Decentralized Databases Could Address Blockchain's Scalability Issues

Decentralized databases maintain many of the benefits of a blockchain while potentially addressing scalability.

Ethereum's 15 TPS can also be compared to more conventional databases like MySQL 8.0, which has a queries per second rate of over 1,000,000 based on the number of users connected.

"Currently, in all blockchain protocols each node stores the entire state This provides a large amount of security, but greatly limits scalability: a blockchain cannot process more transactions than a single node can."

GUN, an open-source decentralized database, attracted investments from people like Marc Benioff-American billionaire and co-CEO of Salesforce.

Amazon Web Services launched their own version, the Quantum Ledger Database, or QLDB, even after CEO Andy Jassy claimed that " build technology because we think the technology is cool," referring to his sentiment towards the hype around blockchain.

Distributed databases maintain many of the characteristics of a blockchain while solving some of the scalability issues.

Bluzelle, another decentralized database project, uses data sharding and partitioning techniques to create a more scalable and secure database.

Although these projects include impressive scaling technologies to improve the scalability of decentralized databases, the major breakthrough is the use of crypto tokens to incentivize participants to act in a mutually beneficial fashion.

Without the need to rely on these centralized providers, projects built on top of these decentralized databases have some advantages.

Decentralized databases offer a promising and sometimes even more effective alternative.