Elastic Sharding Protocol is a method used to improve scalability in blockchain networks. It divides the network into smaller, more manageable pieces called shards, which can process transactions independently. This allows the overall system to handle more transactions at once, reducing congestion.The term “elastic” refers to the protocol’s ability to dynamically adjust the number of shards based on network demand. When demand increases, additional shards can be created to accommodate the higher transaction volume. Conversely, when demand decreases, unnecessary shards can be reduced, optimizing resources and maintaining efficiency.This approach enhances performance by distributing workloads across multiple shards, enabling parallel processing. It addresses common scalability issues, making it easier for blockchain networks to grow and adapt to varying levels of usage. By implementing Elastic Sharding, networks can ensure faster transaction processing times and a smoother experience for users.