Back to Course

3. Advanced Course

0% Complete
0/0 Steps
  1. 1. What is Taproot?
  2. 2. Blockchain bridges – what are they?
  3. 3. What is Ethereum Plasma?
  4. 4. What is Ethereum Casper?
  5. 5. What is Zk-SNARK and Zk-STARK? 
  6. 6. What is Selfish Mining? 
  7. 7. What is spoofing in the cryptocurrency market? 
  8. 8. Schnorr signatures - what are they? 
  9. 9. MimbleWimble - what is it? 
  10. 10. What is digital property rights in NFT?
  11. 11. What are ETFs and what role do they play in the cryptocurrency market? 
  12. 12. How to verify a cryptocurrency project – cryptocurrency tokenomics 
  13. 13. What is the 51% attack on blockchain?
  14. 14. What is DAO, and how does it work?
  15. 15. Zero-knowledge proof – a protocol that respects privacy 
  16. 16. What is EOSREX?
  17. 17. What is Proof of Elapsed Time (PoET)?
  18. 18. Mirror Protocol – what it is? 
  19. 19. What are synthetic assets? 
  20. 20. How to create your own NFT? 
  21. 21. Definition of DeFi, and what are its liquidations?
  22. 22. New identity system - Polygon ID
  23. 23. Ethereum Foundation and the Scroll protocol - what is it?
  24. 24. What is Byzantine fault tolerance in blockchain technology?
  25. 25. Scalability of blockchain technology - what is it?
  26. 26. Interchain Security - new Cosmos (ATOM) protocol
  27. 27. Coin Mixing vs. Coin Join - definition, opportunities, and threats
  28. 28. What is Ethereum Virtual Machine (EVM) and how does it work?
  29. 29. Soulbound Tokens - what are they, and how do they work?
  30. 30. Definition of LIDO - what is it?
  31. 31. What are Threshold Signatures, and how do they work?
  32. 32. Blockchain technology and cyberattacks.
  33. 33. Bitcoin script - what it is, and what you should know about it.
  34. 34. What is zkEVM, and what are its basic features?
  35. 35. Do confidential transactions on blockchain exist? What is a Confidential Transaction?
  36. 36. Algorithmic stablecoins - everything you should know about them.
  37. 37. Polygon Zk Rollups ZKP - what should you know about it?
  38. 38. What is Web3 Infura?
  39. 39. Mantle - Ethereum L2 scalability - how does it work?
  40. 40. What is the NEAR Rainbow Bridge?
  41. 41. Liquid Staking Ethereum and LSD tokens. What do you need to know about it?
  42. 42. Top 10 blockchain oracles. How do they work? How do they differ?
  43. 43. What are Web3.js and Ether.js? What are the main differences between them?
  44. 44. What is StarkWare, and recursive validity proofs
  45. 45. Quant Network: scalability of the future
  46. 46. Polygon zkEVM - everything you need to know
  47. 47. What is Optimism (OP), and how do its roll-ups work?
  48. 48. What are RPC nodes, and how do they work?
  49. 49. SEI Network: everything you need to know about the Tier 1 solution for DeFi
  50. 50. Types of Proof-of-Stake Consensus Mechanisms: DPoS, LPoS and BPoS
  51. 51. Bedrock: the epileptic curve that ensures security!
  52. 52. What is Tendermint, and how does it work?
  53. 53. Pantos: how to solve the problem of token transfer between blockchains?
  54. 54. What is asymmetric encryption?
  55. 55. Base-58 Function in Cryptocurrencies
  56. 56. What Is the Nostr Protocol and How Does It Work?
  57. 57. What Is the XDAI Bridge and How Does It Work?
  58. 58. Solidity vs. Rust: What Are the Differences Between These Programming Languages?
  59. 59. What Is a Real-Time Operating System (RTOS)?
  60. 60. What Is the Ethereum Rinkeby Testnet and How Does It Work?
  61. 61. What Is Probabilistic Encryption?
  62. 62. What is a Pinata in Web 3? We explain!
  63. 63. What Is EIP-4337? Will Ethereum Account Abstraction Change Web3 Forever?
  64. 64. What are smart contract audits? Which companies are involved?
  65. 65. How does the AirGapped wallet work?
  66. 66. What is proto-danksharding (EIP-4844) on Ethereum?
  67. 67. What is decentralised storage and how does it work?
  68. 68. How to Recover Cryptocurrencies Sent to the Wrong Address or Network: A Practical Guide
  69. 69. MPC Wallet and Multilateral Computing: Innovative Technology for Privacy and Security
  70. 70. Threshold signature in cryptography: an advanced signing technique!
  71. 71. Vanity address in cryptocurrencies: what is it and what are its characteristics?
  72. 72. Reentrancy Attack on smart contracts: a threat to blockchain security!
  73. 73. Slither: a static analyser for smart contracts!
  74. 74. Sandwich Attack at DeFi: explanation and risks!
  75. 75. Blockchain RPC for Web3: A key technology in the world of decentralized finance!
  76. 76. Re-staking: the benefits of re-posting in staking!
  77. 77. Base: Evolving cryptocurrency transactions with a tier-2 solution from Coinbase
  78. 78. IPFS: A new era of decentralized data storage
Lesson 3 of 78
In Progress

