Near Protocol is a decentralized application system that is designed to improve the usability of applications on the web. The NEAR token also serves as the dedicated cryptocurrency of the NEAR blockchain and can be put to a series of uses inside its system. One of its major uses is in the integration of decentralized apps such as the creation of a virtual marketplace where NFTs can be bought and sold. And just like on the Ethereum network, all transaction fees incurred while on this process are paid in its native token.
According to the creation team of the network, the platform has identified the largest issue with the DeFi ecosystem on the Ethereum network which is the high transition fees. Even though the number of systems on the platform is small compared to that of its competitors, the technology it uses is state of the art and will make developers switch to its platform. The system uses a modified version of the sharing technology where the blockchain is split across a series of validator nodes to decongest the network and spread out its workload.
Over time, the Ethereum network has repeatedly been losing its participants to other cheaper networks because of its high gas prices. One of the most used platforms recent is Binance Smart Chain. Although it does have minimal fees, it also removes one of the main parts of the DeFi system, decentralization.
Who are the Founders of Near Protocol (NEAR)?
The Near Protocol system was founded in mid-2018 by Alex Skidanov and Illia Polosukhin who previously partook in a business venture that pivoted. The previous project was centered around the automation of programming. However, they soon realized that the project was a dead end with the technology at their disposal then. The duo decided to move to the cryptocurrency space and tried out a system to automate the generation of smart contracts on the Ethereum network and shortly after, they moved to Near Protocol.
When they started building the NEAR Protocol system, Alex Skidanov and Illia Polosukhin had to employ the services of professionals from around the globe. The initial plan was to make the NEAR system completely open-source so that anyone that is interested could suggest or add changes to the system. However, they opted for a similar system called Bounties where developers can apply to develop specific parts of its growing ecosystem.
Alex Skidanov and Illia Polosukhin are both experienced professionals who were fully into programming and software development in the early stages of their careers. However, after identifying some shortcomings in the world of cryptocurrency and decentralized finance as a whole, they decided to venture into it.
What is Near Protocol (NEAR) used for?
The NEAR protocol serves a series of purposes, most of which majorly cut across the development of delegated systems to be used in the DeFi community. Unlike most of the regular systems already available in the decentralized finance space, the NEAR system aims to use a different approach. The forest changes the NEAR system aimed to combat is the high cost of transactions. It is also built to include major scalability to improve its use case on a global scale.
NEAR is the dedicated cryptocurrency of the platform to be used within its ecosystem. Apart from being used to stake tokens or to be delegated with a validator node, NEAR can be used in exchange. The token can be exchanged with other cryptocurrency pairs to make a profit for its holders.
What Is the Unique Point of Near Protocol (NEAR)?
The NEAR protocol is relatively new compared to the Ethereum network, however, the network appears to have taken a page out of Ethereum’s handbook. The MEAR protocol uses a dedicated technology to provide smart contract services at cheaper gas prices. For example, transactions related to the world of non-fungible tokens are usually very high. However, the NEAR protocol has also created its own marketplace for NFS where users can transact with less.
Although other platforms have sprung up with similar technology in the world of cryptocurrency, the difference is in their application development segment. The network also provides its participants with a series of tools to help promote the technology in use. These include:
- NEAR SDKs with the inclusion of standard data structures, as well as testing tools for Rust and AssemblyScript.
- Creation of zero-time onboarding experience for developers on the NEAR ecosystem through Gitpod.
- Creation of streamlined user experiences by application developers through the NEAR Wallet.
- Integration of NEAR Explorer to help with both understanding network performances, as well as debugging of contracts.
- Provision of a command-line room that allows for the deployment of applications from local environments.
How many Near Protocol (NEAR) coins are in circulation?
Ever since the NEAR protocol launched its mainnet in April 2020, a total of 1 billion coins were minted at the start. The network also gets an additional 5% to its supply every in the form of epoch reward to support the network. 90% is assigned to validators, an amount that stands at 4.5% of the total supply, and 10% is assigned to the treasury of the protocol, making up a total of 0.5%.
The network also uses a system whereby 30% of the total transaction fees are paid out in the form of rebates to contracts that partake and interact with each transaction, while the leftover 70% is burned.
Is the Near Protocol (NEAR) Network secured?
A major component of the Blockchain industry is the consensus mechanism. At its core, a Blockchain is a distributed system where every participant is obligated to agree on the information stored within the platform. As such, this is what led to the creation and inclusion of consensus mechanisms as a security protocol.
Unlike the earlier generations of cryptocurrency, such as Bitcoin and Ethereum which were built using the first type of consensus mechanism, Proof of work, NEAR uses a proof of stake system. Although there are different variations of the proof of stake consensus mechanism, the basic principle is the appointment of delegates to execute the changes and maintenance of the system.
The NEAR protocol consensus mechanism, proof of stake, was majorly created to address the problem of forking, as well as energy wastage that are particular problems of the proof of work system. However, the system is also a downside to the problem of centralization. With this system, only a small number of individual nodes will be in charge of controlling or the problem of pools being centrally controlled.
How do I buy Near Protocol (NEAR)?
The NEAR protocol ecosystem has brought about a solution to expensive transaction fees experienced by participants in the cryptocurrency market. This, in addition to its functionality that allows for the development of web applications with the provision of the required tools, has led to its increased usage. Now, the token is available across several exchanges and can be easily purchased by the following steps.
* Open an account with the crypto trading platform.
* Transfer the specific amount of your fiat currency to your account.
* Wait for your deposit to be confirmed and Buy HOT through your trading account.
Which Cryptocurrency Wallet Supports Near Protocol (NEAR)?
The PTPWallet platform supports many cryptocurrencies simultaneously, such as NEAR protocol tokens. Because of its speed, flexibility, and unique features, it has grown to become one of the most used new platforms. In addition, users can easily use PTPWallet as their main NEAR protocol wallet as it offers a simple and interactive interface, making it easy to navigate its system.