MultiversX, formerly known as Elrond, is a high-performance blockchain platform designed to power the next generation of decentralized applications (dApps), smart contracts, and digital economies. With its native token EGLD—originally standing for Electronic Gold—the network has emerged as a strong competitor in the rapidly evolving blockchain space. Built on innovative technology like sharding and Secure Proof-of-Stake (SPoS), MultiversX delivers exceptional transaction speed, scalability, and energy efficiency.
This article explores the core mechanics of MultiversX, analyzes the performance and economics of EGLD, and explains why this blockchain is gaining traction among developers and investors alike.
Understanding MultiversX: A Scalable Blockchain for the Future
At its foundation, MultiversX (EGLD) is a decentralized protocol engineered to solve one of the most persistent challenges in blockchain: scalability. Traditional blockchains like Bitcoin and even early versions of Ethereum struggle with slow transaction speeds and high fees during peak usage. MultiversX addresses this by implementing sharding, a technique that splits the network into smaller, parallel-processing units called shards.
Each shard processes its own transactions, smart contracts, and data, enabling the network to handle up to 15,000 transactions per second (TPS) with finality in under 6 seconds. This level of throughput rivals centralized payment systems like Visa while maintaining full decentralization and security.
👉 Discover how high-speed blockchains are reshaping digital finance.
The Role of Secure Proof-of-Stake (SPoS)
Unlike proof-of-work blockchains that rely on energy-intensive mining, MultiversX uses Secure Proof-of-Stake (SPoS) as its consensus mechanism. Validators are chosen based on their stake in EGLD tokens and a reputation score, ensuring both fairness and resistance to attacks.
What sets SPoS apart is its randomized validator selection. Instead of simply favoring those with the largest stakes, the system introduces randomness to prevent centralization and ensure equitable participation. This makes the network not only fast but also secure and decentralized.
Validators must stake at least 2,500 EGLD to run a node. Users who don’t meet this threshold can still participate in staking by delegating their tokens to existing validators through the Maiar wallet, earning rewards in return—typically between 10% and 20% annually, depending on network conditions.
Key Features That Set MultiversX Apart
1. Sharding Architecture
Sharding divides the network into three main components:
- Transaction Shards: Handle user transactions.
- Smart Contract Shards: Execute dApp logic.
- Meta Shard: Coordinates communication across all shards.
This parallel processing model drastically improves efficiency and allows the network to scale seamlessly as demand grows.
2. Low-Cost Transactions
With average fees around $0.001 per transaction, MultiversX offers one of the most cost-effective environments for developers and users. This makes it ideal for microtransactions, DeFi applications, NFT marketplaces, and IoT integrations.
3. Eco-Friendly Design
By eliminating mining and using an energy-efficient consensus model, MultiversX consumes minimal electricity—making it a sustainable choice in an industry often criticized for environmental impact.
EGLD Tokenomics: Scarcity Meets Utility
EGLD is the native cryptocurrency of the MultiversX ecosystem. It serves multiple critical functions:
- Paying transaction fees
- Staking to secure the network
- Participating in governance
- Deploying smart contracts and dApps
One of EGLD’s most compelling features is its deflationary supply model. The total supply is capped at 31.42 million tokens, a number inspired by mathematical constants (π × 10 million). This scarcity—similar to Bitcoin’s 21 million cap—helps preserve value over time.
As of now, over 25 million EGLD are already in circulation, with new emissions decreasing gradually due to staking rewards and fee burn mechanisms. Every transaction fee is partially burned, reducing the overall supply and increasing scarcity—a powerful driver of long-term value.
👉 Learn how token scarcity influences crypto investment potential.
Market Performance and Adoption Trends
While cryptocurrency prices are inherently volatile, EGLD has shown strong resilience and growth potential since its mainnet launch in July 2020. Developed by Romanian entrepreneurs Benjamin and Lucian Mincu along with Lucian Todea, MultiversX stands out as one of the few major blockchain projects originating outside Western Europe and North America.
The project’s most notable application is Maiar, a user-friendly digital wallet that simplifies crypto adoption. Think of it as a fusion between a traditional banking app and a Web3 gateway—supporting instant payments, group funding ("pots"), and direct access to DeFi services—all with near-zero fees.
Maiar has played a crucial role in expanding MultiversX’s real-world utility, particularly in emerging markets where financial inclusion remains a challenge.
Where to Trade EGLD: Top Exchanges
EGLD is listed on several leading cryptocurrency exchanges, offering high liquidity and tight spreads. While specific trading pairs vary, the most common include EGLD/USDT, EGLD/USDC, and EGLD/KRW.
Some of the top platforms where EGLD is actively traded include:
- Binance
- HTX (formerly Huobi)
- MEXC
- OKX
- Bybit
- Upbit
These exchanges provide robust trading infrastructure with deep order books and strong security measures. Traders should prioritize platforms with high trading volume and regulatory compliance to ensure smooth execution.
👉 Compare real-time EGLD trading options across secure platforms.
Frequently Asked Questions (FAQ)
What is MultiversX (EGLD)?
MultiversX is a high-performance blockchain platform designed for scalability, speed, and low-cost transactions. Formerly known as Elrond, it uses sharding and Secure Proof-of-Stake (SPoS) to support up to 15,000 TPS with minimal fees.
How does sharding work on MultiversX?
Sharding divides the network into smaller segments—transaction shards, smart contract shards, and a meta shard—that process data in parallel. This allows the network to scale efficiently without sacrificing security or decentralization.
Can I mine EGLD?
No, EGLD cannot be mined because MultiversX uses a proof-of-stake model. However, you can earn rewards through staking by either running a validator node (minimum 2,500 EGLD) or delegating your tokens via the Maiar wallet.
Is EGLD a good investment?
EGLD offers strong fundamentals including limited supply (31.42 million), real-world utility, low transaction costs, and growing ecosystem adoption. However, like all cryptocurrencies, it carries volatility risk and should be evaluated within a diversified portfolio.
What is the purpose of the Maiar wallet?
Maiar is a non-custodial wallet developed by MultiversX that enables fast, secure transactions and access to DeFi apps. It aims to make cryptocurrency accessible to mainstream users with features like social login and instant payments.
How does MultiversX compare to Ethereum or Solana?
Compared to Ethereum, MultiversX offers faster speeds and lower fees—especially pre-Ethereum 2.0 upgrades. Against Solana, it emphasizes greater decentralization and stability without sacrificing performance.
Final Thoughts
MultiversX represents a bold step forward in blockchain evolution. By combining cutting-edge sharding technology with an efficient consensus mechanism and a deflationary token model, it offers a compelling alternative to legacy networks.
For developers building scalable dApps, investors seeking exposure to innovative blockchain projects, or everyday users looking for affordable digital transactions, EGLD presents a versatile and future-ready solution.
As adoption grows through tools like Maiar and expanding DeFi integrations, MultiversX is well-positioned to play a pivotal role in shaping the decentralized internet of tomorrow.