Study: the blockchain can support daily trading volume on the U.S. stock market


A study conducted by Depository trust and clearing Corporation (DTCC) is an American company providing financial services company, providing clearing and settlement services for financial markets – showed that the technology of the blockchain is sufficiently scalable to support the daily volume of trades on the us stock market.

The problem of scaling the blockchain is growing along with the growing popularity and awareness about cryptocurrency because there is a risk that the technology will not be able to cope with the demand. Popular cryptocurrency bitcoin and Ethereum are used for transaction processing blocks of limited size – the more transactions performed, the more data transfers, each block, which can lead to deformation of the chain.

A recent study, which was conducted with the participation of companies Accenture, Blockchain and R3, showed that the blockchain is able to support the entire trading volume during the day, with maximum rates of 115 000 000 transactions per day or 6,300 transactions per second for five hours.

In the study, the performance of the blockchain was tested using commercial platforms Digital Asset (DA) and Corda. Accenture has built a network of more than 170 nodes to simulate the financial ecosystem of cryptocurrency exchanges and market participants, supported by the DTCC. Reportedly, the test environment for this study was set in the cloud.

DTCC notes that have been tested only basic functions, and the subsequent work needs to determine whether the blockchain to meet the requirements for resiliency, security, and operating and regulatory requirements for its current settlement system.

The head of the blockchain in Accenture David Street (David Treat) noted that this project allowed us to obtain answers to key questions and be confident in the ability of technology to manage large-scale transformations.

Previously co-founder of Blockstream mark Friedenbach (Mark Friedenbach) introduced the method of scaling of Bitcoin, which “will be able to increase the volume of the transaction up to 3,584, compared to current levels”. A new concept implies a considerable increase of network throughput by using interleaving Proof-of-Work (PoW) that runs as softform, combined with the use of alternative private blockchains.

Also in July a project was launched called Bitcoin Optech created to solve the scaling problem of Bitcoin. The project initiated the forum on which the developers of Bitcoin and cryptocurrency companies are trying to work together to solve scaling problems online.

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