Records are essential in any organization or sphere for their content and as evidence of communication, decisions, actions and history. Having records not only ensures that vital historical, tax and legal information is identified and retained, it also helps provide access to basic information that serves as a guide for future action.
The crypto sphere is no exception when keeping records. Its decentralized nature makes record keeping a must and an essential block for the sustainability of the crypto space. This led to the creation of blockchain technology in 2008 by Satoshi Nakomoto (nickname).
The Blockchain ecosystem
A blockchain is a type of digital accounting technology made up of cryptographically linked blocks. Blocks are described as an ever-growing list containing a cryptographic hash (used for identification and classification) of the previous block, timestamp, and transaction data. Due to the interconnectivity of the blocks, they form a chain structure. Blockchains are managed by peer-to-peer (P2P) networks.
Blockchain is a method of recording information that makes hacking into the system difficult. In fact, the transactions are irreversible. Once the data has been saved in a given block, it cannot be changed without changing all subsequent blocks.
A blockchain ecosystem is a network of blockchain participants who share business goals and processes. It consists of a set of elements capable of interacting with each other and with the surrounding world to create an environment with the desired special characteristics.
It also includes an agreed governance structure, which clarifies acceptable user behavior, data ownership, funding, exit and entry criteria, and information sharing terms for users.
With the growing rise of cryptocurrencies and blockchains, there has been an increase in the number of blockchain systems being developed, the oldest being Ethereum. Many blockchain ecosystems are still in the works, the most promising being Proprivex.
This article tries to involve two of the most successful blockchains, Ethereum and Avalanche, what contributed to their success and whether Proprivex can follow.
Ethereum (ETH) – Can It Overcome Bitcoin?
Ethereum was initially launched on30 July 2015. It is a decentralized and open source blockchain ecosystem where users can create distributed applications and smart contracts. The goal was to create a safe and reliable system where people could interact, explore and trade without the need for intermediaries.
Like any ecosystem, the native medium of exchange / currency in Ethereum is Ether, also known as ETH. Ether is the only currency accepted by the protocol as payment for transaction fees, which also go to the miner. By 2022, with a market capitalization of 177.596 billion and a current circulating supply of 122.15 million, Ether had become the second largest cryptocurrency by market capitalization.
Its success is mainly attributed to the first-mover advantage and modularity of smart contracts. The platform was also the first to allow programmers to build and distribute applications, attracting many software developers.
Consensys has over 200,000 Ethereum developers, and the platform has 4 times more developers than any other crypto ecosystem. The modularity of the smart contracts has also helped a lot to bring attention to the platform.
The idea that existing contracts and apps can be used to build apps has piqued the interest of many cryptocurrency owners and developers, resulting in many users for the platform.
Avalanche (AVAX) – The fastest on the market
Developed by Ava Labs and released in 2020, Avalanche is an open source blockchain with smart contract functionality. It is an entry-level network that allows developers to build and deploy decentralized applications and integrates multiple decentralized finance (DeFi) ecosystems into the platform.
Avalanche is built on three blockchains; The Exchange Chain, the default blockchain on which assets are created and traded, and the Contract Chain (C-Chain) are responsible for the development and execution of smart contracts. At the same time, the P-Chain coordinates the validators and allows the creation and management of subnets.
Avalanche is the fastest smart contract in the industry, which has helped gain traction for the platform. The platform’s native currency is AVAX. It serves as a means to distribute payment rewards, participate in governance (DAO) and enable transactions on the network.
Avalanche uses the same Solidity language that Ethereum uses to write its smart contracts. Avalanche also uses a consensus mechanism that is based on the Proof of Stake (PoS) foundation, which is much more energy efficient and has become more popular as attention has turned to the effects of cryptocurrency mining on the planet. This gives Avalanche an edge in that she can rest easy knowing that her actions have no impact on the fragile environment and climate.
Propivex (PPX) – Plan to leap above the competition
Proprivex is a blockchain ecosystem created to help combat the complexity of managing multiple crypto assets and provide maximum security to its users by managing these assets under an intuitive platform.
The platform is expected to launch in the fourth quarter of 2022 and offers users a wide range of services. It aims to provide solvency for most of the problems faced by cryptocurrency users.
The platform decided to use many programs already available, such as using Avalanche to create and execute its smart contracts, building its DeFi returns aggregator framework entirely on the ultra fast and efficient Solana, etc.
This offers the platform advantage over other ecosystems as it can also provide the same benefits other platforms possess to its users. Access to the best experts in the industry will also help Propivex gain ground, especially among new users.
The ecosystem’s official utility token is the Proprivex token, PPX. All services rendered on the platform will be billed and paid in PPX tokens. Unlike most ecosystems, other tokens are allowed as a medium of exchange, but using PPX would certainly have many incentives to increase the token usage and make it more attractive to users.
The Proprivex ecosystem will be a community-driven platform as it operates under a decentralized autonomous organization (DAO). This means that its users and owners can participate in the development and decisions made in the ecosystem through the democratic vote.
Voting weight varies based on activity level, asset diversity, and portfolio size, which incentivizes users to be as active as possible and to engage heavily in the ecosystem in terms of owning stocks, assets and tokens.
Proprivex has a lot to offer in the cryptocurrency sphere and has the potential to become one of the leading ecosystems in the near future.