MultiversX is a groundbreaking L1 blockchain, powering an extensive ecosystem of dApps, games, and NFTs. With its high scalability, security, and decentralization, MultiversX is designed to unlock new possibilities for users, businesses, and society within the emerging metaverse frontier.
Originally known as Elrond Network, MultiversX underwent a rebranding in November 2022. This rebranding showcased its firm dedication to metaverse development and positioned it as a pioneer in this transformative era. Since its mainnet launch in July 2020, MultiversX has remained at the forefront of innovation, driving the evolution of blockchain technology.
WHAT IS MULTIVERSX
MultiversX utilizes a consensus mechanism known as Secure Proof-of-Stake (SPoS). This mechanism is a type of algorithm that crypto networks use to achieve consensus among distributed nodes, allowing for secure and efficient transaction validation. Its design is tuned for high performance, enabling the network to handle up to 45,000 transactions per second without compromising user privacy or incurring significant transaction fees.
The scalability of MultiversX is greatly enhanced by the implementation of sharding, a concept that partitions the network into smaller, interconnected components called ‘shards’. Sharding facilitates parallel transaction processing, significantly increasing the network’s capacity to manage high volumes of data. According to their documentation, the integration of sharding enables MultiversX to exceed 100,000 transactions per second (TPS), marking a significant milestone in blockchain scalability.
Established in 2017, MultiversX has garnered the support of several prominent investors in the crypto and tech landscape, including GapMinder Venture Partners, Electric Capital, Brilliance Ventures, and Binance. Their backing provides not only financial support but also strategic insights and credibility to the project.
Everstake plays an integral role in the MultiversX ecosystem as a validator. Validators in a PoS or SPoS network are responsible for creating new blocks and verifying the authenticity of transactions. They are typically chosen based on the number of tokens they hold and are willing to ‘stake’ as collateral, hence contributing to network security.
HOW SECURE PROOF-OF-STAKE WORKS
Secure Proof-of-Stake (SPoS) operates on a principle where validators, responsible for verifying and adding new transactions to the blockchain, are chosen in a random and unbiased manner.
Within the MultiversX network, nodes (computers participating in the network) collectively decide their chances of becoming a validator for the forthcoming block through a process known as consensus group rating. This process is completed swiftly in two communication steps, leveraging a modified version of Boneh–Lynn–Shacham (BLS) multi-signatures. The BLS scheme enables a user to verify that multiple signers have indeed signed a document without revealing who the signers are.
In addition to this, nodes within a shard (a sub-section of the network) are selected randomly to be part of the consensus group, and the group’s composition is not disclosed more than one round in advance. This methodology reinforces the security and fairness of the system.
MultiversX network architecture is divided into four shards: three transaction shards that handle transactions and one meta chain shard that oversees the other shards. Each shard contains 800 validators. Fifty percent of these validators are considered eligible and actively participate in validating transactions, while the remaining fifty percent are in a waiting state. The status of the validators can be viewed on the network’s explorer, with the waiting validators symbolized with a clock.
Currently, the MultiversX network benefits from the support of nearly 3200 active validators, contributing to the robustness and reliability of the system.
As a form of incentive, validators are awarded EGLD tokens for their role in adding new blocks to the blockchain. Furthermore, ordinary users can delegate their tokens to these validators, enhancing the overall security and stability of the network.
WHAT ARE THE KEY FEATURES OF MULTIVERSX?
MultiversX offers an array of advanced features and capabilities:
Adaptive State Sharding: MultiversX employs dynamic adaptive sharding on transaction, data, and network levels. This mechanism allows for shard merging and splitting based on the number of validators and network usage, ensuring optimal performance.
Secure Proof-of-Stake Consensus: MultiversX utilizes Secure Proof-of-Stake Consensus, a secure and efficient consensus mechanism that completes in just two communication steps. It employs modified BLS multi-signatures among validators, and the consensus group composition remains unknown until shortly before each round.
High Resiliency to Attacks: To enhance security, MultiversX periodically reshuffles nodes across shards. This reshuffling prevents collusion by randomly redistributing up to 1/3 of the nodes in each shard every epoch.
Secure Randomness Source: MultiversX utilizes BLS signing for secure randomness, ensuring it is non-biasable and unpredictable.
High Throughput and Low Latency: MultiversX boasts remarkable throughput, capable of processing over 100,000 transactions per second at a minimal cost. It is also fully carbon negative and designed to scale seamlessly with growing demand.
MultiversX WASM VM: The MultiversX WASM VM is an exceptionally fast virtual machine that executes smart contracts written in any programming language that can compile to WebAssembly. This versatility enables developers to write smart contracts in their preferred languages.
Sharded State Architecture for Smart Contracts: MultiversX’s sharded state architecture allows for balanced load distribution across shards, enabling parallel execution of multiple smart contracts. Cross-shard calls are handled asynchronously through a robust cross-shard execution process.
With these features, MultiversX is poised to revolutionize the blockchain landscape, offering scalability, security, and flexibility for a wide range of decentralized applications and use cases.
