Monad: The Emerging Force Reshaping Blockchain Performance

In the development of blockchain technology, Ethereum, as a pioneering smart contract platform, laid the foundation for the entire industry. However, with the surge in application demands, existing infrastructures like Ethereum are facing technical bottlenecks, particularly in scalability and transaction speed, which have become key factors restricting the industry's development. To address these challenges, Monad has emerged, promising to redefine blockchain performance standards with a throughput of up to 10,000 transactions per second.

Recently, Monad Labs completed a $225 million financing round, which will be used to further build and optimize its Layer1 Blockchain, with the potential to bring revolutionary changes to the industry.

The Birth of Monad: Directly Addressing the Pain Points of Ethereum Scalability

Ethereum's position in the Blockchain field is unshakable, being not only the core of blockchain research, decentralized applications (Dapps), and community development, but also having the highest Total Value Locked (TVL). However, with the surge in the number of projects, EVM faces unprecedented challenges, particularly as scalability issues become increasingly prominent.

In response to this challenge, the industry has proposed various solutions, including sharding technology and Layer2 scaling strategies. However, each of these solutions has its own limitations. Sharding technology requires long-term validation and research, making it difficult to realize its potential in the short term. While Layer2 strategies can improve network efficiency, they face challenges in terms of decentralization.

In the face of these challenges, Monad founder Keone Hon proposed a unique insight. He believes that the current scalability path of Ethereum has issues, and the Layer1 + Layer2 hierarchical strategy may undermine composability on-chain. Therefore, establishing a more efficient underlying network is the best solution, which is the original intention behind the birth of Monad.

Monad is a high-performance L1 that is fully compatible with Ethereum, focusing on enhancing the execution efficiency of the EVM at the Layer 1 level by utilizing "parallel processing" technology. This approach maximizes the processing power and scalability of the EVM without sacrificing security and decentralization. Currently, Monad has achieved the capability of processing 10,000 transactions per second, and this number is expected to increase tenfold in the coming years.

Since its establishment in 2022, Monad has completed two rounds of financing and received support from over 50 investment institutions. Investors are generally optimistic about Monad's prospects, believing that it will promote the popularization of cryptocurrency in the next 2-3 years.

Technical Advantages of Monad: Underlying Optimization and Parallel Strategies

The prominent advantage of Monad lies in its approach starting from the underlying foundational network, improving network efficiency through parallel execution strategies. This method not only maintains the security and decentralization characteristics of the network but also directly benchmarks performance against established layer 1 public chains like Aptos, Sui, and Solana, demonstrating significant advantages.

The working mechanism of Monad mainly achieves this by optimizing four core areas:

1. MonadBFT: This is the core of the Monad consensus algorithm, which uses a leader-centered two-round fan-out and fan-in method to ensure rapid block confirmation and finality, while reducing communication overhead and latency.

2. Delayed execution: Separating consensus from execution allows nodes to quickly reach agreement on the order of transactions without waiting for transaction execution to complete, greatly improving resource utilization efficiency.

3. Parallel execution: Achieve parallelism through optimistic execution, processing multiple transactions simultaneously to further increase transaction throughput.

4. MonadDB: A database developed specifically to support parallel execution and asynchronous I/O operations for Monad, natively compatible with the Patricia Trie data structure, avoiding the efficiency issues of traditional databases when handling MPT tree structures.

Despite being established for only two years, Monad's technological potential has been widely recognized. Currently, the Devnet internal test network has reached 10,000 TPS, which is quite a high starting point. If the goal of scaling to 100,000 TPS can be achieved in the coming years, Monad will undoubtedly become an important disruptor in the blockchain industry.

Monad Ecosystem: Overview of Hot Projects

Although the Monad mainnet has not officially launched yet, its strong technical capabilities and market prospects have attracted many developers. Currently, over 80 projects have been deployed on Monad, and it is expected that 150 projects will choose to build on this platform when the mainnet is launched. Here are a few Monad ecosystem projects worth noting:

aPriori

aPriori is a liquidity staking platform within the Monad ecosystem, focusing on miner extractable value (MEV). It offers users efficient staking solutions while maintaining the liquidity of assets.

Core functions include:

• Liquidity Staking
• MEV Optimization
• High performance support

Kintsu

Kintsu is a liquidity staking protocol within the Monad ecosystem, aimed at providing users with a flexible staking experience.

Core functionalities include:

• Liquid Staking
• Decentralized Validator Mechanism
• Composability

Kuru

Kuru is a decentralized order book exchange (CLOB) within the Monad ecosystem, providing users with a single platform to discover, research, and trade on-chain spot assets.

Core features include:

• Decentralized Trading
• Diversified Financial Products

Monad Pad

Monad Pad is a token and NFT launch platform based on Monad, supporting project parties or developers to initiate early fundraising through presales or public sales.

Core features include:

• Token and NFT Sale
• Original NFT Series

The development of these projects demonstrates the vitality and potential of the Monad ecosystem, providing new possibilities for future Blockchain application development.