{"id":20573,"date":"2023-04-04T08:26:29","date_gmt":"2023-04-04T08:26:29","guid":{"rendered":"https:\/\/zebpay.com\/au\/?p=20573"},"modified":"2023-04-04T08:26:30","modified_gmt":"2023-04-04T08:26:30","slug":"what-is-ethereum-sharding","status":"publish","type":"post","link":"https:\/\/zebpay.com\/au\/blog\/what-is-ethereum-sharding","title":{"rendered":"What Is Ethereum Sharding?: A Comprehensive Guide"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_66_1 counter-hierarchy ez-toc-counter ez-toc-light-blue ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/zebpay.com\/au\/blog\/what-is-ethereum-sharding\/#Definition_of_sharding\" title=\"Definition of sharding&nbsp;\">Definition of sharding&nbsp;<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/zebpay.com\/au\/blog\/what-is-ethereum-sharding\/#Benefits_of_Implementing_Sharding_in_Ethereum\" title=\"Benefits of Implementing Sharding in Ethereum\">Benefits of Implementing Sharding in Ethereum<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/zebpay.com\/au\/blog\/what-is-ethereum-sharding\/#How_Does_Sharding_Work\" title=\"How Does Sharding Work?\">How Does Sharding Work?<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/zebpay.com\/au\/blog\/what-is-ethereum-sharding\/#Overview_of_Database_Sharding\" title=\"Overview of Database Sharding\">Overview of Database Sharding<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/zebpay.com\/au\/blog\/what-is-ethereum-sharding\/#Sharding_in_Ethereum\" title=\"Sharding in Ethereum\">Sharding in Ethereum<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/zebpay.com\/au\/blog\/what-is-ethereum-sharding\/#Comparison_with_Other_Scaling_Solutions\" title=\"Comparison with Other Scaling Solutions\">Comparison with Other Scaling Solutions<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/zebpay.com\/au\/blog\/what-is-ethereum-sharding\/#Will_Sharding_Reduce_Gas_Fees\" title=\"Will Sharding Reduce Gas Fees?\">Will Sharding Reduce Gas Fees?<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/zebpay.com\/au\/blog\/what-is-ethereum-sharding\/#How_can_sharding_Reduce_Gas_Fees\" title=\"How can sharding Reduce Gas Fees?\">How can sharding Reduce Gas Fees?<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/zebpay.com\/au\/blog\/what-is-ethereum-sharding\/#Scaling_Blockchain_Using_Ethereum_Sharding\" title=\"Scaling Blockchain Using Ethereum Sharding\">Scaling Blockchain Using Ethereum Sharding<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/zebpay.com\/au\/blog\/what-is-ethereum-sharding\/#Scaling_challenges_in_blockchain\" title=\"Scaling challenges in blockchain\">Scaling challenges in blockchain<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/zebpay.com\/au\/blog\/what-is-ethereum-sharding\/#Conclusion\" title=\"Conclusion\">Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Definition_of_sharding\"><\/span>Definition of sharding&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Sharding is a process of splitting the Ethereum network into multiple parts called shards. Each shard has its own set of smart contracts and functions as an independent state. It is one of the most complex scaling solutions for the Ethereum network. Sharding is an Ethereum 2.0 upgrade planned to happen later this year.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Benefits_of_Implementing_Sharding_in_Ethereum\"><\/span>Benefits of Implementing Sharding in Ethereum<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Sharding will help to solve one of the big pain points of the Ethereum network, namely, high gas fees. Gas fees are fees required to complete a transaction on the Ethereum network. Sharding reduces gas fees by reducing competition for resources on the Ethereum network. Higher transaction speed is another benefit of sharding.<\/p>\n\n\n\n<p>Currently, the Ethereum network can process around 15 transactions per second (TPS). The Ethereum network aims to increase its throughput to 100,000 TPS through sharding. This figure may vary until sharding is fully implemented on the blockchain network.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_Does_Sharding_Work\"><\/span>How Does Sharding Work?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Overview_of_Database_Sharding\"><\/span>Overview of Database Sharding<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>The concept of sharding originates from database management systems. SHARD used to be an abbreviation of a 1980s product known as the System for Highly Available Replicated Data. Shard also means a small part of something big, which is what it does in a blockchain network. It breaks a blockchain network into smaller pieces or shards. Each blockchain shard holds its unique transactional data and processes transactions simultaneously on the blockchain network.<\/p>\n\n\n\n<p>Breaking blockchain networks into multiple shards enables parallel transaction processing, which improves latency and increases network scalability. The computational burden on a blockchain network is reduced through sharding. More transactions can be processed at a given time through sharding.