MultiversX
Elrond is a blockchain-based platform that enables users to create and develop decentralized applications and cryptocurrencies to create a new internet economy. This project aims to solve the serious traffic congestion problem of blockchain networks by providing solutions for scalability. Elrond provides a fast trading and scalable environment for developers, businesses, and users with a user-friendly interface and low transaction fees. Elrond's network was built with a lot of thought put into security to withstand things like Sybil attacks. Elrond has many potential use cases and could be a very popular cryptocurrency. This is mainly because EGLD, the native coin of Elrond, has solid transaction stability. And with Elrond, you can transact globally without permission and borders. Elrond believes that high scalability, high transaction speed, and low transaction cost make it suitable for machine-to-machine transactions and the IoT economy.
Elrond was started in late 2017 by brothers Beniamin Mincu, Lucian Mincu, and Lucian Todea as a way to solve the problem of scaling blockchain, which they thought was the most important problem facing the industry.
Before starting Elrond, Beniamin and Lucian Mincu started MetaChain Capital, an investment fund for digital assets, with Beniamin Mincu as CEO and Lucian Mincu as chief technology officer. They also started ICO Market Data, a website that collects information about initial coin offerings.
Traditional blockchains face a blockchain dilemma, in which the blockchain must compromise one of its three basic components - decentralization, security, and scalability - in order to achieve the other two successfully.
Most blockchains today prefer to reduce scalability to ensure decentralization and security. However, the lack of high performance and cheap and fast transactions currently presents a major obstacle on the road to the widespread adoption of blockchains.
To address this, several third-generation blockchain products were launched in 2017, with Elrond being among the most effective of all, which can process 15,000 transactions per second for a fee of just $0.001.
As blockchain has evolved over the years, new ways to address blockchain issues and make blockchains more efficient have emerged.
· Adaptive State Sharding – An optimal approach to blockchain sharding should consider the benefits of all three types of sharding: state, transaction, and network. Elrond's approach to throughput, called "Adaptive State Sharding", combines all three types of sharding into a solution to improve communication within charts and greatly increase performance by parallel processing.
· Secure Proof-of-Stake (SPoS) – At the heart of Elrond is Secure Proof of Stake (SPoS), a proof-of-stake governance mechanism that keeps a decentralized network of computers running the blockchain in sync. Like traditional PoS, SPoS is used to secure the network, verify transactions, and distribute newly minted EGLD coins on computers running Elrond software.
EGLD allows network participants to perform network activities such as sending transactions, executing smart contracts, and providing services such as staking or executing nodes. The Elrond team developed the token as a means of exchanging services integrated into the platform. They can also stake EGLDs on the network to run nodes in exchange for inflation rewards.
Elrond first issued tokens under the ERD tick to Ethereum and Binance DEX blockchains. A total of 20 billion ERDs were distributed on July 4, 2019, now equivalent to 20 million EGLDs. The primary distribution of ERD was as follows:
· 19% was allocated to private investors, giving a period of more than 18 months
· 25% was allocated to IEO investors, with 100% of the tokens issued on the IEO day of July 4, 2019.
· 7% is allocated to ecosystem awards, which offer a period of more than 12 months
· 8.5% in the growing marketing team, given 12 months
· 2% of the Community Fund, all rights granted for 12 months
· 2.5% was given to advisers and locked out a year after the IEO
· 19% was allocated to founding members and senior members, entitled to more than 42 months
· 17% was allocated to the State Treasury, given for 30 months
| DATE | NEWS/EVENTS | IMPACT |
| 19/11/2021 | Elrond launches a $1.29 billion liquidity incentive program after the launch of Maiar DCX | +40% Increase |
| 03/09/2021 | Elrond Network announces the integration of its technology by Copper. Co | +36% Increase |
| 18/05/2021 | China closes financial, payment, and cryptocurrency trading institutions | -41% Decrease |
Elrond guarantees that transaction speeds will be faster than traditional systems, but at the same time, we will be in a decentralized and secure system. Elrond's scalability may not be fully utilized today, but it will be essential for blockchain-based systems in the future. Given the rapidly growing number of users of blockchain-based applications, it can be said that this scalability will be useful sooner or later.
