MultiversX

Introduction to MultiversX

MultiversX, formerly known as Elrond, is a high-throughput blockchain that implements adaptive state sharding to achieve remarkable scalability. The network can theoretically process hundreds of thousands of transactions per second while maintaining decentralization—a claim backed by sophisticated technical architecture rather than just marketing.

The rebrand from Elrond to MultiversX in 2022 signaled expanded ambitions beyond just being a fast blockchain. The project now positions itself as infrastructure for the metaverse, with products spanning payments (xMoney), identity (xPortal), and digital experiences.

How MultiversX Works

Adaptive State Sharding

Scalability approach:

• Network divided into shards
• Parallel transaction processing
• Dynamic shard adjustment
• State, network, and transaction sharding

Secure Proof of Stake

Consensus mechanism:

• Random validator selection
• BLS multi-signatures
• Economic security
• Fast finality

Architecture

Technical design:

• Multiple shards + metachain
• Cross-shard communication
• Smart contract sharding
• Automatic rebalancing

Technical Specifications

Metric	Value
Block Time	6 seconds
Finality	~6 seconds
TPS	15,000+ per shard
Shards	3 active + metachain
Consensus	SPoS
Smart Contracts	WASM-based

The EGLD Token

Utility

EGLD serves multiple purposes:

• Staking: Network security
• Gas Fees: Transaction costs
• Governance: Protocol decisions
• Payments: xMoney integration

Tokenomics

Supply dynamics:

• Fixed max supply (31.4M)
• Low inflation
• Staking rewards
• Economic sustainability

Staking Economics

Validator participation:

• 2,500 EGLD minimum
• Delegation pools
• ~8-10% APY
• Secure staking

Sharding Explained

Why Sharding

Scalability solution:

• Parallel processing
• Linear scaling
• State distribution
• Throughput multiplication

MultiversX Implementation

Technical approach:

• Three execution shards
• One coordination shard (metachain)
• Cross-shard transactions
• Atomic composability challenges

Trade-offs

Sharding complexities:

• Cross-shard latency
• State fragmentation
• Complexity increase
• Composability considerations

Product Ecosystem

xPortal

Super app:

• Wallet functionality
• Payments
• Debit card
• Social features

xMoney

Payment solution:

• Merchant processing
• Card payments
• Fiat on/off ramps
• Business tools

xExchange

Native DEX:

• Automated market maker
• Liquidity mining
• Token launches
• MEX governance token

Smart Contracts

WASM Virtual Machine

Execution environment:

• WebAssembly based
• High performance
• Multiple language support
• Rust primary

Developer Experience

Building on MultiversX:

• Rust SDK
• JavaScript SDK
• IDE plugins
• Testing frameworks

Competition and Positioning

vs. Other High-Performance L1s

Chain	TPS Claim	Approach
MultiversX	15,000+/shard	Sharding
Solana	65,000	Single-shard
Aptos	160,000	Block-STM
Sui	120,000	Object model

MultiversX Differentiation

Key advantages:

• Proven sharding
• Economic sustainability
• Product focus
• European presence

European Focus

Geographic Strategy

Regional positioning:

• Romanian headquarters
• European partnerships
• Regulatory engagement
• Local compliance

Institutional Relationships

Business development:

• European banks
• Payment processors
• Government engagement
• Enterprise clients

Metaverse Pivot

Rebrand Rationale

From Elrond to MultiversX:

• Broader vision signaling
• Metaverse positioning
• Product expansion
• Brand modernization

Metaverse Products

Digital experience:

• xPortal app
• NFT integration
• Identity solutions
• Virtual experiences

Challenges and Criticism

Ecosystem Size

Adoption concerns:

• Smaller DeFi ecosystem
• Limited developer activity
• Network effect challenges
• Competition from larger chains

Marketing vs. Substance

Perception issues:

• Heavy marketing spend
• Technical claims scrutiny
• Hype management
• Delivery expectations

Sharding Complexity

Technical challenges:

• Cross-shard composability
• Developer complexity
• Limited shard scaling currently
• State rent considerations

Recent Developments

Product Launches

Ecosystem growth:

• xPortal features
• xMoney expansion
• Partnership announcements
• Technical upgrades

Network Statistics

Growth metrics:

• Transaction volume
• Active addresses
• Staking participation
• Developer activity

Future Roadmap

Development priorities:

• Scalability: More shards
• Products: xPortal expansion
• Payments: xMoney growth
• Developer: Better tooling
• Enterprise: Institutional adoption

Conclusion

MultiversX represents one of the more technically sophisticated attempts at blockchain scalability through sharding. The architecture delivers on performance claims, and the product focus through xPortal and xMoney differentiates from pure infrastructure plays.

The challenge remains ecosystem growth—technical capability means little without applications and users. The European focus provides regulatory clarity but potentially limits global reach. The rebrand to MultiversX attempted to capture metaverse excitement, though execution must match ambition.

For developers seeking a high-performance chain with proven sharding and for users wanting integrated financial products, MultiversX offers genuine technical innovation—though building network effects against larger ecosystems remains the core challenge.