After four years of reflection, development and testing, the Aptos blockchain has entered a new era in its growth process. However, despite the popularity of this design, the lights appear to be red. In this post, we will explore these indicators. But first, let’s see together what Aptos is and what are its peculiarities.
What is Aptos?
A few days ago the Aptos (APT) blockchain announced the launch of its mainnet. In fact, Aptos is a level 1 blockchain developed by former Meta employees who worked on the Diem cryptocurrency project. It is powered by the APT token, which doubles as a governance token. As a result, its owners can contribute to the evolution of the network.
Supported by a large community of developers and projects, this network promises greater security, scalability and accessibility. Indeed, at the heart of Aptos’ vision is the need to improve the user experience in order to drive mass adoption of Web3.
In this perspective, Aptos offers a wide range of services. Among these are: a wallet (Petra), a decentralized finance platform (Pontem), an NFT marketplace (Topaz), and a domain name registration service (Aptos Names). Furthermore, its ecosystem also integrates an over-collateralized stablecoin (Thala Labs), a DeFi aggregator (Hippo Finance), a business (Tsunami Finance) and a liquidity pool on chain (Overlay).
Some technical specifications
Aptos presents itself as the blockchain of current and future generations. This statement can in particular be supported by a number of technical specifics, including:
A modular architecture
The Aptos blockchain separates independent processes such as transmission, execution, storage and certification of transactions from the consensus stage. This modular architecture provides the ability to run tasks concurrently. This, together with transaction bundling, allows for throughput optimization. Therefore, Aptos expects to reach 160,000 transactions per second (TPS). However, in the latest experiments conducted on the test network, it was able to handle 4200 TPS. In addition, the network promises a reduced time to finality (TTF) of less than a second. This is significantly less than Bitcoin (60 minutes) and Ethereum (13 minutes).
The AptosBFT consensus protocol
To ensure the robustness of the blockchain, Aptos has designed a mechanism Proof of participation Byzantine Fault Tolerant (BFT) (PoS). This identifies failed validators using a leading reputation system. This allows you to react dynamically and consistently to validation errors. This way, their impact on transaction throughput and network latency is limited.
Move is a Rust-based programming language. Helps optimize transaction processing and asset security. That said, it is also a development environment that facilitates the creation of decentralized applications (DApps) on Aptos. Also, Move allows you to write smart contracts modular and compatible with all DApps on the network.
Furthermore, to ensure maximum security, it favors the shortage and the access control. In fact, every asset stored in a Move resource cannot be duplicated by default. Additionally, developers can define a privilege model for each smart contract and asset account. For example, they may require multiple signatories to transact on an account.
Aptos, a dream seller?
On October 17th, Aptos officially launched its mainnet. Immediately, many cryptocurrency exchange platforms announced the listing of his token native. Among these, major exchanges such as Binance, FTX and Coinbase. Which also participated in the financing of the project.
After the launch of mainnet, there has been a slight deficit in technical performance and a feeling of hesitation in the market. First, the promises of scalability don’t appear to be effective. In fact, at the time of writing these lines, the network is only capable of processing 11 transactions per second.
Additionally, adoption of the platform appears to be limited at the moment. Since, to date, most of the transactions carried out on the network correspond to maintenance operations carried out by the validators.
A tokenomics that arouses criticism
As a reminder, the total initial supply has been set at 1 billion tokens. It was divided between the community (51.02%), contributors (19%), the Aptos Foundation (16.5%) and investors (13.48%).
The tokenomics of the project has been heavily criticized by the crypto community. Indeed, the APT token economy is considered by some to be centralized. This, in the sense that a large part of the tokens is awarded to venture capitalists. To defend, to boot he argued that the distribution of the funds in question would be staggered over four years. And this, 12 months after the launch of the mainnet.
However, on Twitter, a observer he insisted that 80% of the circulating supply is currently staked. According to him, this is equivalent to saying that these tokens are under the control of Aptos and its investors. Furthermore, it suggests that Aptos may have transferred the remaining 20% to wallets exchanges like FTX or Binance. The idea is to use them later as part of a dumping. However, this is pure speculation.
According to Coinmarketcap, APT tokens are currently trading at around $7.2. This represents a drop of 4.27% over the past 24 hours and a drop of 15.8% from the initial price. Furthermore, they occupy the 52nd place in the ranking of the most valuable cryptocurrencies with an estimated market capitalization of $941.6 million.
It’s difficult to consistently evaluate the performance of such a young network. Aptos is still in its infancy. This may explain its current TPS as the network has not yet had the ability to process a large volume of transactions. However, it should evolve over the next few months as developers and projects join the movement. Meanwhile, a hard fork from mainnet it will take place between the fourth quarter of 2022 and the first quarter of 2023. This will integrate a number of important features that could boost the evolution of this blockchain.
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I came to blockchain out of curiosity and stayed with it out of passion. I was amazed at the possibilities it offers through its various use cases. With my pen, I hope to help democratize this technology and show how it can help make the world a better place.