CSP DAO Project Review: Shardeum

CSP DAO
6 min readOct 10, 2022

Shardeum is an Ethereum Virtual Machine (EVM) compatible, smart contract platform that uses dynamic state sharding to linearly scale while maintaining true decentralization and solid security. Through this sharding method, the network increases througput — transactions per second (TPS) — with the addition of every new node. This enables the network to have lesser and constant transaction fees forever asides from infinite scalability.

The project offers the best user experience and long term sustainability of any layer-one smart contract platform to users through its unique features such as linear scaling, node rotation, load detection, and auto-scaling. Shardeum intends to incentivize ecosystem projects to build innovative new applications on the platform, develop layer-two solutions to further increase transaction throughput, as well as create decentralized bridges to enable the transfer of assets between Shardeum and other networks.

Shardeum’s mission is to onboard over a billion people to Web 3.0. The platform houses content creators, digital marketers, designers, technologists, cypherpunks and Web 3.0 enthusiasts. In the effort to provide a truly decentralized network that connects billions of unserved, underserved and ordinary people across the world, Shardeum incorporates an Open, Collaborative, and Community-driven approach.

HOW SHARDEUM NETWORK FUNCTIONS

Added to the Shardeum’s unique technology is a unique consensus algorithm that combines Proof-of-Quorum (PoQ) with Proof-of-Stake (PoS). The consensus algorithms help to secure the network through a trustless collection of votes and staking by validator nodes. Every transaction in the network is processed as received before being grouped into blocks/partitions.

The network’s consensus mechanism allows transactions to be processed simultaneously across shards rather than consecutively as with block level consensus. Consensus (security) among unrelated node operators is done and reached at a transaction level instead of block level which is the case with existing blockchains. Unlike other block level consensus platforms, this mechanism eliminates the difficult process involved in ensuring atomic processing. This way, immediate finality and low latency which prevents network congestion is achieved.

KEY FEATURES

  • EVM-based layer 1 blockchain
  • Linear scalability & low gas forever
  • Anyone can operate a node
  • Immediate finality & low latency
  • Solid security
  • High fairness & energy efficiency

COMPETITORS COMPARISON

From this comparison, it is clear that Shardeum offers groundbreaking features that are missing in other sharded networks. One of the key features is the use of archive nodes to offload historical transaction data from validator nodes. As such, the validator nodes only have to store the state data and require much less time to join the network. Thus, more regular users are able to run validators and increase the level of decentralization.

SHARDEUM PROJECTS

  1. DEXPAD: This is the most advanced decentralized launchpad protocol that allows anyone to Mint, Airdrop, Launch and Lock their tokens seamlessly without any coding required

2. SHARDEUMSWAP: ShardeumSwap (SSwap), the first Dapp on Shardeum ecosystem is a decentralized exchange (DEx) that’s specifically designed to provide a secure platform to its users for trading in cryptocurrencies.

3. SHARDEUM USERNAME NFT: This allows anyone to register a web3 username NFT on shardeum blockchain.

4. SHARDIAN BOSS BABY NFT COLLECTION: This is a collection of 5555 randomly generated portraits curated NFTs that exist on the Shardeum Blockchain. NFT holders are granted exclusive access to events like NFT claims, raffles, community giveaways, and more.

5. DISPERSE SHARDEUM: This decentralized app allows users to send SHM and thousands of shardeum tokens to various addresses efficiently in one transaction This tool enables users to save time by automatically generating transactions on MetaMask.

6. SPIRIYO: NFT Marketplace

TOKEN UTILITY

The utility coin of the Shardeum network is called Shard with a ticker symbol of SHM. The coin is used for various activities in the ecosystem such as payment for gas fees associated with executing transfer transactions and smart contract execution on the Shardeum network. $SHM will be mined by validators, archive and standby nodes as reward for providing resources to the network.

SHARDEUM TOKENOMICS

Max supply: 508M $SHM

$SHM Distribution:

  • 51% Community (259.08M) — reward to nodes; validators, archive and standby servers
  • 18% Sale (91.44M) — 3 month cliff then 2 years linear vesting
  • 15% Team (76.20M) — 3 month cliff then 2 years linear vesting
  • 11% Foundation (55.88M) — unlocked at Token Generation Event (TGE)
  • 5% Ecosystem (25.40M) — unlocked at TGE

Airdrops and node mining will be available for the community. Additionally, the long term goal of the project is to transition Shardeum into a DAO.

USE OF FUNDS

Marketing — 35%

Product, Tech & Design — 30%

Research — 5%

Ecosystem, Bus Dev — 10%

Operations — 10%

HR, Finance, Legal — 10%

SHARDEUM GROWTH STRATEGY

  • Target Indian and emerging markets
  • Target developers of EVM based applications
  • Grants for developers
  • Global ambassador program and event marketing
  • Measurable and optimized digital marketing
  • Win on UX

The Shardeum foundation established as an autonomous legal entity in Switzerland, governed by the initial board of the foundation eventually transitioning to a DAO will facilitate the development, deployment and marketing of the Shardeum blockchain and also promote the Shardeum ecosystem by enabling community-driven innovation partnered with one of Switzerland’s top-tier law firms for legal, tax and compliance advisory.

ROADMAP

Q1 2022

Initial Testing

  • Shardeum Foundation structured in Switzerland
  • Shardeum MVP Demonstrated
  • GitHub Setup
  • Litepaper Published
  • Internal Security Audit

Q2 2022

  • Private Sale
  • External Security Audit

ALPHANET PHASE 1

  • Send transactions
  • Deploy smart contracts
  • 30 node unsharded network operated by Shardeum. 20 validator nodes, 10 standby nodes and 5 archive nodes.
  • Rotation of standby and validator nodes
  • Faucet to distribute SHM

ALPHANET PHASE 2

  • 120 node sharded network operated by Shardeum. 100 validator nodes and 20 standby nodes. 5 archive nodes.
  • Shard size of 20 nodes. Only support EIP2930 transactions

Q3 2022

  • Bug Bounty

Q4 2022

BETANET PHASE 1

  • Community can operate nodes
  • 250 minimum node sharded network. Shard size of 50 nodes. Supports non-EIP 2930 transactions. 10 archive nodes.

BETANET PHASE 2

  • 1280 minimum node sharded network. Shard size of 128 nodes
  • Aiming for 200 TPS

Q1 2023

  • Shardeum mainnet launch
  • SHM issued

SHARDEUM FUTURE PLANS

  • Acquire a large user base in countries such as India, Brazil & Nigeria where blockchains are primarily used for Gaming & P2P transfers as a result of its low transaction fees and immediate finality.
  • The project aims to achieve further growth as an EVM compatible chain in countries such as North America and Europe where DeFi is gaining traction with substantial crypto usage.
  • Creating a scalable and interoperable blockchain enabling developers and users to collaborate across chains capturing the bulk of the ecosystem.

LINKS

Official website: https://shardeum.org/

Telegram: https://telegram.me/shardeum

Twitter: https://twitter.com/shardeum

Discord: https://shardeum.org/community/

⚡️CSP DAO Chat Room: https://t.me/CSPDAO_CHAT

🏆 CSP DAO Announcement Channel: https://t.me/joinchat/AAAAAESl56FZJlJjcyKbuw

🌎 Website: https://cspdao.network/

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