Binance Research publishes report on “Aptos and Sui: The New Kids on the Block”
Main Takeaways:
Aptos and Sui are new Layer 1 projects that seek to solve the scalability, safety, and decentralization issues characteristic of the current Layer 1 space.
Both blockchains utilize parallel execution techniques — albeit in different ways — to improve transaction speed and latency.
They also utilize the new Move programming language, which aims to significantly improve blockchain safety and security.
Aptos and Sui were developed by some of the most impressive teams in the Web2 space and have successfully raised sizeable amounts of capital in the challenging market environment of the past year.
Binance Research has published a report titled “Aptos and Sui: The New Kids on the Block”. Aptos and Sui are new Layer 1 projects originally borne from the extensive work by Meta for their Diem (formerly Libra) project. Both projects are backed by experienced teams seeking to use their product development expertise to solve the problems current Layer 1 projects face.
Aptos and Sui seek to tackle the Blockchain Trilemma, i.e., the idea that a blockchain can provide only two of the following three features: decentralization, security, or scalability.
Scalability
This is targeted using parallel execution techniques (described in detail in the report) that allow transactions to be executed at a faster pace and lower latency than those of many competitors. The key for Aptos is its Block-STM execution engine, which allows multiple transactions to be handled concurrently.
Aptos also employs a novel parallel transaction processing flow, whereby each component is independent and can be individually parallelized; this helps to maximize throughput and maintain low latency.
Sui’s secret lies in its novel dual-execution approach, which allows certain independent transactions to bypass consensus and have near-instant finality. This is possible due to Sui’s object-centric design, which differs significantly from that of traditional blockchains and enables almost instant completion of independent transactions. This opens the door for many use cases that require high throughput.
Security
The crypto ecosystem consists of a series of interoperable protocols, powered by underlying smart contracts. There are various layers in the so-called “stack”, with unique vulnerabilities at each stage.
Some potential exploits are general (such as social engineering attacks gaining access to user private keys), whereas other exploits might be highly technical and blockchain-specific (such as re-entrancy attacks).
Both Aptos and Sui seek to improve security through the implementation of the new smart contract-specific programming language, Move. Move comes pre-built with features designed to deliver an improvement in blockchain safety and privacy.
These features include the Move Prover, a tool that can help developers formally verify smart contracts and hopefully prevent certain types of hacks and exploits. Additionally, Aptos has been vocal about its focus on upgradeability, meaning that it is expected to be rapid in the deployment of the latest safety technology.
Decentralization
Firstly, we should note that decentralization is a spectrum, not a binary or one-dimensional concept. There are many layers on which decentralization matters, and projects make different sacrifices to optimize for different goals.
One way to quantify the ease of decentralization is through the hardware requirements for running a validator node. These requirements are a major driver of the distribution and number of independent node validators, and can be a significant determinant of relative decentralization.
Aptos and Sui recognize that extensive hardware requirements can be a barrier to decentralization on a blockchain level, and both seek to lower this barrier by reducing hardware requirements. Sui in particular stands out, topping the list among major L1s:
Aptos and Sui were developed by some of the top engineers and product developers in the Web2 space. In addition, both chains have a range of cutting-edge features which we dive into in the report.
Both Aptos Labs and Mysten Labs (the team behind Sui) have raised sizeable amounts of capital from a well-capitalized investor base. With their extensive product experience, both chains are looking to increase crypto adoption globally and target the next billion users.
Check out the full report for a thorough look at the state of the current L1 market, a deep dive into Aptos and Sui and where they fit in, and a detailed analysis of the similarities and differences between the two projects.
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About Binance Research: Binance Research is the research arm of Binance, the world's leading cryptocurrency exchange. The team is committed to delivering objective, independent, and comprehensive analysis and aims to be the thought leader in the crypto space. Our analysts publish insightful thought pieces regularly on topics related but not limited to the crypto ecosystem, blockchain technologies, and the latest market themes.
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