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Sharding_in_Ethereum\"><\/span>Sharding in Ethereum<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Nodes keep a blockchain network running by storing and processing transactional data. All nodes used to process every transaction on the Ethereum network using its previous consensus mechanism, <a href=\"https:\/\/zebpay.com\/au\/blog\/why-proof-of-work-works\" target=\"_blank\" rel=\"noreferrer noopener\">proof-of-work<\/a>. This process led to scalability issues on the Ethereum network as more transactions kept being added to the network.<\/p>\n\n\n\n<p>In sharding, nodes are divided into small groups called shard chains. Subsets of transactions on the Ethereum network will be processed through shard chains. These chains communicate with each other to reach a consensus and validate blockchain blocks.<\/p>\n\n\n\n<p>The proposed Ethereum sharding system will have 64 linked databases, and transactions can be processed simultaneously on every shard. Each shard will have a committee consisting of 128 validators. These committees will be responsible for validating each blockchain every twelve seconds.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Comparison_with_Other_Scaling_Solutions\"><\/span>Comparison with Other Scaling Solutions<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The Ethereum network uses both off-chain and on-chain scaling solutions. Off-chain scaling solutions mean any strategy that involves the external execution of an underlying blockchain network like Ethereum. Users refer to these solutions as L2 or layer two.<\/p>\n\n\n\n<p>On-chain scaling solutions like sharding involve direct adjustments made to a blockchain network to improve its throughput. Off-chain solutions like rollups will help scale the Ethereum network in the near term, while sharding is a long-term scaling solution.<\/p>\n\n\n\n<p>A rollup is a scaling solution that processes network transactions on its execution layer but posts the transaction data to the underlying blockchain network, like Ethereum. Rollups inherit the security features of the Ethereum network. Optimistic and <a href=\"https:\/\/zebpay.com\/au\/blog\/what-are-zk-rollups\" target=\"_blank\" rel=\"noreferrer noopener\">ZK rollups<\/a> are the two main types of roll-up solutions.<\/p>\n\n\n\n<p>Side chains are independent blockchains and are popular among Ethereum users. These side chains are compatible with the Ethereum network as they use the <a href=\"https:\/\/zebpay.com\/au\/blog\/what-is-ethereum-virtual-machine-evm\" target=\"_blank\" rel=\"noreferrer noopener\">Ethereum Virtual Machine<\/a> (EVM). Side chains can also act like external execution layers for L1 Ethereum, even if they do not get Ethereum\u2019s security features like rollups. Vitalik Buterin has stated that rollups and sharding can be used together to multiply the scaling gains of the Ethereum network.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Will_Sharding_Reduce_Gas_Fees\"><\/span>Will Sharding Reduce Gas Fees?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><img decoding=\"async\" width=\"1024\" height=\"384\" src=\"https:\/\/zebpay.com\/au\/wp-content\/uploads\/2023\/04\/Will-Sharding-Reduce-Gas-Fees-1024x384.jpg\" alt=\"Will Ethereum Sharding Reduce Gas Fees\" class=\"wp-image-20575\" srcset=\"https:\/\/zebpay.com\/au\/wp-content\/uploads\/2023\/04\/Will-Sharding-Reduce-Gas-Fees-1024x384.jpg 1024w, https:\/\/zebpay.com\/au\/wp-content\/uploads\/2023\/04\/Will-Sharding-Reduce-Gas-Fees-300x113.jpg 300w, https:\/\/zebpay.com\/au\/wp-content\/uploads\/2023\/04\/Will-Sharding-Reduce-Gas-Fees-768x288.jpg 768w, https:\/\/zebpay.com\/au\/wp-content\/uploads\/2023\/04\/Will-Sharding-Reduce-Gas-Fees.jpg 1200w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/figure><\/div>\n\n\n<p><\/p>\n\n\n\n<p>Gas fees are units of measure used to calculate fees to process transactions on a blockchain network. Gas fees are based on the demand for a block of space. These fees become very high during times of network congestion. Ethereum\u2019s switch to the <a href=\"https:\/\/zebpay.com\/au\/blog\/proof-of-stake-explained\" target=\"_blank\" rel=\"noreferrer noopener\">proof-of-stake<\/a> consensus mechanism is the first step towards sharding.<\/p>\n\n\n\n<p>Read more: <a href=\"https:\/\/zebpay.com\/au\/blog\/what-is-ethereum-gas-fee\" target=\"_blank\" rel=\"noreferrer noopener\">What Is ETH Gas Fee<\/a><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_can_sharding_Reduce_Gas_Fees\"><\/span>How can sharding Reduce Gas Fees?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Sharding is a process in which the Ethereum network splits into shard chains that share the load of the network. Theoretically, sharding should reduce network congestion and increase transaction throughput. The goal is to increase the transaction throughput of the Ethereum network to 100,000 transactions per second. As per estimates, Sharding should significantly lower the gas fees on the Ethereum network. These layer two innovations will allow users to use the base security layer while experiencing low gas fees.