Metadata in Blockchain: Functionality and Limitations
-
Metadata in blockchain transactions provides additional information like timestamps, transaction details, links to external data, etc.
-
On-chain metadata is stored directly on the blockchain while off-chain metadata uses pointers to external storage.
-
Metadata enables diverse functions like supply chain tracking, digital identity, NFT details, automated smart contracts.
-
Challenges with metadata include scalability, privacy, and reliability of external data sources.
-
Solutions involve layer-2 scaling, encryption, multiple oracles, and careful system design.