Things that come immediately to mind if one is thinking about cryptocurrencies are ICO`s and IEO`s. While they had a pretty big hype in the past years, many people forgot about the advantages of tokens and the ecosystems that they can create. While everybody is focusing on the DeFi hype, the tokenization of assets has a lot of benefits.
NEM has its own approach towards tokens, smart contracts, and decentralized autonomous organizations, while at the same time offering interoperability with other blockchains. It is safe to say that you can use XEM, the native token of the NEM blockchain, for payments, but that is not is the main purpose or use case.
NEM is more suitable for a lot of applications and use cases closely connected to the token economy, web 3.0, and developing independent financial platforms. To give you a better idea of what is possible, let’s look at a couple of examples and the underlying solution behind all those use cases.
Mosaics allow more options.
Many other blockchains only use a simple classification for their tokens, NEM has a unique name for its smart asset system. Mosaics are making this system highly flexible because Mosaics are fixed assets that can represent many different things. A mosaic can be a token, but it could also mean a stock, a certificate of ownership or authenticity.
You could even use Mosaics for a vote or a voting system, which opens up the NEM blockchain to different governance models. While offering many use cases, Mosaics offers enough flexibility while ensuring that it is easy to program smart assets. You can choose to create a mosaic in your desktop wallet or opt for the SDK to adjust all specifications according to your needs. It is fast, simple, and cheap to create a Mosaic out of the box.
Symbol will launch in 2020.
While many options are already available, NEM will face a tremendous transformation that will occur approximately at the end of 2020. NEM will shift to Symbol, a new and even more scalable solution that will also allow interoperability with other blockchains. It will enable companies and open source projects to benefit from its massive toolkit without missing out on the option to connect their project with different blockchain solutions.
Think of it more as a platform that will allow you to build those tools and applications that will work just the way you need them to be. You can deploy and integrate them into existing and working business environments or build them utterly new from scratch.
Interoperability is a crucial feature to drive Symbols adoption, since developers are not forced to take sides, but can connect different solutions with each other seamlessly. If you are interested in taking part in the Symbol snapshot and getting free XYM tokens secure your share of XEM tokens in your NEM wallet, you will find more information in my NEM series.