EGLD TOKEN
The eGold (EGLD) Token serves as the native currency of the MultiversX Network, with a fixed supply of 31,415,926 tokens. It plays a vital role in facilitating various core network functionalities, including staking, governance, transactions, smart contracts, and rewarding validators. As the backbone of the MultiversX ecosystem, the EGLD token fuels the network’s operations and empowers users to engage in a wide range of activities within the platform.
In addition to EGLD, MultiversX also supports its own Standard Digital Token (ESDT). ESDT serves as a general standard within the MultiversX blockchain platform, enabling developers to issue their own tokens. Developers have the flexibility to create smart contracts (SC) on the MultiversX blockchain and issue new tokens. Alternatively, they can choose to issue tokens without the need for smart contracts or a virtual machine (WASM). This versatility empowers developers to customize and innovate with their token offerings on the MultiversX network.
HOW TO STAKE EGLD
There are two options available for staking EGLD in MultiversX: delegating to a validator or legacy delegating.
In the first option, you can choose a validator and delegate your tokens to them. Keep in mind that all validators charge a fee for their services. As an option, you can delegate to Everstake, one of the validators on MultiversX. We have provided a detailed article* outlining the staking process in MultiversX for your convenience.
For legacy delegating, a minimum of 10 EGLD is required. The Legacy Delegation Pool does not support restaking but offers a slightly higher Annual Percentage Rate (APR) ranging from 9-11%. However, it’s important to note that rewards can only be received if you move from the waitlist to the Active Delegation list, which occurs when others withdraw their stakes.
It’s worth mentioning that with the upcoming launch of Staking Phase 4, legacy delegating to MultiversX nodes will be phased out. This will create opportunities for more third-party service providers. The anticipated launch for Staking Phase 4 is scheduled for Q3 of this year.
WHAT IS TOP-UP?
In MultiversX, there is a Base stake of 2500 EGLD per node. The top-Up stake is above 2500 EGLD per node. The more Top-Up stakes exist, the more secure the network is. But the more Top-Up stakes exist, the more APR is declining because the same amount of tokens is distributed among a greater number of users.
ECOSYSTEM
The MultiversX ecosystem is a thriving and innovative network that offers a wide range of applications, services, and opportunities. Built on a foundation of advanced technology and designed to support the future of decentralized applications (dApps), games, and NFTs, MultiversX aims to revolutionize the way users interact with digital assets and the metaverse. Here are some of the key elements of the MultiversX ecosystem.
xPortal
During the xDay conference in Paris, the MultiversX team unveiled several exciting products, including xPortal, xExchange, xBridges, and more. xPortal, launched on February 28, replaces the previous Maiar Wallet and revolutionizes the mobile wallet experience. It goes beyond traditional wallets by integrating digital finance, cryptocurrency, end-to-end encrypted messaging, AI avatars and acting as a gateway to Web3 apps and Metaverse experiences. With its user-friendly design and simplicity, xPortal offers an exceptional user experience.
The MultiversX Wallet
It’s a native Web wallet released on February 14 and is a native wallet developed by the MultiversX team. It enables users to stake EGLD, manage NFTs, ESDT tokens, and more. This secure wallet serves as a central hub for accessing various features of the MultiversX ecosystem, including DeFi, dApps, DAOs, and other blockchain elements.
xExchange
It’s a decentralized exchange (DEX) and automated market maker (AMM) that empowers users with asset trading, liquidity provision, and farming opportunities.
xLaunchpad
It’s a strategic launchpad that provides a platform for projects leveraging MultiversX’s internet-scale blockchain technology to make a lasting impact on the world.
xWorlds
xWorlds represents the concept of interconnected virtual worlds within the MultiversX metaverse. Users can immerse themselves in these virtual environments, interact with diverse experiences such as games, social platforms, and virtual events, and seamlessly navigate between different worlds.
xFabric
xFabric is a powerful infrastructure within the MultiversX ecosystem that facilitates seamless integration and interoperability between virtual worlds and dApps. It establishes a standardized layer for communication and data exchange, enabling developers to create interconnected applications that interact across different virtual worlds. This fosters collaboration, connectivity, and an enhanced user experience within the MultiversX metaverse.
You can check here the full ecosystem of MultivesX.
CONCLUSION
MultiversX is a revolutionary blockchain ecosystem that aims to redefine digital finance, metaverse experiences, and blockchain technology. With its innovative features and products, such as xPortal, xExchange, xBridges, and more, MultiversX offers seamless integration of digital finance, social features, and Web3 applications. The ecosystem provides users with a secure and user-friendly experience through wallets like the MultiversX Web Wallet and xPortal, allowing for staking, managing NFTs, and accessing various blockchain functionalities.
At Everstake, we highly recommend our validator services for your staking needs. Since 2018, our experienced team of engineers has earned the confidence of over 625,000 users across more than 70 blockchain networks.
As a self-financed and profitable entity, we’re proud to maintain an extensive network of over 8,000 nodes, supporting various blockchain protocols, including bridges and oracles. Our dedicated team, comprising more than 125 professionals, is committed to delivering high-quality staking services while ensuring top-tier security and dependability.
Selecting a dependable validator such as Everstake is pivotal, as it has a direct impact on the staking rewards you’ll earn. Should you have any inquiries or require additional support, please feel free to connect with our MultiversX Blockchain Manager on Twitter. We’re committed to ensuring you have the best possible staking experience.
