DAG chain vs Blockchain: Eight general differences!

DAG chain and Blockchain are two distributed ledger technologies that have gained much attention recently. Although they share some similarities, they significantly differ in design, functionality, and use cases.


This article will discuss eight general differences between the DAG chain vs Blockchain:


  1. Structure: Their design is the most fundamental difference between the DAG chain vs Blockchain. A blockchain is a linear chain of blocks containing a set of transactions and a cryptographic hash of the previous block. On the other hand, a DAG chain is a directed acyclic graph, where each transaction can have multiple parents and children, forming a mesh-like structure.
  2. Scalability: Blockchain technology is known to have scalability issues due to the linear structure of the chain, which makes it difficult to process a large number of transactions simultaneously. In contrast, DAG chain technology can scale more efficiently because transactions can be processed in parallel, allowing for a higher transaction throughput.
  3. Consensus: The consensus algorithm used in blockchain technology requires significant computational power or stake to participate in the network. In contrast, DAG chain technology typically uses a consensus algorithm called DAG consensus, which does not require mining or staking and allows for faster confirmation of transactions.
  4. Security: Blockchain technology is known for its robust security, as the computational power of the network participants protects it. In contrast, DAG chain technology is generally considered less secure because it relies on a different type of consensus algorithm, which may be vulnerable to attacks.
  5. Transaction fees: Transaction fees are a significant concern for users of blockchain technology, as they can be high during network congestion. In contrast, DAG chain technology typically has low or zero transaction fees, making it more attractive for micropayments.
  6. Use cases: Blockchain technology is primarily used for financial applications such as cryptocurrency, tokenization, and decentralized finance. In contrast, DAG chain technology has a broader range of use cases, including the Internet of Things, supply chain management, and peer-to-peer networks.
  7. Governance: Blockchain technology typically has a decentralized governance model, where the network participants can propose and vote on changes to the protocol. In contrast, DAG chain technology may have a more centralized governance model, where a small group of developers or stakeholders can make decisions.
  8. Adoption: Blockchain technology has gained widespread adoption in recent years, primarily due to the popularity of cryptocurrencies. In contrast, DAG chain technology is still in its early stages of development and has yet to achieve the same level of adoption as blockchain technology.


In conclusion, DAG chain and Blockchain are different distributed ledger technologies with strengths and weaknesses. As both technologies continue to evolve, it will be interesting to see how they will compete and complement each other in the future. For more details about the DAG chain vs Blockchain, visit our website!