<\/p>\n\n\n\n<p>Other than being a <a href=\"https:\/\/zebpay.com\/au\/blog\/what-is-a-layer-2-blockchain\" target=\"_blank\" rel=\"noreferrer noopener\">layer two solution<\/a>, sharding has been proposed as a vital solution for attracting more users to the Ethereum network. Sharding would work coherently with layer two rollups for splitting the load of large volumes of transaction data. As a result, this process can increase transaction speed and reduce network congestion. The proposed plan is to use shard chains to allocate extra data and not handle transactions. Sharding with rollups is expected to significantly boost the scalability of the Ethereum network.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Scaling_Blockchain_Using_Ethereum_Sharding\"><\/span>Scaling Blockchain Using Ethereum Sharding<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Scaling_challenges_in_blockchain\"><\/span>Scaling challenges in blockchain<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Currently, all nodes must reach a consensus on blockchain transactions to process them, and only a small number of transactions can be processed using this method. Every node stores the entire process and history of every blockchain transaction. This feature is what makes a blockchain network decentralised.<\/p>\n\n\n\n<p>Malicious users find it hard to hack a blockchain network by manipulating transactions, as a copy of the network&#8217;s full history is stored in every node. This feature ensures the blockchain\u2019s security and decentralisation but affects a network&#8217;s scalability.<\/p>\n\n\n\n<p>Sharding enabled nodes to forgo downloading their transaction history. This process increases the efficiency of blockchain networks and helps blockchain scale by supporting more users.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Network security is one of the big issues when dealing with upgrades to a blockchain network. One potential issue with sharing is the possibility of cross-shard attacks. However, Ethereum\u2019s protocol has been designed to address this security issue. The Ethereum network is continuously developing solutions to potential issues with sharding. The main goal is to create a decentralized, scalable, and secure blockchain network.<\/p>\n\n\n\n<p>Sharding has the potential to transform industries through mass adoption. Developers are also discovering new use cases for this technology. Sharding technology can create new opportunities through shared value networks in DeFi and global supply chains. It can also significantly increase the efficiency of the Ethereum network.<\/p>\n\n\n\n<p>You can now buy Ethereum on ZebPay. Visit <a href=\"https:\/\/zebpay.com\/au\/blog\" target=\"_blank\" rel=\"noreferrer noopener\">ZebPay blogs<\/a> to know more about crypto.<\/p>\n\n\n\n<div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button\"><a class=\"wp-block-button__link has-white-color has-text-color wp-element-button\" href=\"https:\/\/connect.zebpay.com\/account\/UserRegistration?returnUrl=%2FAccount%2FCampaignRegister&amp;_ga=2.19822143.64165626.1680495540-1461365362.1677751526\" target=\"_blank\" rel=\"noreferrer noopener\">trade now<\/a><\/div>\n<\/div>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Definition of sharding&nbsp; Sharding is a process of splitting the Ethereum network into multiple parts called shards. Each shard has its own set of smart contracts and functions as an independent state. It is one of the most complex scaling solutions for the Ethereum network. Sharding is an Ethereum 2.0 upgrade planned to happen later [&hellip;]<\/p>\n","protected":false},"author":22,"featured_media":20574,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[14],"tags":[16],"class_list":["post-20573","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto","tag-crypto"],"acf":[],"_links":{"self":[{"href":"https:\/\/zebpay.com\/au\/wp-json\/wp\/v2\/posts\/20573","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/zebpay.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/zebpay.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/zebpay.com\/au\/wp-json\/wp\/v2\/users\/22"}],"replies":[{"embeddable":true,"href":"https:\/\/zebpay.com\/au\/wp-json\/wp\/v2\/comments?post=20573"}],"version-history":[{"count":1,"href":"https:\/\/zebpay.com\/au\/wp-json\/wp\/v2\/posts\/20573\/revisions"}],"predecessor-version":[{"id":20576,"href":"https:\/\/zebpay.com\/au\/wp-json\/wp\/v2\/posts\/20573\/revisions\/20576"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/zebpay.com\/au\/wp-json\/wp\/v2\/media\/20574"}],"wp:attachment":[{"href":"https:\/\/zebpay.com\/au\/wp-json\/wp\/v2\/media?parent=20573"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/zebpay.com\/au\/wp-json\/wp\/v2\/categories?post=20573"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/zebpay.com\/au\/wp-json\/wp\/v2\/tags?post=20573"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}