Federated sharding is a system designed to improve scalability and performance by dividing a network into smaller, manageable pieces called shards. Each shard processes transactions and smart contracts independently, reducing the load on a central network.In a federated approach, a group of trusted nodes is responsible for managing these shards. This arrangement allows for quicker transaction confirmation and lower fees, as only a subset of nodes needs to validate transactions within a shard. Collaboration among shards can also occur, enabling interoperability and shared information.This method addresses challenges such as network congestion and slow transaction speeds. With federated sharding, scalability increases without compromising security, as a smaller number of trusted nodes handle the complexities of the blockchain. Overall, it seeks to enhance user experience by providing faster and more efficient processing while maintaining decentralization principles.