Blockchains vs Directed Acrylic Graphs (DAG)

[Abiky]

Most cryptocurrencies we know and love today rely on Bitcoin's tried-and-tested blockchain technology. There are a new series of cryptocurrencies which claim to be "the next generation of Blockchain tech". They use a different model which focuses on scalability above all else. Projects like Constellation, IOTA, NANO, and Hedera Hashgraph make use of a Directed Acrylic Graph (also known as a DAG) for high-performance transactions at a fraction of the cost. The experience is at a whole new level, since transactions settle instantaneously on the ledger at virtually no cost. This makes "De-Fi" extremely versatile on DAG-based cryptocurrency networks.

Now the question is, which technology is better? Is it Blockchain technology or Directed Acrylic Graph? Do you think DAGs will replace traditional Blockchain networks in the future (with the exception of Bitcoin)? If not, why? Will a DAG achieve the same level of security/reliability as a Blockchain? Or does it have a long way to go? Your input will be greatly appreciated. Thanks in advance.

[WalkerIVIV]

Now the question is, which technology is better? Is it Blockchain technology or Directed Acrylic Graph? Do you think DAGs will replace traditional Blockchain networks in the future (with the exception of Bitcoin)? If not, why? Will a DAG achieve the same level of security/reliability as a Blockchain? Or does it have a long way to go? Your input will be greatly appreciated. Thanks in advance.

Blockchain is far better than DAG, if DAG was offering almost zero transaction and blockchain can also do that. There are lots of scalable platform now.
DAG will never able to replace blockchain and it will never have a reliable security since the security of blockchain came from the decentralization while DAG is truly centralized mechanism.


Blockchain is winning in various aspects.

[Abiky]

Blockchain is far better than DAG, if DAG was offering almost zero transaction and blockchain can also do that. There are lots of scalable platform now.
DAG will never able to replace blockchain and it will never have a reliable security since the security of blockchain came from the decentralization while DAG is truly centralized mechanism.


Blockchain is winning in various aspects.

Security and reliability is what matters most. While DAGs have higher performance than a Blockchain, they often face security issues and a higher level of centralization. Maybe the technology will improve as time goes by? Until then, Blockchain technology is the best choice for a truly decentralized payments network focused on security and reliability above all else. I guess most cryptocurrencies are blockchain-based, because developers know the importance of decentralization. We're going to have to see if DAG-based cryptocurrencies will stand the test of time. Coins like HBAR, IOTA, NANO, and DAG (Constellation) are quite useful for micropayments but they're terrible as a reliable store of value. I'm hoping DAG's issues are remediated over the long term, making it a better alternative to Blockchain technology.

Nonetheless, no one can predict what will happen in the future. It looks that Blockchain will be here to stay for a long time, as Bitcoin is the most widely successful application of such technology. With DAG-based cryptocurrencies, that's another story. So far, there are only a few coins which make use of a DAG making them a very small minority on the market. Time will tell us whenever the new technology will become a widespread success or a failed experiment in the long run. Just my thoughts

[Ucy]

I think a good cryptocurrency system/tech should achieve those things you mentioned without sacrificing on decentralization, transparency, immutablity, censorship resistant, permissionless/trustlessness, privacy/anonymity, security... The ability of most/all participants to easily download/run full nodes, control their coins and take part in full network consensus shouldn't be denied them.

If DAG meets most of this basic standards, it could well be a better alternative to old Blockchain.

[Clown182]

I think a good cryptocurrency system/tech should achieve those things you mentioned without sacrificing on decentralization, transparency, immutablity, censorship resistant, permissionless/trustlessness, privacy/anonymity, security... The ability of most/all participants to easily download/run full nodes, control their coins and take part in full network consensus shouldn't be denied them.

[Blitzboy]

Up to now, blockchain still performs very well, and it is hard to be replaced by another technology. Once it is adopted widely, there will be chances for people to learn more about other technologies such as DAG. As you can see, blockchain contains many useful advantages such as decentralization, anonymity, transparency as well as fast and secure. If another technology, such as DAG, proves that it has all of these elements and can even perform better, the community will decide to make more investment on DAG

[SquirrelJulietGarden]

Projects like Constellation, IOTA, NANO, and Hedera Hashgraph make use of a Directed Acrylic Graph (also known as a DAG) for high-performance transactions at a fraction of the cost. The experience is at a whole new level, since transactions settle instantaneously on the ledger at virtually no cost. This makes "De-Fi" extremely versatile on DAG-based cryptocurrency networks.

DAG algorithm is used by Obyte project. I don't know which project is the pioneer of this algorithm but Obyte is a good one.

Do you forget Obyte when you make that list?

Now the question is, which technology is better? Is it Blockchain technology or Directed Acrylic Graph? Do you think DAGs will replace traditional Blockchain networks in the future (with the exception of Bitcoin)? If not, why? Will a DAG achieve the same level of security/reliability as a Blockchain? Or does it have a long way to go? Your input will be greatly appreciated. Thanks in advance.

I think the DAG algorithm is good and it can be one of very promising technical solution to avoid network congestion. I don't believe this algorithm and network uses it will have worse security or reliability than bitcoin network or Ethereum network.

Many years but cryptocurrencies with DAG algorithm don't have good adoption and growth but they will. They are better than shit DeFi tokens that are trading and changing hands with values of 2 or 3 figures of dollars.

[Abiky]

I think a good cryptocurrency system/tech should achieve those things you mentioned without sacrificing on decentralization, transparency, immutablity, censorship resistant, permissionless/trustlessness, privacy/anonymity, security... The ability of most/all participants to easily download/run full nodes, control their coins and take part in full network consensus shouldn't be denied them.

If DAG meets most of this basic standards, it could well be a better alternative to old Blockchain.

Exactly. Without decentralization/censorship-resistance, DAGs will only become another banking system that's destined to failure. It's always been about eliminating the middleman whenever possible. Blockchain technology has been a widespread success because of its decentralized and censorship-resistant design. I haven't heard about DAGs providing this yet. Some time ago, the IOTA Network experienced a downtime where people were unable to send/receive coins for a certain period of time. The IOTA coordinator when down, effectively taking the entire network with it. That's the single point of failure Blockchain technology was meant to avoid in the first place. A cryptocurrency should be able to run 24/7 regardless of what happens with a single node on the network. This brings secure, and reliable payments to all. As long as DAGs remain relatively unstable, they won't be able to replace Blockchain technology anytime soon.

Nonetheless, the world evolves at a fast pace. My guess is that DAG-based networks will continue to evolve until they become stable enough for mainstream use. While I don't think DAGs will match the level of security/reliability/censorship-resistance as an ordinary Blockchain network, they will serve as a alternative for people who need instant payments at a fraction of the cost. Businesses and companies can use DAG-based cryptocurrencies for micropayments, while Blockchain-based cryptocurrencies can be used for more serious applications like store of value or smart contracts. Each network model has its own advantages/disadvantages so it's probable none will replace each other in the future. Time will tell us whenever DAGs become successful or a failed experiment in the mainstream world. Just my thoughts