Review on Aeternity by Thomas Pfaff

Name: Aeternity
Item: Aeternity
Rating: 4

September 20, 2018

Aeternity solve this issue of privacy using state channels. Transactions on…

Aeternity solve this issue of privacy using state channels. Transactions on Ethereum takes time due to congestion on blockchain and it’s worse in case of Bitcoin. Aeternity is lightning fast thanks to the use of state channels.
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Pros

State channels are based on the concept that only stakeholders involved in the smart contract should know the about details. Parties lock a state on the blockchain and perform transactions between themselves, off-chain. The final state is then logged on the blockchain.

Cons

As State Channels are mostly off-chain giving advantages like improved scalability, since most of the computation is done off-chain, and enhanced privacy since details of transactions are known to involved parties only. In Ethereum, if you know any Ethereum address, you can see the history of past transactions and details of contract using blockchain explorers like Etherscan.io.