Can Vitalik Buterin's Plasma And Plasma Cash Solution Boost Scalability & Security

2018 has been a huge year for blockchain companies and blockchain-based technologies. While the cryptocurrency markets have floundered during one of the most significant crashes of the past few years, blockchain tech continues to garner the support of key institutional investors, many of whom believe that the innovations are the key to the changing future of financial technology, a sector current experiencing unprecedented and massive growth.

Vitalik Buterin has been continually at the forefront of many news items describing the newest innovations and technologies to hit the blockchain and cryptocurrency communities. The tech professional made his name as a key developer in the creation of Ethereum, the second most popular cryptocurrency and the top decentralized application platform.

While Buterin was credited for creating the massive currency, his reach extends far beyond Ethereum. Just four months ago, Buterin publicly announced the introduction of Plasma and Plasma Cash, two potential solutions to a variety of blockchain-related technical issues.

The first mention of the technology came in 2017, when a document was introduced by a document written by Vitalik and his partner for the project, Joseph Poon. Poon is an executive behind Lightning Network, a startup working on solving the scalability problem on the original Bitcoin blockchain. But now, the theories outlined in the old document are in the works to be executed at an alarmingly fast rate.

Plasma Functionality

Plasma works as a secondary blockchain, or as a set of secondary blockchains. Working on top of the original blockchain upon which it is built, this system works to respond to fraudulent incidents and maintain the immutability of the entire system. It is worth noting that, on the surface, Plasma seems to follow the same topside logic as the lightning network. Namely, both theories hold that a blockchain can be built atop the existing infrastructure, so that if the newer chain is compromised nothing happens to the original data on the original blockchain.

When work is able to be delegated to this new blockchain system, this makes the process of transacting incredibly faster. Instead of having just one blockchain to verify transactions, such as Bitcoin, some transaction data can be simply kicked up to Plasma, meaning that two transactions can theoretically occur at basically the same time.

The platform would have “plasma operators,” who would function as miners or referees, monitoring for fraud while verifying the legitimacy of transactions on the much smaller blockchain built atop a larger system like Bitcoin or Ethereum.

Continued Development

The system still has much to do and several topics to discuss before it is officially integrated in any major existing blockchain. For one, the structure of the plasma operator position needs to be further considered. It is unclear at this point how the position will be filled, and to what extent the spot will be up to the will of the community associated with the root blockchain.

But even with the still-developing questions, the Plasma theory is another step in the direction of scalability, a key concern for all cryptocurrencies.

Get Free Email Updates!

*Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

I will never give away, trade or sell your email address. You can unsubscribe at any time.

Avatar
Bitcoin Exchange Guide News Team
B.E.G. Editorial Team is a gracious group of giving cryptocurrency advocates and blockchain believers who want to ensure we do our part in spreading digital currency awareness and adoption. We are a team of over forty individuals all working as a collective whole to produce around the clock daily news, reviews and insights regarding all major coin updates, token announcements and new releases. Make sure to read our editorial policies and follow us on Twitter, Join us in Telegram. Stay tuned. #bitcoin

[Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

[Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer

1 COMMENT

  1. What a load of bullshit, building layers on top of each other. BTC is useless XRP will never need bolt on's to scale, Vitalik stole the idea for Ethereum from Stefan Thomas, Ethereum is a failed project just like bitcoin.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

3,467FansLike
2,795FollowersFollow
4,230FollowersFollow

Live Bitcoin Price & Latest BTC Charts

Today's Latest Crypto News

Compound Protocol to Roll Out Decentralized Oracles Dubbed ‘Open Price Feed'

Compound, one of the most popular defi protocol, is all set to introduce open price feeds for lending on its platform using a decentralized...

$2 Million Slippage & Surge in Ether Price on Uniswap Helps Net $40k in Profit

A Uniswap user was able to profit $40,000 thanks to $2 million of slippage and the price of Ether surging north of 15%. It all...

Irish Govt to Target Cryptocurrencies Use in Money Laundering And Terror Financing

The Irish government aims to implement stricter and more stringent laws to curb money laundering and terrorism financing in its financial system, including digital...

Interactive Brokers to Settle $38 Million in Penalties for Violating AML Procedures

Interactive Brokers LLC, a U.S based brokerage that skyrocketed between 2013 and 2018, has agreed to settle a total of $38 million with the...

Ethereum Gas Price Hasn’t Been This High Since its Launch

The price of Ether is back to making its way to $400 level as it hovers around $391 in the green with just $840...

BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.

Start Using Crypto Today