveness. It allows for efficient data storage and retrieval, making it ideal for game networks and other use cases such as AI/machine learning. NEAR’s move towards stateless verification further reduces hardware requirements, enabling more shards and enhancing decentralization. NEAR’s protocol already processes 4MB of data per second per shard, and future expansion to n shards will eliminate the need for competing for block space.
Cost Savings Potential:
NEAR’s DA layer already demonstrates significant cost savings potential. For example, using NEAR DA, the data storage cost for Arbitrum over 10 weeks is only $87.62, compared to over $16.2 million using traditional solutions. The integration of NEAR with Rollup development toolkits and stacks is expanding rapidly, paving the way for a complete modular blockchain ecosystem on NEAR.
Conclusion:
NEAR Protocol’s highly scalable and cost-effective DA layer is a game changer for Rollup solutions. It offers a cost-effective and scalable data storage solution, backed by proven security measures. With its future-oriented technical architecture and integration with Rollup development toolkits, NEAR is poised to become a leading platform for a modular blockchain ecosystem.