IDEX (Decentralized Exchange DEX) which is responsible for more than 40% of all DEX transactions reported to creating an infinite scaling solution for the Ethereum network.
IDEX claims that the system nicknamed Optimized Rollups (02Rs) attains block finality within 10 minutes. Additionally, the firm said that this is about 1000 times faster than the Optimistic Rollups (ORs) from the Ethereum scalability development organization, Plasma Group.
The ORs successfully achieve finality in two weeks. Rollup solutions scale via means of moving computation off-chain and further pushing the result towards the network later. Both O2Rs and ORs allow data legitimacy by initiating validators to analyze the data published on-chain.
The new technology will provide an envious spectrum of use cases. The distinguishing factor between both protocols is that O2R; unless a validator will trigger a data availability check, 02R only publishes data off-chain. Hence, the new system would successfully have limitless scalability potential and would handle much more complex applications.
Scalability of Point of Sale Payment Systems
IDEX CEO Alex Wearn suggested in his Twitter profile that PoS payment systems could implement O2R in a scalable noncustodial payments service. This, he said, was equivalent to the throughput of Visa. Alex went ahead to claim that the solution only allows free instantaneous transfer of video game assets in digitized nonfungible tokens.
Note that scalability is the major obstruction towards blockchain adoptions. For instance, blockchains beyond a certain capacity tend to surge transaction prices or either stop processing transactions altogether. This happens under a heavy workload. For instance the EOS is currently under heavy traffic posed by the EIDOS token airdrop. Remember in back in August, Ethereum’s Co-founder Vitallik Buterin stated that the Ethereum blockchain is almost full. Here is what he had to say on scalability:
“Scalability is a big bottleneck because the Ethereum blockchain is almost full. If you’re a bigger organization, the calculus is that if we join, it will not only be more full but we will be competing with everyone for transaction space. It’s already expensive and it will be even five times more expensive because of us. There is pressure keeping people from joining.”