Thread by @ZKPanther

Since the #EthereumMerge has put discussions around consensus right back on the map, it's a good time to learn about blockchain architecture and its core functionalities.

Modular vs. Monolithic blockchains: benefits & drawbacks – A thread 👇🧵

What's a monolithic chain?

In a monolithic blockchain, all key features or responsibilities of a blockchain system are addressed internally.

A monolithic blockchain, in its base consensus layer, undertakes key features such as data availability, settlement, and execution.

Usually, #settlement and #execution are tied together.

Benefits of monolithic blockchains:

🥇 Monolithic blockchains can put secure transactions in force on their own nodes. The nodes see transactions achieved on the blockchain and validate them after confirming a #consensus.

This additionally solves data issues when the blockchain data is saved in many nodes.

🥈 A monolithic blockchain can offer extra value in the long run, provided users continue to use the token. They are easy to recognize and relatively simpler to implement and design.

Drawbacks of monolithic chains:

1⃣ Node on a monolithic chain may occasionally require re-executed transactions for verification of validity, leading to delays.

2⃣ Node source limits, including bandwidth and storage, can affect blockchain efficiency.

3⃣ Monolithic blockchains are inflexible in comparison to modular blockchains, affecting production quality. They do not allow for an outsourcing function even when there is downtime resulting from overload.

What is a modular chain?

In a modular blockchain, the execution layer is independent of the bottom consensus & data availability layers, permitting nodes to execute txns separately rather than performing all the transactions to test validity within a limited space or block.

Benefits of modular blockchain:

The most noticeable benefits of modular blockchain include scalability, ease of design, and flexibility.

1⃣ With a modular blockchain, the core functions of the blockchain are shared among different layers, improving scalability and preventing possible network disruption.

2⃣ When miners concentrate less on particular functions like a consensus, it gives them the ability to leverage the layout and create new #blockchains more quickly, regardless of the blockchain architecture.

3⃣ In comparison to the monolithic blockchain, the modular blockchain layout is significantly more flexible. It is designed to provide miners with features they cannot find in the monolithic blockchain.

Drawbacks:

Even though modular blockchains solve various issues where monolithic blockchain lags behind, modular architecture comes with its own set of drawbacks.

These are: 👇

1⃣ Unlike monolithic blockchains, which execute each blockchain function in a single layer, modular chains may lack protection-related characteristics.

2⃣ It is often difficult to design without the involvement of expert operators due to their design complexity.

These were just some key benefits and drawbacks of #modular and #monolithic blockchain architectures.

To learn more about these blockchain architectures and how they differ from each other, check out Panther Academy's guide on the same.

blog.pantherprotocol.io/modular-vs-mon…