NEAR Protocol is software that encourages a network of computers to run a platform for developing decentralized apps.
NEAR Protocol's design centers on sharding, a procedure that splits the network's infrastructure into segments such that nodes only handle a fraction of the network's transactions.
Sharding is supposed to enable a more effective way to collect network data and extend the platform by dividing the blockchain into shards.
NEAR works like Amazon Web Services (AWS), a centralized data storage solution that serves as an application's base layer. Instead of a single organism, a network of computers runs NEAR.
NEAR Protocol permits a comparable architecture built around a network of computers and its native cryptocurrency, the NEAR token.
NEAR Protocol is a Proof of Stake (PoS) blockchain with a sharding solution called Nightshade.
Nightshade
Sharding is a blockchain architecture that allows each node to only store a fraction of the platform's data. Sharding should allow for more transactions per second and lower transaction fees.
Nightshade allows NEAR Protocol to maintain a single data chain while distributing computing into "chunks." Nodes process these chunks and add them to the main chain.
Nightshade's architecture reduces potential security failure points because nodes only maintain small sections of the chain.
Rainbow Bridge
Rainbow Bridge is an NEAR Protocol app that allows easy Ethereum-to-NEAR token transfers.
A user would deposit Ethereum tokens in an Ethereum smart contract to move them to NEAR Protocol. On the NEAR platform, new tokens representing the originals are created.
Because the original funds are stored by the smart contract, the process can be reversed.
Aurora
Aurora is a Layer 2 scaling solution built on NEAR Protocol for Ethereum developers.
Aurora uses Ethereum's coding technology, the Ethereum Virtual Machine (EVM), and a cross-chain bridge to link smart contracts and assets.
Aurora combines NEAR Protocol's low fees and high throughput with Ethereum's familiarity and application network.
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