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Although blockchain, the supporting technology of various cryptocurrencies, has offered a potentially effective framework for numerous decentralized trust management systems, its performance is still sub-optimal in real-world networks. With limited bandwidth, the communication complexity for nodes to process a block scales with the growing network size and hence becomes the limiting factor of blockchain&#x2019;s performance. In this paper, we suggest a re-design of existing blockchain systems, which addresses the issue of the communication burden. First, by employing techniques from Coded Computation, our scheme guarantees correct verification of transactions while reducing the bit complexity dramatically such that it grows logarithmically with the number of nodes. Second, with the adoption of techniques from Information Dispersal and State Machine Replication, the system is resilient to Byzantine faults and achieves linear message complexity. Third, we propose a novel 2-dimensional sharding strategy, which inherently supports cross-shard transactions, alleviating the need for complicated communication protocols between shards, while keeping the computation and storage benefits of sharding.

Breaking Blockchain’s Communication Barrier With Coded Computation