When you hear phrases like “Ethereum of China,” “Da Hongfei,” or “City of Zion,” you should immediately think of NEO Blockchain. An intelligent economy is one of the goals of a Blockchain platform. This article will serve as a primer on What is NEO Blockchain and its native token, NEO.
What is Neo (NEO)?
When it comes to providing a foundation for the creation of financial infrastructure, Neo is a blockchain network that competes with Ethereum. Unlike Bitcoin, developers of altcoins like Ethereum and Neo can build financial products on the network itself. This creates a financial system where no one needs to trust or get permission from anyone else.
Background of Neo
After its first introduction as Antshares in 2014, Da Hongfei and Erick Zhang renamed the platform Neo in 2017.
After successfully raising over 6,100 bitcoin in a token sale in 2014, the Antshares team began issuing and distributing its native cryptocurrency, ANS. Following the ANS token swap to NEO in 2016, the NEO team held a second token sale, raising approximately $8 million and releasing the entire quantity of NEO coins.
All who participated in the NEO token sale were given 50% of the total supply, while the other 50% was kept for the Neo development team, a community fund, and future investments.
How Does Neo Work?
The Neo network operates on a decentralized Byzantine fault tolerant (dBFT) consensus process amongst a number of centrally sanctioned nodes and can sustain up to 10,000 transactions per second.
The non-divisible Neo token, which generates GAS tokens, is the foundation of the Neo blockchain. These GAS tokens, which are a separate asset on the network, can be used to pay transaction fees and are divisible by 0.00000001. GAS inflation is managed by a fading half life mechanism that will discharge 100 million GAS over the course of 22 years.
Neo’s platform allows developers to utilize its software to run smart contracts (known as NeoContracts) and construct new applications (dapps) aimed to emulate real world companies and services.
When compared to other smart contract-based protocols, NeoContracts stands out because it doesn’t require developers to learn a new language in order to construct applications; instead, they may use any of a number of widely-used, already-existing languages, such as C# or Java.
With its compatibility with a wide range of languages, NeoContract can entice a wider range of programmers to build and maintain decentralized applications (dapps).
The Neo feature set is centered on tools that enable developers to effectively deploy and scale smart contract applications on the Neo network. Developers can use X.509 Digital Identities to link tokens to real-world identities, which helps them comply with KYC/AML and other regulatory requirements.
Transferred Byzantine Fault Tolerant
Neo uses a consensus mechanism called delegated byzantine Fault Tolerant to protect its blockchain and maintain its distributed network of computers in sync (dBFT).
Like DPoS, dBFT uses a real-time voting system to decide which machines are eligible to construct the next block on the Neo blockchain. What this means is that all NEO holders can participate in maintaining the network.
It is possible to “stake” or lock each NEO token (also known as a Neo coin) as a vote (the more staked NEO, the more voting power.) All NEO holders that make a stake cast a vote for the consensus nodes that generate blocks.
Consensus nodes are rewarded with transaction fees from the Neo blockchain network whenever a new block is proposed and added (paid in GAS cryptocurrency).
What Problems Does Neo Solve?
There are 3 core issues Neo network addresses:
- Neo is a blockchain platform that enables developers to create decentralized applications.
- Neo uses a unique consensus algorithm that allows it to be scalable and fast.
- Neo also has a built-in smart contract system that makes it easy to develop and deploy smart contracts.
Read more: TOP 10 Best Blockchain Solutions & Its Use Cases In 2023: What Are The Benefits
The Neo Team
The NEO team is a group of dedicated professionals who are committed to providing the best possible experience for users of the NEO platform. The team is comprised of experienced developers, marketing experts, and customer support representatives who are all passionate about the NEO COIN project. The team is constantly working to improve the platform and add new features that will make it even more user-friendly and efficient.
- Erik Zhang – NEO FOUNDER: NEO’s creator and core developer, the author of the dBFT consensus method, a professional in computer security and blockchain technology, as well as a certified information system auditor (CISA). China’s Shanghai is where Erik Zhang was born and nurtured. He moved to Beijing to take up a new position with Huobi, and in early 2014. Erik got to know Da Hongfei, the other NEO founder present at the gathering as a guest speaker. Erik Zhang joined Shanda Games five years after receiving his degree from the university, where he concentrated on information security and initially came across Bitcoin.
