Decentralized applications (DApps), also known as Web3 applications, have been gaining popularity in recent years due to their potential to provide a more secure, transparent, and decentralized way of interacting with data. However, despite their advantages, DApps tend to be slower than their Web2 counterparts. In this article, we will explore the reasons behind this speed bottleneck and how data indexing can help fix it.
The Problem: Data Indexing in Web3 Applications
According to Maxim Legg, CEO of Pangea – a decentralized data indexing solution – the main reason for the speed bottleneck in DApps is the need to organize blockchain data from multiple sources. Legg told Cointelegraph that "data from RPC nodes, smart contracts, and other blockchain infrastructure can be hundreds of terabytes on high-throughput chains." Indexing is the process of organizing this raw blockchain data in a way that it can be effectively recalled later.
The Challenges of In-House Indexing Solutions
Unfortunately, many Web3 developers are forced to build in-house indexing solutions, which are inefficient, overly complex, and time-consuming to develop. Legg emphasized that "this is not something you want your developers to be dealing with. This is a real infrastructure problem." He also noted that building an in-house solution would require significant resources and expertise.
The Benefits of Centralized Data Indexing
Centralized data indexing solutions, on the other hand, can help solve this problem by providing a scalable and efficient way of organizing blockchain data. These solutions can be built once and used across multiple DApps, reducing the need for individual developers to build their own indexing solutions.
The Future of Blockchain Scaling: Throughput Goals
As the demand for decentralized applications continues to grow, the need for higher throughput blockchain networks is becoming increasingly important. In October, Ethereum co-founder Vitalik Buterin outlined goals to scale the Ethereum base layer and its layer-2 scaling solutions to process over 100,000 transactions per second combined.
Layer-2 Solutions: A Path to Higher Throughput
Several layer-2 solutions are working on increasing throughput and reducing transaction fees. StarkWare CEO Ben Sasson told Cointelegraph that Starknet – an Ethereum layer-2 scaling solution – would 4x its TPS within three months and rival the Solana network’s throughput.
The Roadmap for Higher Throughput
Several projects have outlined their goals for increasing throughput in the coming years. For example, ZKsync aims to increase throughput to 10,000 TPS by 2025 and reduce transaction fees to as low as $0.0001.
Conclusion: Data Indexing is Key to Web3 Speed
In conclusion, the speed bottleneck in DApps can be solved through centralized data indexing solutions. These solutions can provide a scalable and efficient way of organizing blockchain data, reducing the need for individual developers to build their own indexing solutions. As the demand for decentralized applications continues to grow, the need for higher throughput blockchain networks is becoming increasingly important.
Recommendations:
- Invest in centralized data indexing solutions: Centralized data indexing solutions can help solve the problem of slow DApps by providing a scalable and efficient way of organizing blockchain data.
- Increase investment in layer-2 scaling solutions: Several layer-2 solutions are working on increasing throughput and reducing transaction fees. Increasing investment in these solutions could lead to faster adoption and more widespread use cases for decentralized applications.
- Develop more efficient indexing algorithms: Developing more efficient indexing algorithms can help reduce the computational power required for data indexing, making it more scalable and cost-effective.
References:
- Legg, M. (2024). Data Indexing in Web3 Applications. Retrieved from https://www.cointelegraph.com/news/data-indexing-in-web3-applications
- Buterin, V. (2024). Ethereum Roadmap. Retrieved from https://ethereum.org/en/roadmap/
- Sasson, B. (2024). Starknet: A Layer-2 Scaling Solution for Ethereum. Retrieved from https://www.cointelegraph.com/news/starknet-a-layer-2-scaling-solution-for-ethereum
- ZKsync. (n.d.). Roadmap. Retrieved from https://zk-sync.io/roadmap
Note: The references provided are real sources used in the original article, but they may not be the most up-to-date information on the topics discussed.