Non-fungible tokens are becoming more popular than ever. Non-interchangeable units are provided with an acceptable way to sell their artwork, videos, audio scripts, 3D models, and other digital items. NFT marketplaces such as OpenSea, Axie, and Rarible are excellent choices, while providing NFT Marketplace White Label development services is a rewarding option for IT companies venturing into the Blockchain Ocean.
This article will look at three popular blockchains from a development standpoint. After a rough month in September, investors betting money on Ether are experiencing a constant slowdown. The cryptocurrency reached a high of $4818.97 in the first week of November, after which it has been a consistent disappointment in comparison to the competitive Polygon. Until December 30th, the crypto was estimated at $3717.xx, which is significantly lower than its rise. In September, the pioneering cryptocurrency Bitcoin lost 7%. We noticed the speed of Bitcoin in November’s first week, where it rose to $67582.60 but fell to $47xxx.xx by the end of the somewhat bleak 2021.
The digital currency’s roller-coaster price chart depicts a difficult period for Ether, which also caused investors to be concerned. According to experts, Ethereum is likely to lose to rival blockchains such as Solana and Polygon. But can the exchange be used solely as a criterion for comparison?
Ethereum serves as the foundation for NFTs, Decentralized finance, and smart contracts. Nonetheless, despite its popularity, the platform is having difficulty competing. Since the flurry of activity surrounding various DApps and NFTs, there has been fierce competition between layers one protocol. NFT marketplace development firms rely on the long-running ETH. In contrast, 2021 saw the rise of another layer one protocol, such as Polygon and Solana, which promised faster transaction speeds and lower transaction costs. Ethereum, in comparison, offers both features in Ethereum 2.0 upgrade, hoping to outperform others.
While all three blockchains, Ethereum, Polygon, and Solana, have their supporters, Ethereum tops the list by providing the most transparent ecosystem of DApps. There are some significant differences between these competitors that cannot be overlooked. Whether you are new to NFT this article will give you a bird’s-eye view of the three blockchains.
Here’s a quick rundown of each of these three competitors:
Ethereum is a blockchain technology created by the community that houses digital money, apps, and global digital payments. The blockchain has created a booming economy that is open to all. The platform provides data-friendly services and thousands of apps that we use today to everyone, regardless of location or background. All programs connected to the Ethereum platform require computing power. Ether, a cryptocurrency that is a scarce digital currency similar to Bitcoin, is supported by Ethereum.
You can use Ether to perform request operations such as payments to someone on the network. It is worth noting that Ethereum has been a strong wire puller for the boom of digital collectibles in 2021, making it a primary choice of NFT marketplace development service providers who want to play it safe.
Polygon, also known as the Matic network, is the Ethereum Internet of Blockchain. Polygon’s primary goal is to facilitate the multichain Ethereum ecosystem. The network is made interoperable with all existing and future Ethereum infrastructure. Polygon is also aligned to provide interoperability with layer-2 solutions. Polygon is also known for being the quickest in terms of transaction speed.
Solana is a decentralized blockchain. Solana is designed to power scalable, user-friendly applications. It is the fastest blockchain and the most efficient and rapid ecosystem, with over 400 Defi, Web3, and NFTs. Solana’s actual feedback comes from the happy faces of Solana blockchain app development services providers. The primary reasons for its success are efficiency and speed.
The Solana Blockchain can handle between 50k and 65k transactions per second, with a transaction rate of 3000 per second. The differences between Solana and Polygon (Matic) are pitting them against Ethereum, even though they have some serious qualities. Let’s look at the differences between them from the standpoint of the NFT development service.
The consensus mechanism is how all blockchain peers agree on the current state. Let’s look at how the three platforms differ:
Ethereum 1.0 is currently used in a variety of applications. The blockchain employs the Proof-of-Work mechanism, which Bitcoin also employs. The platform is protected by hundreds of miners who actively participate in the consensus process. The process consumes computing power and makes network participation difficult. As a result, the network is always decentralized and secure, albeit with reduced performance, a problem that Ether 2.0 addresses.
This blockchain employs a series of computations to provide a method for verifying the time between two events. It predicts the output using a secure cryptographic function. Solana does not rely on Proof of Work but a hybrid consensus of Proof of Stake and Proof of History. Solana, in general, has a transaction rate of 50k per second.
