Since the inception of cryptocurrencies in 2009, the year that has been proved to be a golden year for crypto investors is 2021. Not only the digital asset market has touched the $2 Trillion market cap by figure but has also given a lot of options in the forms of cryptocurrencies to cryptos investors to invest in. NEO is on the top of the list. Looking at the restrictions on transactions of cryptocurrencies by China’s government, it has emerged as a coin that has the potential to emerge as the cryptocurrency of choice even in the heavily regulated nations and perhaps around the world. Since the introduction, NEO’s Onchain technology was designed to be regulator friendly with a centralized approach which is quite different from most of the cryptocurrencies available in the market.
AfterChina’s step over cryptocurrency trading, this digital asset is considered to be China’s answer to Ethereum. Just like Ethereum, NEO also uses smart contracts but it takes advantage of its unique blockchain to improve Ethereum’s network.
NEO: A Brief Overview
Widely considered to be China’s answer to Ethereum, it is a software network, founded by Da Hongfei and Eric Zhan to serve as a platform on which anyone can transact and create decentralized products and services.
Though this network shares many features with Ethereum such as the ability to write decentralized applications (dapps) for decentralized exchanges, social networks, and prediction markets, among others, it utilizes its unique blockchain in order to improve on Ethereum’s network. This software network is designed with a motive to automate the management of digital assets through the use of smart contracts, with the eventual goal of creating a distributed network-based smart economy system.
How is NEO’s Network Designed and Work?
NEO network is built on two tokens NEO and neoGAS (GAS) in which the GAS token is designed to act as fuel for the NEO blockchain and act as a form of security. Unlike NEO tokens that were already pre-mined during the genesis event, the GAS tokens were not pre-mined and are designed to be used to allocate resources and maintain the day-to-day running of the blockchain. It is also used to reward the users for maintaining the blockchain.
A lot of developers see NEO as a future of blockchain-based products because it is quite different from the other smart contract-based protocols. In NEO, the developers can create their own smart contracts using a variety of popular existing languages like Java and C#. As it can work across various programming languages, it is preferred by a lot of developers to create dapps or to support existing ones.
Interesting Facts About NEO
- NEO made its first appearance in 2016 with the name Antshares.
- NEO uses the delegated Byzantine Fault Tolerant (bDFT), which is a modified proof-of-stake protocol for the blockchain consensus.
- During the NEO’s 2016 ICO, 6119 BTC was raised that helped in creating 100 million NEO tokens.
- 50% of the NEO tokens were sold in the ICO and the remaining were distributed to the NEO council.
- NEO got its place in the top 20 cryptocurrencies by achieving a $5 billion market capitalization by the end of 2017.
As the cryptocurrency is highly in demand and has a good future, investing in it can give a good return to any investor in the future. Many cryptocurrency exchanges in India have listed NEO on their trading platform and allow users to buy, sell, trade, and transfer it to other cryptocurrency wallets. But, before selecting any, you should do detailed research to make a wise investment decision.