- Da Hongfei: Hongfei came into contact with Bitcoin in 2011 and immediately recognized the technical and social implications of its underlying technology. He became interested in Bitcoin, diving into the technology and trying to understand it. For Hongfei, Bitcoin represents not only a digital currency but also a new philosophy that is different from the mainstream. Da Hongfei and his team designed NEO with the Byzantine Fault Tolerance (dBFT) consensus mechanism.
Da Hongfei envisioned NEO as the foundation for large-scale, high-frequency operations and, in many ways, the blockchain of the new market economy. For this reason, NEO is designed to support smart contracts that run on virtual machines that can be coded in any popular computer language like Python, Java, etc. This feature has made some blockchain project developers really fall in love with NEO.
Partnerships
NEO has partnerships with major companies such as Microsoft, Alibaba, and WINGS. These partnerships help to promote the use of NEO and its blockchain technology. In addition, NEO has a partnership with the City of Zion, which is a group of independent developers who contribute to the NEO ecosystem.
What Is NEO Token?
NEO is the Native Token inside the NEO ecosystem. According to the definition of the dev team, it is a coin that represents network governance within the NEO network.
One of the characteristics of NEO is that it cannot be broken down. Thus its smallest unit is 1 NEO.
Basic Information About NEO
- Token Name: Neo
- Ticker: NEO
- Blockchain: NEO blockchain
- Standard: N/A
- Contract: Updating
- Token Type: Utility, Governance
- Total Supply: 100,000,000 NEO
- Circulating Supply: 70,538,831 NEO
Token Allocation
- Crowdfunding: 50.00% (50,000,000)
- To motivate NEO developers & members of the NEO Council: 10.00% (10,000,000)
- To moti vate developers in the NEO ecosystem: 10.00% (10,000,000)
- To cross-invest in projects in NEO Blockchain: 15.00% (15,000,000)
- Contingency: 15.00% (15,000,000)
Token Sale
Throughout the token sale, one NEO cost $ 0.20. On August 8, 2016, the NEO token sale began and ran through September 9, 2016. NEO’s return on investment (ROI) versus the US dollar is 57.94x, against Bitcoin it is 1.51x, and against Ethereum it is 0.35x, all measured relative to its initial token sale price.
Price of NEO Today
- The live Neo price today is $11,51 USD
- 24-hour trading volume of $61.444.085 USD.
- Market cap of $812.096.445 USD. The current CoinMarketCap ranking is #63
What is NEO Used For?
Use NEO to vote for Bookkeeping or change parameters within the network of the NEO Blockchain.
When projects issue their tokens on the NEO platform, they will raise capital in NEO. For example, ICOs like Phantasma (SOUL) in May 2018 only accept investors to buy with NEO.
NEO is also used to provide developers of projects to testnet on NEO.
How to Buy NEO Tokens?
There are a few different ways to buy NEO tokens. One way is to buy them directly from a NEO exchange. Another way is to buy them from a NEO wallet.
- If you want to buy NEO tokens directly from a NEO exchange, you will need to create an account on the exchange and deposit funds into your account. Once you have deposited funds, you will be able to buy NEO tokens with your deposited funds.
- If you want to buy NEO tokens from a NEO wallet, you will need to find a NEO wallet that supports the purchase of NEO tokens. Once you have found a NEO wallet that supports the purchase of NEO tokens, you will need to transfer your NEO tokens from your NEO wallet to the NEO wallet that you found.
Currently, NEO is at the top of the largest cryptocurrencies by market capitalization. Because this is a big coin, most of the world exchanges such as Coinbase, Binance, Huobi, and Bittrex… support buying and selling NEO.
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How to Store NEO Coins?