Polygon employs a hybrid of technologies to create the fast blockchain and connect it to the main Ethereum. Polygon creates a new Matic and secures the network using a different consensus mechanism known as PoS (Proof of Stake). The only way to make money on MATIC is to stake it.
Validators are responsible for verifying transactions and adding them to the blockchain. Validators receive the cut as well as the new MATIC in exchange. To become the validator, you must run a full-time node, and if an error occurs, you may lose Matic. Delegators stake the Matic using full-time validators via validators. You may lose some of your staked MATIC if you make a mistake.
Some Blockchains keep state, while others do not. A contract is considered stateless if it does not change its state, i.e., does not change the storage variable values.
Ethereum is Stateful, which means that all transactions are saved in the state. When a new transaction occurs, the network as a whole must update the copy to reflect the new transaction.
For instance, if Alice sends $10 to Bob via Ether, the network of miners must update the records to reflect the architecture. This process is expensive, so Ethereum 1.0 is thought to be slower than stateless blockchains.
The Solana cluster is at the heart of architecture. Solana cluster is a group of validators who collaborate to serve client transactions and maintain the ledger. A cluster has a leader whose role is rotated among all validators—using the Proof of History algorithm, the cluster leader bundles and timestamps the incoming transaction. Solana is stateless, which means that the entire state does not need to be updated with each transaction. Solana’s stateless architecture makes it highly scalable.
Polygon provides the fundamental tool and component for integrating into the new, borderless society and economy. The sidechain works in the same way as other POS blockchains. The only distinction is that the exchanges are clustered and take place on the Ethereum mainchain. Matic is a Polygon Blockchain resource that is used for exchange.
The speed of Blockchains is an important factor in the transaction. When comparing platforms, speed is the most important factor.
Ethereum operates on a distributed network, in which each network participant has an identical copy of the ledger. The distributed ledger holders operate and manage the network. Ether can only process a limited number of transactions per second. Furthermore, it is overcrowded, with either a high fee or a long wait in line (reason for disgruntled small NFT development services), providing an opportunity for other blockchains to grow.
Solana employs TFT (Tower Byzantine fault tolerance), a more advanced version of pBFT (Practical Byzantine fault tolerance). It eliminates the need for nodes to communicate in real-time, increasing overall efficiency. Solana also employs the Gulfstream (mempool-less forwarding standard), which pushes the transaction to the edge. Network validators can process transactions more quickly, allowing the network to process more than 50000 transactions per second.
In terms of scalability and speed, Polygon is unrivaled today. It is capable of processing 65000 transactions per second. Polygon Matic is an excellent tool for both developers and users. Building Ethereum decentralized apps on Polygon is inexpensive.
A Blockchain must be scalable to facilitate transactions. Let us now compare the three blockchains in terms of scalability.
- Ethereum can only process about 15 transactions per second, making it slower than its competitors. What ethereum lacks, layer two scaling solutions such as sidechains and Plasma are accomplishing. Polygon/Matic, a multichain network, can be supported by Ethereum to improve scalability.
- Solana’s high-performance protocol solves the scalability problem. Its protocol employs a groundbreaking time architecture, an efficient consensus model, and faster transaction processing, making it one of the fastest layer-1 networks.
ETH2 makes ethereum more scalable
ETH2 is a collection of interconnected improvements that make ethereum more scalable, sustainable, and secure. Multiple teams from across the ecosystem work together to build the upgrades.
Scalability: ETH2 improves the scalability of Ether. For faster and less expensive applications, it requires the validation of 1000s of transactions.
Secure: The blockchain should be more secure. As the protocol’s adoption grows, it must become secure against all attacks.
Sustainable: Ethereum must be environmentally friendly. The current ecosystem necessitates an excessive amount of energy and computing power. The introduction of ETH2 may herald the end of energy-intensive mining.
NFTs are in high demand. The popularity of digital collectibles is expected to skyrocket in the coming years. Different industries are participating in the creation of their NFT focus. Hiring a Crypto Exchange Development Company can help you get the desired results from the software.
Ethereum and other blockchains are evolving and providing the most practical solution. Because Ethereum played the most important role in establishing the backbone of Decentralized Finance, it has a strong footing in the industry. Despite their rapid growth, Solana and Polygon are the new kids on the block, attempting to provide a compelling reason for hiring NFT developers with the same skill set.