This move is crucial in ensuring the stability of the decentralized finance (DeFi) sector, which relies heavily on Infura as its main access point to Ethereum. The partnerships are geared towards promoting decentralization on the network, which will help prevent any potential outages of Web3 services such as MetaMask's wallet service.
Infura Network Key Insights
- 18 tech giants including Microsoft are joining Infura Network.
- Need for decentralization stems from MetaMask outage.
According to Consensys senior product manager Andrew Breslin, the partnerships' importance lies not in the identity of the firms involved, but in their shared goal of decentralizing every aspect of the blockchain infrastructure stack by aligning with Infura. With a planned launch in Q4, the Decentralized Infura Network (DIN) offers a solution to the centralization problem faced by Infrua.
However, it is important to note that Consensys currently controls the network, leading to a single point of failure. Breslin stated that the expenses and intricacies associated with operating a service such as Infura restricted the potential partners for serving the traffic.
That being said, with the emergence of a vast and thriving ecosystem of Web3 infrastructure providers, there are now complementary services available to Infura. Breslin highlighted that the DIN introduces a significant feature known as "failover support" for both the Ethereum and Polygon networks. This support enables the rerouting of traffic to one or more DIN partners during an outage, ensuring improved uptime rates in the future.
Breslin also stated that with the launch of DIN, Ethereum's decentralized applications (DApps) will have access to more dependable and censorship-resistant since they will no longer be dependent on a single service provider located in a particular location. Consensys, the renowned blockchain software company, has created Infura, a comprehensive development suite that grants API access to both the Ethereum and IPFS networks. Currently, Infura serves as the primary gateway for numerous DApps seeking real-time on-chain data from the Ethereum blockchain.
Why the move to decentralize?
The centralization problem was brought to attention in November 2020 when the MetaMask wallet experienced a disruption in its services due to a temporary outage in Infura. This incident not only affected MetaMask but also impacted various centralized exchanges and DeFi projects. To ensure long-term censorship resistance, it is crucial to decentralize blockchain data providers on the Infura network.
Currently, centralized data providers are vulnerable to being shut down by a well-executed attack or legal action.
By decentralizing these providers, we can mitigate such risks and enhance the overall security and stability of the network. Breslin addressed the recently announced partners and emphasized that Infura is open to other dependable internet infrastructure providers joining the DIN. He stated that the current lineup is not final and that collaboration with more operators is crucial for the success of DIN.
The group of recently established firms is collaborating with Infura during what Breslin referred to as the "federated phase" of the DIN. This phase serves as a temporary trial period during which the network maintains a centralized structure. Breslin stated that Infura and these 18 partners are currently engaged in this federated phase of the DIN, operating as equal partners.
Looking ahead, Breslin envisions the DIN being governed ideally as a decentralized autonomous organization or through another form of governance structure that guarantees each partner a democratically weighted influence over the network's direction.
What does the Infura Network do?
Infura offers a comprehensive solution to the challenges faced by blockchain developers. Here are a few instances: Blockchain applications often require connections to peer-to-peer networks, resulting in lengthy initialization periods. Syncing a node with the Ethereum blockchain can consume significant time, spanning hours or even days, while exceeding the anticipated bandwidth and storage requirements.
Storing the complete Ethereum blockchain can become financially burdensome, especially as you expand your infrastructure by adding more nodes. As your infrastructure grows in complexity, you may find it necessary to employ full-time site reliability engineers and DevOps teams to ensure its smooth operation.
Infura effectively addresses these issues by providing developers with the necessary infrastructure and tools to seamlessly connect to Ethereum and IPFS, enabling them to swiftly develop remarkable decentralized applications. No synchronization is needed, and complex setups are eliminated. Your decentralized app can be up and running in no time.
Who is Consensys?
ConsenSys, the foremost Ethereum software company, empowers developers, enterprises and individuals globally to construct cutting-edge applications, establish contemporary financial infrastructure and access the decentralized web. Their comprehensive product suite comprises of Infura, Quorum, Truffle, Codefi, MetaMask and Diligence.
Consensys products cater to millions of users, facilitate billions of blockchain-based queries and complete transactions worth billions of dollars in digital assets consistently. Ethereum, the largest programmable blockchain worldwide, leads in business adoption, developer community and DeFi activity. Leveraging this trusted and open-source foundation, they are actively constructing the digital economy of the future.