Decentraland Leads: There's Ways to Improve Blockchain for Use in Social VR

Last week in response to Adam Frisby's skepticism over blockchain as a payment solution for consumer services like social VR worlds, Philip Rosedale defended the use of blockchain for payments in High Fidelity. I also raised Adam's points with the lead developers of Decentraland, the ambitious, open standards-based social VR world project which raised $25 million in Ethereum last year -- here's their reply:

 "I generally agree with [Adam's] post," technical lead Esteban Ordano told me, "and it's indeed spot-on with regards to what the current deployed solutions have achieved. However, allow me to refute the point you make about the 'fast/decentralized/lowcost' compromise.'"

(He's referring to Adam's argument that "blockchain is caught between three competing objectives: fast, low-cost, and decentralized. It is not yet possible to make one chain that achieves all three.")

In contrast, says Ordano, "I'd argue you need to prove this theorem, or go into more detail to make a valid point. Decentralization doesn't mean 'everybody has all the data and archives on everything'. See the solutions under Path-Based Transactions (i.e., Lightning Network): While they maintain trust minimization (decentralization is just a way to achieve this end); PBTs are a fast and cost-effective way to conduct safe, verifiable and trust-minimized transactions."

To be sure, Decentraland still has a relatively small userbase, so the real stress tests have not yet begun. But Ari Meilich, Decentraland's project lead, tells me they're planning to introduce solutions in anticipation of that:

"We’re mainly looking at Cosmos and Plasma as scalability solutions," says Ari Meilich. "Also, if you look at our land auction, we crafted an off-chain but cryptographically secured solution that worked wonders."

Ari Meilich says this prevented purchasing delays during Decentraland's virtual land sales -- "[I]t was blazing fast."

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