0(1) Labs Secures $15 Million Funding to Expand Coda

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One of the most ambitious projects in the blockchain space has just secured $15 million in a funding round led by the likes of Paradigm, Coinbase Ventures, and Polychain Capital. 0(1) Labs is working on creating Coda, a fixed-size blockchain that will permanently remain at a tiny 22kB – it’s to say that this project is generating major buzz. Coda promises to be the future of blockchain technology and if all goes to plan it could quickly become the protocol of choice for any dApp developer thanks to its unique properties

Energy Efficient Consensus

Eco-warriors harp on about how Bitcoin is fueling global warmingdespite that being factually incorrect – but Coda is promising to make those claims a thing of the past. Proof of Work (PoW) blockchains like Bitcoin and Litecoin consume an estimated $2.5 billion in power annually, whereas – when processing the same amount of transactions per second (TPS) – Coda will only cost $2.4 million annually in power consumption. This is thanks to a process called “Snarking”, which compresses the blockchain to the smallest possible size by removing unnecessary data. On top of this, Coda user notes run at a max size of 22kB with staking nodes using up to 1GB of storage. Compared to traditional blockchains surpassing the 2TB mark, the data quickly stacks up for Coda’s supremacy.

Snarking on Bitcoin?

It comes as no surprise that Coda can handle far more TPS than Bitcoin ever will on-chain, but what about if Bitcoin started using “Snarking” to compress its size and become faster? In fact, a developer is working on creating a recursive zero-knowledge proof (zk-proof) system that borrows heavily from Coda to help improve the Bitcoin blockchain. It will compress the entire blockchain down to a few megabytes and help it become incredibly scalable. However, Bitcoin would need to hard fork in order to push such a system live, and it’s a very long way off from being ready for deployment.

The work 0(1) Labs is doing with its Coda protocol has the potential to change the blockchain world in so many ways – to the point where it looks like it will be the future of blockchain technology. When Coda goes into mainnet deployment, we will see blockchain platforms looking to utilize the technology to become more scalable. This new funding round will be critical in ensuring the project continues its work in making blockchains more scalable and eco-friendly.