Earlier last month, the CEO of Tesla took to Twitter that they’d stop accepting payments in Bitcoin because of the high energy consumed in the Bitcoin mining process. At the same time, it’s doubtful that Elon Musk just happened come to this realization recently, so his tweet and the subsequent 20% drop in Bitcoin’s value have generated suspicion.
The reason for Bitcoin’s controversial energy consumption is the cryptocurrency’s consensus algorithm: Proof-of-Work, which relies on miners using powerful computing machines to solve increasingly difficult algorithms to verify transactions. Unfortunately, Proof-of-Work is also limiting the scalability of Bitcoin and all other networks that are built with the same consensus algorithm. Their throughput will never be equal to the throughput of a centralized network without further innovation.
Therefore, other blockchain projects have focused on using different consensus algorithms, like Proof-of-Stake (PoS). In PoS networks, a defined set of nodes with enough tokens at stake verify transactions, increasing the speed with which transactions can be validated. Major market-cap Proof-of-Stake networks include Cardano and Tezos.
As these Proof of Stake projects are ever expanding, some teams have focused on creating scalability solutions for Bitcoin and Ethereum. For Bitcoin, the Lightning network is a project that aims to reduce transaction load from the mainchain, driving down fees and increasing scalability. This is a Layer 2 solution that still relies on the base layer for its security.
The Ethereum network, which is still running on a proof-of-work network, is looking to migrate towards Proof-of-Stake within the next year. Having implemented a technique called sharding, the number of nodes participating in the validation process is restricted to increase scalability. Sharding is a Layer 1 solution, but it suffers from similar problems as the main chain because making the shard big enough to ensure security limits its scalability.
Most people forget that with either Layer 2 solutions or Layer 1 solutions, all blockchains are ultimately still restricted by the same major issue: Networking Latency.
When using the internet, users connect to a host of centralized servers. These servers belong to major tech companies like Amazon, Microsoft, or Google which host much of the web’s content, which means that the vast majority of the web users experience on a daily basis is hosted within a centralized network of Big Tech servers.
That’s where networks like Marlin Protocol come in. Currently, decentralized networks are still similarly inefficient as primitive societies that tried making decisions. Only when we moved to political systems such as representative democracy did it get easier to communicate and implement changes.
Marlin Protocol is a Layer 0 solution that focuses on network layer optimization, in a similar fashion to Filecoin. It was launched by Siddharta, Prateesh, and Roshan, who all share vast experience in the world of peer-to-peer networking. With Prateesh previously working on Zilliqa, he currently holds 2 US patents. Marlin protocol is furtherly supported by several former researchers from the Ethereum foundation who were passionate about improving networking for Blockchain and Web3 apps.
Marlin is blockchain agnostic and offers a gateway that can be deployed by layer one and layer two solutions without sacrificing security, decentralization, or performance. Therefore, Marlin appears to solve one of the biggest challenges in blockchain so far.
The network is powered by two different tokens: MPOND and POND. The total supply of MPOND is set to 10,000, and POND is set with a maximum supply of 10,000,000,000. Traders can convert between MPOND and POND facilitated by a bridge that converts 1 million POND into one MPOND. POND is mainly used to reward validators and provide transactability to the community. Every Marlin Meta node is furtherly required to stake pond and then receives pond as a reward.
Marlin is built atop of Ethereum with a set of meta nodes that ensure marlin smart contracts are executed. If meta nodes fail to verify content entering the system correctly and, consequently, the protocol faces a DDoS or spam attack, they risk losing any staked POND.
A network of third-party auditors is probing the work of the meta nodes across the globe, providing consistent performance and coverage monitoring for dApps that require higher reliability.
For developers looking to build with POND, the team offers an SDK that gives devs the option to stream apps that require low latency and one to many communications. The marlin cache works as a decentralized content delivery network storing popular requests from API feeds and data stores. Lastly, the Marlin gateway allows clients, traders, miners, and validators to exchange large blocks and validations via a low latency network — giving them an edge in gas price auctions and increasing scalability.
Named after the world’s fastest fish which can reach speeds of 129kmh, the Marlin Protocol is working on enabling faster peer-to-peer communications and low network latency to allow blockchains to scale without being restricted by layer 0. As a simple plug-and-play solution, it’s compatible with a variety of blockchains regardless of consensus algorithms.
A lot of attention goes to layers one and two, developers are now focusing on layer 0. With blockchain adoption increasing, we’ll eventually see more demand for more decentralized networking infrastructure. If you also believe in the future of layer 0, it’s a great time to check out Marlin and the POND token.
POND is now trading on Bitcoin.com Exchange with BTC and USDT pairs.