Given the cutback on crypto transactions enforced by the government of China, NEO has the capability to evolve as the crypto of everyone’s choice in the well-regulated nation and probably around the globe. From the time of creation, the Onchain technology of NEO was developed to be regulation-friendly with a centralized mechanism that is much different from many other cryptocurrencies.
This approach supports the survival and prosperity even in China, where the government regulators have been keeping an increasingly strict eye on the world of cryptocurrency. They are concerned about the financial risks investors face due to cryptocurrency speculations. Plus, the crypto’s vast mining operations may become such an issue for china’s electricity supply that it eventually threatens their environmental goals.
What is Meant By NEO?
NEO was established in 2014 by Erik Zhan & Da Hongfei in China that later rebranded in June 2017 with the name NEO. It is a platform based on blockchain that helps its cryptocurrency, enabling the evolution of smart contracts and digital assets. Because of these aspects, NEO resembles the U.S.A-Ethereum blockchain. NEO’s goal is to automate the administration of digital assets by smart contract utilization. Its final aim is to develop a distributed network for a smart economy system.
NEO Theoretically Explained The Smart Economy System
(Digital Assets and Identity + Smart Contract equals Smart Economy)
On the NEO blockchain, financial assets can be digitized easily in a decentralized, open, reliable, and transparent way that is intermediaries free and the costs attached to it. Users can buy, sell, record, exchange, or circulate different types of assets. The NEO platform helps to link the physical asset with a unique and equal digital form on its network. NEO supports the safety of investments. These assets are registered and protected by law on its platform. Smart contracts help execute transactions and agreements with different parties without being governed by a legally centralized mechanism. This execution is based on the lineup code of the network that allows transparency and traceability of transactions.
NEO innovated the Delegated Byzantine Fault Tolerance (dBFT) mechanism. In this process, there are a few particular nodes called Bookkeepers. The actual block verifications can be done through these accountants. Blockchain broadcasted this data. Only when 2/3rd of the nodes match with this version of bookkeeping than the consensus achieved.
The dBFT consensus is fast that can handle over 1,000 transactions/second. If we compare it with the here, it manages approximately six transactions/second (tps). At the same time, Ethereum can handle 12 tps. Impeccably, NEO tries to raise its tps rate with its new upcoming update. The goal of its next upgrade is 10,000 transactions/second.
NEO keep-up two cryptocurrency coins, i.e., NEO and GAS. It supports C#, Python, Java, Go, and Kotlin. NEO exhibits a distinction from other blockchain platforms. However, digitized assets and smart contracts are famous on blockchain platforms like Ethereum. The 3rd vital feature of “digital identity” differentiate NEO from the others.
NEO Correct a few Problems
NEO tried to tackle various issues facing the market. Mainly, NEO came up as a more flexible alternative to Ethereum. The organization uses a philosophy that assesses the design options on a multivariate spectrum. In this way, Neo adjusts its market approach. For example, NEO’s developer can decide on each particular use, based on decentralization/centralization that is most suitable for a project. The developers can also make similar decisions on other crucial issues like the off-chain/on-chain governance level. These choices offer NEO more use-based scenarios for large-scale adoption in the commercial and governmental sectors.
Storage of NEO
There are some ways to store the NEO. If you want to keep your cryptocurrency in a wallet that helps you get the GAS rewards, then the NEON wallet is one of the best choices for traders to earn the rewards.
NEO’s great stance in the Asian markets is its feature challenging to think anything but a success for this trading platform. Its developers continuously update the platform with NEO3, which is fully set to release in the following months. Recently, NEO shared a top position in the cryptocurrency market as one of the critical Dapp development platforms available in the market.