Undoubtedly, the crypto space, has since its 2013 boom, continued to record thousands of new tokens. This development, has thus, widened access to cryptocurrencies, thereby accelerating its adoption. Today, millions of investors, spread across the globe have dabbled into the sphere. As its adoption rate continues to increase everyday, the crypto sphere is growing to become one of the biggest sectors in the world. Despite the fact that cryptocurrencies are driven by extreme volatility, investors still rely on the assets as a veritable instrument of investment, payment, trade, and settlement. Although cryptocurrencies are utility-driven, their major function is serving as a medium of payment and investment. Today, some of these crypto assets run to serve as native tokens to numerous virtual protocols, serving as instruments through which their users make payments for transactions fees. Worth noting that the nano crypto is one of such crypto.
Nevertheless, it is pivotal that every reader of this content embrace and comprehend this article without misrepresenting its intent. Notably, this piece is not geared towards promoting the crypto asset, but only to make them understand the background, potential and peculiarity of nano crypto in a bid to enable them make an informed decision. Therefore, consequential decision lies solely on the investor and not the responsibility of the author.
Nano crypto: General Overview
Worth noting, nano crypto or XNO runs as the native token of nano payment protocol. The token helps to fuel, power and safeguard the network of its platform. More so, it serves as an instrument through which payments can be sent and received. Just like other cryptocurrencies, the prevailing market conditions usually impact nano crypto. However, it derives a huge percentage of its value through the technological prowess of its protocol. More so, the value of the token, at times, seems determined by its level of adoption over time, or the number of traders and users.
Apart from serving as a medium for l feeless payments on the ledger, it serves as intermediary in securing the network. This is because holders of the token enjoy rights to select representatives who are usually empowered to secure the network. These representatives perform the duty by validating transaction blocks.
To earn nano crypto, users need to explore the faucets of its protocol. Also, users can also earn the token through some projects running on the network. Many of these projects, give users some tasks to perform and then reward them with the crypto. Meanwhile, nano crypto possesses a total supply of 133,248,290 tokens. Interestingly, all these tokens are already in circulation.
Nano protocol
As the native protocol of its token, nano runs as a decentralized, secured and peer-to-peer platform for crypto payments. According to its whitepaper, the native protocol of nano crypto emerged to address the reoccurring weaknesses of existing financial systems. The platform believes those financial systems run slowly, lack cost effectiveness, and are not user-friendly. However, nano, in its whitepaper, said it aims to provide cost-effective and accelerated transactions on the ledger. Through its block-lattice data structure, nano paves the way for users to receive and send transactions in NANO within the twinkle of an eye.
Also, the platform usually explores its block-lattice data structure to partition the network into the ledger. This thus allows its users to possesses a blockchain in their respective accounts. The blockchains updates transactions instantly, thereby saving users from waiting for the general network to synchronize.
Worth noting, the block structure of Nano protocol and its crypto entails all necessary information. These information, as revealed, include account number, balance, and representative of an account. As structured, each block possesses a “small, user-generated proof-of-work value and a quality-of-service prioritization mechanism.” Meanwhile, transactions on nano usually occur in a two-way model. First, the sender publishes a block, which consequently debit his/her account to send the amount to the account of the receiver. Secondly, the receiver also publishes a matching block, which thus credits his/her account with the amount sent.
Explaining Block Lattice
Nano network introduced a new dimension to crypto data through a structure known as Block Lattice. This structure provides every user with an account that’s backed by a personal blockchain. Notably, the innovation aids users to update their accounts swiftly without relying on the rest of the network. Therefore, giving full liberty that’s in unison with the libertarian gospel of cryptocurrency. Nano refers to these independent blockchains as account-chains.
Furthermore, the Block Lattice initiative can be likened to a typical bank account that’s self-sufficient enough to input and update the state of an account. So, the innovation interpreted transaction volume as the difference in the account balance between consecutive blocks. Every transaction within the innovation has its own block, and each of them replaces the prior one on the account. The innovation eliminates the reliance on the entire of the network. It also give sole authority to account owners to modify their blockchain. This feature aids the network to process transactions fully, thus, eliminating congestion and frequent downtime.
How the network interacts with nodes
Nano protocol like many crypto projects uses a consensus mechanism that ensures that users stick by the rules guiding the software. The consensus algorithm aids network nodes to stay in sync. The protocol of Nano crypto employes a variation of delegated proof-of-stake (DPos), also known as Open Representative Voting. With this system, nodes get voting weight due to their available balances. Its imperative to note that network nodes must hold Nano crypto in their wallets to become selected.
However, eligible nodes can delegate their votes to another node on the network base on their preference. Likewise, the node with the highest voting weight on the network becomes the principal representative. With that, the node is eligible to vote on transactions proportionally to the available token in its wallet, and those attached to it. Though, representatives don’t get remunerations to vote on the transaction and block the network must approve. Deploying a DPoS consensus mechanism makes the Nano crypto network a bit different from its peers. To some extent, the network embraces a system that shuns the exhaustive use of carbon energy. With that, the network is regarded as one of those that illuminate a green energy crypto sphere.
The Genesis of Nano
Nano project kickstarted in 2014, a year after the biggest crypto boom. It started as Raiblocks. In 2015, its native crypto (nano crypto) surfaced through a public faucet. After bearing Raiblocks as its brand name since 2014, the protocol got a new name in 2018. It was at that time that the digital payment platform was rebranded to nano that it currently bears. According to report, its team chose the name to complement the speed and user-friendly features of the project. Late last year, Nano adopted a new ticker and a standard symbol, identified as XNO and X to meet ISO standards. Colin LeMahieu, the current CEO of the project and founder of Nano foundation developed the project. Based in UK, LeMahieu is a renowned software engineer and has continued to lead the project since its inception.
Future of Nano Crypto and It’s protocol
To a noticeable extent, Nano as a crypto project is attracting a sizeable amount of users. It focuses on providing almost free transactional charges. Aside from that, the project has the full capacity to keep a transactional records for a long time. Unlike, many blockchains that cannot keep full records or save them for a long time. These features poised Nano as an attractive project in the cryptocurrency space. Birthing more usage cases for the project and a friendly market posture for it’s native token.
As an investment option, Nano crypto is a risk worth taking, though investors must make a calculated decision before committing. Over the years, the asset has struggled for stability suffering price plunge at various points. The token doesn’t look like it’s on the verge of surpassing the all-time high it enjoyed about 5 years ago. One of the encouraging pointers investors can consider before committing is the idea of acquiring the dip. This is because the price of Nano crypto is low at the moment, which can be encouraging for an investor that intends to buy the dip. The use cases of the asset and it’s protocol could possibly spur a positive market rally soon.
Concluding note
As earlier stated, Nano crypto hasn’t enjoyed much price stability. The token has shown that it is highly reactive to the general volatility of the cryptocurrency space. Within a short space, the value of the asset can change due to numerous factors including market trends, sentiment, and trading volume on crypto exchanges.
Currently, the price of Nano crypto hasn’t changed much because the project didn’t have many commercial partners. Also, people using the network are much as it’s facing fierce competition among other projects. Though, the project has been around the block for a while, proving it’s not a fraudulent project and it is here to stay. So, investors have little to worry about regarding the credibility of Nano because the logic behind its existence and operations are explainable.
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