NEO supports all types of crypto wallets: desktop, mobile, cold, hot, and paper wallets. You can refer as:
- NEON Wallet
- Hardware Wallet with Ledger Nano WILL
- Web Wallet on Binance
- Desktop Wallet with NEO GUI
- Web Wallet with NEO Tracker
- NEO Wallet
- Paper Wallet with Ansy
- Desktop Wallet with NEO CLI
Read more: Best Crypto Wallets For Storing Coins In 2023: Hot Wallets & Cold Wallets
Goals of Neo
There are a few different goals that the Neo community is striving for.
- The first goal is to create a blockchain that is scalable and can handle a large number of transactions per second.
- The second goal is to create a blockchain that is more secure and resistant to hacks and attacks.
- The third goal is to create a blockchain that is more user-friendly and easy to use.
The Neo community is working hard to achieve these goals and is making great progress. The Neo blockchain is already one of the most scalable blockchains in the world and is capable of handling thousands of transactions per second. The Neo blockchain is also very secure and has been tested against some of the most sophisticated attacks.
Prospect Of NEO
Some of NEO’s achievements help this coin get a very potential rating such as:
- NEO is working with certification authorities in China to map actual assets through smart contracts.
- NEO has received a patent for cross-chain distributed interoperability;
- Recent NEO partners include Bancor, Agrello, Coin Dash, Nest Fund, and Binance.
- The Chinese government has embraced the platform and at the same time separated itself from the group of other cryptocurrencies like Ethereum and Bitcoin.
FAQs
How to earn NEO tokens?
There are a few different ways to earn NEO tokens.
- One way is to simply purchase them on a cryptocurrency exchange.
- Another way is to participate in NEO’s proof of stake consensus mechanism, which allows users to earn rewards for validating blocks of transactions.
- Finally, NEO also has a gas system, which allows users to earn gas tokens for participating in the NEO network.
Should you invest in Neo?
The NEO blockchain supports all crypto wallets on multiple platforms such as: desktop, mobile, cold, hot, and paper wallets. You can store NEO at wallets such as: NEON Wallet, Ledger Nano S, NEO GUI, NEO Tracker, NEO Wallet, Ansy, NEO CLI, ..
Is investing in NEO risky?
NEO is often considered to be a risky investment, due to its volatile price movements and the fact that it is a relatively new cryptocurrency. However, NEO also has the potential to offer high returns, making it an attractive option for investors who are willing to take on some risk.
Why is Neo popular?
Neo is popular because of its unique approach to blockchain technology. Neo uses a different consensus mechanism than other popular blockchain platforms, which allows it to offer faster transaction speeds and more scalability. Additionally, Neo has a strong community backing and is constantly innovating its platform to make it more user-friendly and accessible.
What can I buy with NEO?
NEO can be used to purchase a variety of goods and services. Some of the things that can be bought with NEO include:
- Cryptocurrencies
- Precious metals
- Fiat currencies
- Commodities
- Real estate
- Stocks and bonds
NEO can also be used to pay for goods and services online. This includes everything from online shopping to online gaming. NEO can also be used to donate to charities and causes.
How is Neo different from other blockchain projects?
Neo is a blockchain project that aims to build a scalable and decentralized network of digital assets. Unlike other blockchain projects, Neo uses a unique consensus mechanism called dBFT, which is more efficient and allows for a higher degree of scalability.
In addition, Neo has built-in support for smart contracts, which allows developers to create decentralized applications on the Neo platform.
Can I convert Neo coins to other currencies?
Yes, you can convert Neo coins to other currencies. There are a few ways to do this, but the most common is to use an exchange. There are many different exchanges that you can use, so be sure to research which one is best for you. Once you have found an exchange, you will need to create an account and deposit your Neo coins. Once your coins are deposited, you will be able to trade them for other currencies.
How can I find more information about Neo?
Here is some information about you might need:
For chat: https://t.me/NEO_EN
Conclusion
The fundamental information of NEO is provided above. If you want to invest in cryptocurrencies, NEO coins are a good choice. I hope this effort has provided you with a wealth of useful knowledge. The article will be updated on a regular basis based on NEO development team updates. If you have any queries concerning NEO, please leave them in the comments section below.
Disclaimer: The information provided in this article is not investment advice from Cove Markets. Cryptocurrency investment activities are yet to be recognized and protected by the laws in some countries. Cryptocurrencies always contain financial risks.
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