Aeternity is claimed to be a high-performance scalable blockchain architecture with consensus mechanism. This solution wants to overcome current attempts to implement real-world data application on top of a blockchain.
How does it work?
Aeternity is a platform for dapps and has started its journey in 2017. Like other new projects in the crypto terrain, it aims to deliver a much more efficient blockchain. Like Ethereum, it uses smart contracts but adds speed and scalability.
According to the data on its website, this chain of blocks would be optimized for uses such as IoT, IoV, FinTech, video games, decentralized exchanges and instant micropayments.
State Channels
One of the innovative elements presented by Aeternity is the state channels.
They are a kind of electronic location for smart contracts, which exist only there. The code of intelligent contracts only runs on the blockchain in cases of disagreements. This provides security and privacy to the users of this network. Decentralized oracles are also included, which are precisely what connect these intelligent contracts with the real world. It is a more powerful concept than the complete Turing model itself.
Finally, the consensus is achieved through a combination of two schemes: Work Test (PoW) and Proof of Ownership (PoS). In addition, “the miners’ vote and the owners of value bet to make decisions together”. The use of state channels makes Aeternity tremendously efficient and allows the creation of new forms of monetization, thanks to its low-cost transactions.
What is the difference between Aeternity and bitcoin?
Yes, both belong to the cryptocurrency space, but they are projects with totally different approaches.
While the bitcoin was created with the intention of becoming the massive digital money of the future, Aeternity goes much further.
The latter introduces concepts of intelligent contracts in a highly scalable and efficient blockchain. This allows creating hundreds of useful applications in the real world.
Capitalization and price of Aeternity
The project is about to complete one year since its entry into the cryptocurrency market. It started trading in June 2017 and, since then, its behavior has been very volatile. In full launch, it experienced an impressive rise in its price, achieving gains of 400% in a matter of days.
However, the glory was short, and its price began to fall again, staying below the dollar until November 2017. It was then that the bullish rally began that catapulted Aeternity to its historical maximum of 5.65 USD, reached in April.
2018. This corresponds to gains of more than 700% with respect to their minimums. Its market capitalization is also important: close to one billion dollars, Aeternity sits comfortably in the Top 30 of the most important cryptocurrencies.
Why buy Aeternity?
Aeternity is a project that has been consolidated little by little. Its concept of scalable and fast blockchain is very fashionable, but it also faces many competitors in the crypto-arena. According to its work plan, Aeternity is already very close to the completion of its project.
The main network or main net would be launched in the second quarter of 2018, which could promote other bullish movements in its token. The market has positively received this project, however, we must operate cautiously, selecting good points of entry and being objective.
Conclusion
Aeternity is about to launch its main net and has an architecture worthy of cutting-edge technology. Its price has stabilized, but this is a season of indecision in the cryptocurrency market. Although we have seen some signs of reversal, the clumsy sentiment remains latent.
