Records are essential in any organization or sphere for their content and as evidence of communication, decisions, actions and history. Records will not only ensure that information of vital historical, tax and legal value is identified and preserved, but will also help provide access to essential information to guide future action.
The cryptosphere is no exception to record keeping. Its decentralized nature makes record keeping a necessity and a building 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
Blockchain is a type of digital ledger 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, a timestamp, and transaction data. Thanks to the interconnectedness of the blocks, they form a chain structure. Blockchains are operated by peer-to-peer (P2P) networks.
Blockchain is a method of recording information that makes it difficult to break into the system. In fact, transactions are irreversible. Once the data is stored 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 group of elements capable of interacting with each other and with the surrounding world and creating an environment with the required special properties.
It also includes an agreed governance structure that clarifies acceptable user behaviour, data ownership, funding, exit and entry criteria and information sharing conditions for users.
With the rise of cryptocurrencies and blockchain, there has been an increase in the number of blockchain systems being developed, the oldest of which is Ethereum. Many blockchain ecosystems are still in the works, the most promising being Proprivex.
This article seeks to engage the two most successful blockchains, Ethereum and Avalanche, what contributed to their success and whether Proprivex can follow suit.
Ethereum (ETH) – Can It Overtake Bitcoin?
Ethereum was originally launched on30 July 2015. It is an open-source, decentralized blockchain ecosystem where users can create distributed applications and smart contracts. The goal was to create a safe and reliable system where individuals could communicate, research and transact without the need for intermediaries.
Like any ecosystem, the medium of exchange/native 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 cap of 177.596 billion and a current circulating supply of 122.15 million, Ether became the second largest cryptocurrency by market capitalization.
Its success is mainly attributed to the first-mover advantage and the composability of smart contracts. The platform was also the first to allow programmers to create and deploy applications, which attracted many software developers.
Consensys has over 200,000 Ethereum developers and the platform has 4x more developers than any other crypto ecosystem. The complexity of smart contracts also helped a lot in attracting attention to the platform.
The idea that existing contracts and applications can be used to build applications has sparked the interest of many cryptocurrency holders and developers, resulting in many users of the platform.
Avalanche (AVAX) – the fastest on the market
Avalanche, developed by Ava Lab and released in 2020, is an open-source blockchain equipped with a smart contract feature. It is a base-layer network that enables 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 developing and executing smart contracts. The platform chain (P-Chain) also coordinates the validators and enables the creation and management of subnets.
Avalanche is the fastest smart contract in the industry, which has helped the platform gain traction. The native currency of the platform 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 builds on Proof of Stake (PoS), 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 advantage as she can rest easy knowing that her actions have no effect on the fragile environment and climate.
Propivex (PPX) – Plans to leapfrog the competition
Proprivex is a blockchain ecosystem built to help combat the complexity of managing multiple crypto assets and provide its users with maximum security by managing these assets on an intuitive platform.
The platform is expected to launch in the fourth quarter of 2022 and will offer users a wide range of services. It aims to provide solvency for most of the problems faced by cryptocurrency users.
The platform decided to take advantage of many programs already available, such as using Avalanche to create and execute its smart contracts, building its DeFi revenue aggregator framework entirely on the ultra-fast and efficient Solana, etc.
This gives the platform an advantage over other ecosystems as it can provide its users with the same benefits that other platforms have. Access to top industry experts will also help Propivex gain traction, especially among new users.
The official token of the ecosystem is Proprivex’s token, PPX. All services provided on the platform will be billed and paid for in PPX tokens. Unlike most ecosystems, other tokens are allowed as a medium of exchange, but the use of PPX would certainly have a great incentive to boost the use of the token and make it attractive to users.
The Proprivex ecosystem will be a community-driven platform as it operates within a Decentralized Autonomous Organization (DAO). This means that its users and holders can participate in the development and decision making in the ecosystem by democratic voting.
The voting weight varies depending on activity level, asset diversity and wallet size, which incentivizes users to be as active as possible and heavily involved in the ecosystem in terms of holding shares, assets and tokens.
Proprivex has a lot to offer in the cryptosphere and has the potential to become one of the leading ecosystems in the near future.