The scalability issues with Ethereum have been a prolonged issue in the Blockchain community. Vitalik Buterin, the Co-Founder of Ethereum has brought about a new addition to the Ethereum community with the ‘Liquidity.Network’ which is an emerging off-blockchain payment hub network.
Back in April this year, Buterin tweeted saying:
“Network of centralized payment hubs, routing easy because there’s a relatively small number of them with relatively static relationships,” which is exactly what they are seeking to achieve where the network is resilient to blockchain congestion.
Arthur Gervais, the Founder of Liquidity Network who is also a blockchain professor at Imperial College, London, is working towards solving the scalability issue which occurs to be a predominant issue in the blockchain community. Thus, it brings about more efficiency in the blockchain eco-system.
As we know that Blockchain communities like Bitcoin and Ethereum do not allow thousands of transactions per second which in return results in a slower process time that eventually stalls the progress of these blockchain networks.
The second issue with Ethereum and other dominant cryptocurrencies is the high transaction fees which make micropayments a difficult task alongside its high expense.
The third issue is with locked-up collateral that users are not happy about. Therefore, when it comes to a two-party payment channel, it allows more users to interact with one another in terms of their funds which significantly help reducing transaction costs allowing more transparency throughout the network.
‘Liquidity.Network‘ launched their mobile app at the recent EDCON in Toronto. The Liquidity platform does not have any joining fee and is free.
This network allows users with bi-directional transfers of Ethereum, which means you can transfer funds instantly with more security and low cost. This off-chain payment channel increases the transaction possibilities in the Ethereum forum.
The network also plans on launching a decentralized exchange in the upcoming Q3 2018. With more and more scalability issues in the Blockchain community, users are looking forward to networks like these, which promise to bring about major solutions to the scalability issues