Blockchain technology has powered the usage of cryptocurrencies and other decentralized applications. Blockchain refers to the digital record of transactions that are distributed across a wide network of computers. Individual transactions in blockchain are called blocks that are assembled in a chain-like pattern.
The latest trend and development in the blockchain universe is due to the trading of collectibles through Non-fungible token development services. However, the Flow blockchain has proven to be the most reliable platform for NFTs, while Ethereum stands as the center of blockchain platforms used by many developers.
To understand the difference between blockchain technologies, let us compare both Flow Blockchain and Ethereum to know which is the best for NFT development.
Ethereum has helped in the digitization of valuable assets other than cryptocurrency. It is also used for currency exchange. Ethereum stands as the best-suited blockchain platform for the development of various decentralized apps and NFTs. Ethereum is rapidly evolving as an ideal platform for the development of many blockchain endeavors.
Flow Blockchain was launched back in 2020 and developed at Dapper Labs by the inventors of the CryptoKitties game. It is also said to be a successor of Ethereum. Flow blockchain technology was developed to create a blockchain platform for fitting billions of users of various decentralized apps. It is a fast and enhanced NFT development platform for creating NFTs.
Flow blockchain deals in its currency called FLOW which is a reserve asset used for paying transaction costs. Flow makes use of Cadence, its resource-oriented programming language, for the development of smart contracts. The Flow blockchain features have a strong static system and capability-based security.
Best choice for NFT development – Flow Blockchain vs. Ethereum
While Flow is emerging as suitable blockchain technology for NFT development, Ethereum still tops the list of popularity for the development of decentralized apps and NFTs. Let’s summarize the differences between Ethereum and Flow blockchain to determine which is the best blockchain technology.
The scalability of Ethereum offers a throughput of only 13-15 transactions per second which is inadequate for large-scale use. CryptoKitties game developers rose to prominent fame and success, due to which Ethereum couldn’t handle the huge inflow of users. Hence, Ethereum becomes incapable of managing large-scale transactions.
In Flow blockchain, the problem of scalability was improved by developing highly scalable DApps with top security that maintained decentralization. The multi-node architecture of Flow blockchain makes it an ideal blockchain technology over Ethereum. The Execution and Collection nodes of the Flow blockchain are enforced to improve network connectivity and perform complex calculations associated with various transactions.
- Transaction Cost:
Every NFT token development company must consider the transaction fees before choosing a blockchain technology for NFT development. Ethereum users have to pay Gas fees for the successful execution of smart contracts and making transactions. Gas fees are usually paid based on the complexity of the contract and network traffic. These are paid by Ethereum’s cryptocurrency ETH having an average price of $20. However, the gas fees may also differ.
Flow blockchain developers didn’t find the gas fees to be ideal. Hence, they tried to improve and lower the cost of gas fees on their blockchain platform. For account creation, the transaction fees start at 0.001 FLOW ($0.03 approximately), and the transaction fees are about 0.00001 FLOW. Account creation fees are taken when a new account is created, and transaction fees are charged per transaction.
- Smart Contracts:
Ethereum blockchain stands as the leading blockchain technology for establishing smart contracts known for their immutability. Ethereum smart contract transactions cannot be changed after execution which increases its trust and security options. Each transaction is recorded and documented precisely on the blockchain. However, Ethereum is directly linked with smart contracts making it the top blockchain technology platform for the development of NFTs.
Flow blockchain technology releases smart contracts in a beta state for enabling the author to update codes stepwise. Then, the users can use the code or wait till it is completely updated. The smart contract becomes immutable once the codes are ensured to be safe. Flow blockchain technology updates and optimizes smart contracts with flexibility.
- Consensus Mechanism:
An experienced NFT development company usually looks for blockchain technologies that work according to a well-organized consensus mechanism. Ethereum uses a proof-of-work (PoW) mechanism for tracking the number of blocks created by miners. Miners who can solve cryptographic issues quicker solidify cryptographic connections between blocks and share new blocks with the network to receive Ether (ETH).
PoW requires high energy. Hence the Proof of Stake (PoS) mechanism is used to validate ETH for contributing to transaction verification, which reduces gas charges and deducts energy usage. Ethereum has not yet implemented the PoW consensus mechanism, which increases Ethereum’s scalability problems.
The Flow blockchain technology operates on a PoS consensus mechanism. The PoS consensus algorithm in Flow blockchain provides users with tremendous profit outputs. The HotStuff consensus algorithm running on the Flow blockchain is developed by VMware Research. Flow blockchain serves as the best alternative to develop and launch NFT token projects and services.
- Account Model:
An Ethereum account is created using private 64 hexadecimal numbers. After a successful generation of the private key, mathematical calculations are performed to derive the public key, which is then solved to obtain a valid address. This process is complex and one-way. In Ethereum, individual accounts can deploy smart contracts, and they do not have private keys.
However, the Flow blockchain accounts are built automatically, which supports multiple public keys. The public and private keys are developed by the Elliptic Curve Digital Algorithm (ECDSA), which constructs elliptic curve cryptography used in the parameters of Bitcoin’s public key. Transactions are transferred to the Flow blockchain, and new account storage is initiated along with assigned keys. Flow blockchain accounts can deploy multiple smart contracts.
Ethereum and Flow blockchain technology platforms are ideal for the development of various decentralized applications and NFTs. The NFT development services provided by Flow and Ethereum are unique. However, in the case of NFT development, both platforms have pros and cons, which can be taken into consideration for choosing the best blockchain technology.