# Key Features

## Secure, Random State Sharding

Harmony has transcended the blockchain trilemma by bringing the best research to production. Sharding is proven to *scale* blockchains without compromising *security* and *decentralization*.

We divide not only our network nodes but also the *blockchain states* into shards, scaling linearly in all three aspects of machines, transactions and storages.

To prevent single shard attacks, we must have a sufficiently large number of nodes per shard and cryptographic randomness to re-shard regularly. Each shard has 1/4 of nodes for strong security guarantee against Byzantine behaviors. We use Verifiable Random Function (VRF) for un-biased and unpredictable shard membership.

## Fast Consensus w/ Instant Finality

Harmony has innovated on the battle-tested Practical Byzantine Fault Tolerance (PBFT) for fast consensus of block transactions. Our Fast BFT (FBFT) leads to low transaction fees and 1-block-time finality in Harmony Mainnet.

We use Boneh–Lynn–Shacham (BLS) constant-sized signatures to commit blocks in a single round of consensus messages. We achieve 2-second block time with *view changes in production* against adversarial or unavailable leaders.

Harmony Mainnet was launched in June 2019. Our network has produced 30M+ blocks with 450k+ transactions in *publicly traded, native* ONE tokens.

## Effective PoS & Token Economics

Harmony has designed a novel Proof-of-Stake (PoS) mechanism for network security and economics. Our Effective Proof-of-Stake (EPoS) reduces centralization and *distributes rewards fairly* to thousands of validators.

Our staking mechanism supports delegation and reward compounding. To support 100% uptime but fully open participation, EPoS slashes validators who double-sign and it penalizes elected but unavailable nodes.

Harmony Economics Model caps the annual issuance at 441 million tokens (about 3% rate in long term). Our model gives validators a simple and predictable return. All transaction fees are burnt to offset the issuance, naturally leading to *zero inflation* when our network usage becomes high.

## On-chain Verifiable Randomness

Harmony allows smart contracts to receive random numbers on chain, using a Verifiable Random Function (VRF) powered by distributed randomness generation (DRG). This allows any DAPP in the Harmony ecosystem to leverage randomness without relying on off-chain oracles.&#x20;


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