Bitcoin was envisioned in 2008 by Satoshi Nakamoto as the modernization of current currency systems, bringing in a change of freeing people from the clutches of central banks. The king of cryptocurrencies even had its new data maintenance and processing technology, blockchain. However, a few years later, in 2013, Vitalik Buterin realized that the technology had more potential than just being a medium for a digital currency to run on.
Elrond: Blockchain at a Global Level
Today, blockchain is used for various daily life purposes, the best example being smart contracts. Yet blockchain technology still lacks the essential resources and processing power required to be genuinely revolutionary. Elrond is a blockchain ecosystem built to cater to the immense load on the network due to the internet’s global connectivity.
The Elrond blockchain has been built from the ground up to provide the following benefits:
- Parallel Processing: Blockchain is inherently serial in nature. Using what is called Sharding, the Elrond blockchain network can work in partitions, each working in parallel.
- Scalability: Designed to be a thousand times faster in transactions per second than the top blockchain networks, with a massive 250,000 transactions per second.
- Proof of Stake: Currently, the top blockchain networks are using Proof of Work (PoW) to verify transactions on the network. The system is computer heavy and consumes a lot of power. Elrond uses Proof of Stake, a much simpler method that uses staked tokens as game theory.
- Cross-Chain Interoperability: Elrond is designed to have different blockchains working together, enabling isolated networks to link together in one massive global network.
Elrond Mainnet and Elrond Gold
At the end of July this year, Elrond made a massive leap as it moved from a testnet to its mainnet. These marks move from being an experimental blockchain network to a fully-fledged decentralized system.
With the shift, Elrond has created a new token for the mainnet, dubbed the Elrond Gold. The new tokens, also known as eGLD, are available through a direct swap of the testnet tokens in a 1000:1 ratio. This means that users will be able to swap 1000 of the ERD tokens for 1 eGLD. With a limited supply, this also means that the total tokens available on the new network are reduced by a massive 99%, from 20 billion to just 20 million.
At the time of writing this article, eGLD was trading at $13.79, up more than 10% in the last 24 hours, with a market cap of $189 million and 13.7 million tokens in circulation out of the 20 million, according to CryptoRank.io.
Is it Worth Investing in Elrond?
Elrond is one of the most successful IEO from the Binance Launchpad, raising $3.2 million in 2019 by selling off 25% of its tokens. Over the months since then, the original ERD tokens had gained a massive 1200% in value.
With the main net launch, there is renewed interest in the network, and eGLD tokens are nearly ten times in value of the ERD value.
Elrond also is making waves in the news with its practical applications. At the start of 2020, it had teamed with global mobile manufacturer Samsung to launch its first blockchain game, Battle of Elrond.
These and other real-life use cases of Elrond have made an obvious choice of being the most suitable blockchain network for today’s internet. Buying and holding eGLD will be a wise decision.
Cryptocurrencies are highly volatile digital assets. It is advised to do your own risk assessment before investing in any cryptocurrencies.