Existing L2 networks can increase their transaction and smart contract throughput by 100 times by utilizing Sovereign Chains.

MultiversX Unveils Sovereign Chains to Boost Layer-2 Blockchain Scalability

Key Points:
- Scalability Boost: MultiversX's Sovereign Chains promise to enhance the transaction throughput of existing layer-2 (L2) blockchain networks by up to 100 times.
- Blockchain-as-a-Service Solution: Sovereign Chains offer a blockchain-as-a-service solution, allowing existing L2 networks to inherit MultiversX's scalability.
- Technical Details: The scalability boost is achieved through innovations and engineering, with Sovereign Chains capable of reaching high transaction throughput with relatively inexpensive hardware.
- Real-World Use Cases: Scalability and high transaction throughput are crucial for real-world applications such as micropayments, where networks need to settle thousands of transactions quickly and cost-effectively.

Achieving Unprecedented Throughput

- Impressive Demonstration: During the inaugural demonstration, the public Sovereign Chain achieved a throughput of 77,000 transactions per second (TPS), nearly 77 times faster than Solana's real-world throughput of 1,053 TPS.
- Future Milestone: The MultiversX team aims to unlock a throughput of over 100,000 TPS, focusing on optimizations across various aspects of the blockchain network.

Unlocking Interoperability

- Native Interoperability: Sovereign Chains not only increase throughput but also enhance the interoperability of L2s built on Bitcoin, Ethereum, and Solana.
- Streamlining User Experience: This native interoperability simplifies the user experience by enabling seamless interaction between applications on different chains without requiring users to navigate complex cross-chain bridges.
- Global Access: The goal is to make assets, protocols, communities, and opportunities in Web3 accessible and composable from anywhere, fostering a more interconnected and accessible decentralized ecosystem.

Addressing the Blockchain Trilemma

- Challenges:The current fragmentation in the blockchain ecosystem poses challenges for decentralized finance (DeFi) protocols, requiring users to bridge assets across different chains.
- Sovereign Chains Solution: Sovereign Chains aim to address these challenges by making L2s more interoperable, thus enabling a more seamless and user-friendly experience for builders and end-users alike.

MultiversX's Sovereign Chains represent a significant step forward in enhancing blockchain scalability and interoperability, potentially unlocking new possibilities for decentralized applications and services across the entire Web3 landscape.