3. What is Ethereum Plasma?

Plasma is a layer two solution in the Ethereum ecosystem. Its mission is to solve scalability, transaction speed, and gas charges on the network. Will Plasma overcome the obstacles it faces? Let’s take a closer look at this topic. 

Plasma – what is it? 

Ethereum Plasma consists primarily of smart contracts and Merkle Trees.  This allows it to create an unlimited number of sidechains, which are only to connect to the main chain when necessary. With this solution, the traffic on the main network will be reduced and the network itself will increase its scalability. 

Imagine a large tree with a huge number of smaller branches. This is how the operation of Ethereum Plasma can be illustrated in a nutshell. The branches, in this case side chains, are often called child chains. Child chains are also smart contracts. Each of them can act independently and perform different functions, but they can also cooperate with the others.  Their main function is to unlock the main Ethereum chain and increase the speed of transactions on it. 

The solution using Plasma Chains is more efficient than standard sidechains. It increases security and facilitates access. Even when one of the plasma chains is not working, investors’ funds will still be safe, thanks to the operation of the main chain. This is also a big plus for users, as they will be able to withdraw their funds from the child chain to the main chain at any time with the balance from the last valid block. 

Each Plasma chain will use a block validation mechanism of its choice. It will be based on different consensus workflows

Fraud Proofs 

This is a mechanism that occurs in Ethereum Plasma. Imagine a law enforcement officer who will be looking after security in the Ethereum ecosystem. This is what Fraud Proofs will do. It allows people to report problems occurring on the network, adverse activity, or even suspicious transactions or activity. Depending on the type of report, such a Fraud Proofs message will go to the parent chain or straight to the main chain. 

MapReduce Computations function 

This is a set of functions that facilitates data verification. It significantly increases the efficiency of the entire network. Furthermore, the set of functions offered by MapReduce helps to organise multiple databases. 

Mass Exit Problem 

The Mass Exit Problem will occur when multiple network users decide to close their Plasma  Chain at one point in time. This is obviously a black scenario, but not impossible to occur.  Such a situation could occur, if only as a result of a planned attack on the network. 

Plasma and Sharding 

Ethereum Plasma works closely with the Sharding mechanism. It is also one of the solutions used to increase the capacity of the main network. The main network is divided into partitions  (like the main drive in a computer), which in the cryptocurrency world are called shards. Each  

partition is hosted on a separate server and is given a specific computing task. As a result, the main blockchain is heavily offloaded and nodes no longer need to verify transactions. 

Plasma vs Raiden

This is another mechanism that Plasma works with. Raiden is a protocol strictly designed for payments. It consists of dozens of payment channels, built on the Ethereum network. Often compared to Bitcoin’s Lightning Network, it offers us superfast and cheap off chain transactions. 

Summary 

Plasma is a layer two solutions that is entirely intended to solve the scalability problem of the Ethereum network. It operates off the main blockchain and greatly enhances the performance of the entire ecosystem. The tree that Plasma creates improves the performance of the entire network. It relieves it and shifts responsibility from interactions to the child chain. As a result, it is possible to handle more transactions per second.

Commence your adventure with cryptocurrencies on Kanga Exchange