With the introduction of cryptocurrency and Blockchain technology, many new technologies and opportunities are growing. In the https://bitcointraderapp.org/, every investor wants to make high profits. Things around Blockchain technology are changing. Avalanche network is also a concept introduced to improve Blockchain technology.
Blockchain technology is itself an innovative technology and this network is a smart contract-capable platform. This platform can improve Blockchain technology in many aspects. In this article, We have included the Concept, Working, and History of the Avalanche network.
What is an avalanche network?
Before understanding the working of the Avalanche network, it is important to know the concept. Avalanche network is a smart contract-capable platform where customized Blockchains and decentralized applications are created. As we know, Blockchain technology is making its way into almost all the possible industries like finance, health care, music, etc.
Improving this technology for better performance is necessary. Avalanche has the potential to improve Blockchain in terms of security, cost, transaction speed, and eco-friendliness. Avalanche network is already becoming popular and worth billions of dollars. It has its token called Avalanche (AVAX). To create customized and interoperable Blockchains, you can use this network.
Let’s get into a brief history of the Avalanche network and its founders.
Founder and history of Avalanche network:
In 2009, the first Bitcoin was mined and Blockchain technology was introduced. Later, Ethereum-based Blockchain technology was introduced. But, with all these some issues were attached like high cost and low transaction speed. To improve these, Layer-2 of Blockchain was introduced. This layer is proposed to improve Blockchain in terms of scalability.
Adding the 2nd layer in Ethereum-based Blockchain was enough to solve the scalability problem. But, in some way or another, this step was not very secure. Hence, there was a need for a technology that can improve the scalability issue in layer-1 of Blockchain technology.
Here comes the Avalanche network, proposed by a pseudonyms group called Team Rocket. In 2018, they released fundamental information about the protocol. This information was released on the InterPlanetary file system. Later, a group of researchers from Cornell University came forward to develop this technology. Finally, in 2020, the Avalanche network was launched by Ava labs.
This blockchain solution addresses some of the bigger issues in the scalability of Blockchain technology. Let’s understand the solutions provided by the Avalanche network.
What is the purpose of the Avalanche network?
After understanding the concept and knowing the history of the Avalanche network. This is the time to know what real problems this network solves. As mentioned earlier, Avalanche aims to improve the scalability issue in Blockchain technology. This addresses two top issues; congestion and transaction fees.
Blockchain technology has already entered a commercial space. Now, this is making its way into some bigger industries. It means Blockchain technology is all set to scale. But, there is a problem when it comes to transactions. The problem is, that Blockchain can only proceed with a few transactions per second. The Avalanche network was purposely designed to solve this issue. Now, with this nearly 6,500 transactions can be processed every second.
While using Avalanche, you don’t need to pay as much as Gas fees on Ethereum Blockchain. Even in terms of fees, this platform is quite affordable.
Working of Avalanche network:
Creators of the Avalanche network are continuously focusing on dealing with the issues faced by Blockchain technology. Some of these problems are limitations to scalability, usability, and interoperability. Avalanche network is a combination of three blockchains namely; X-chain, C-chain, and P-Chain.
X-chain uses Avalanche consensus protocol to manage assets. C-chain uses the snowman consensus protocol to create smart contracts. P-chain also uses the snowman consensus protocol to coordinate validators.
Avalanche consensus protocol takes care of transactions by making all the nodes work parallelly. It repeatedly checks transactions to confirm whether the transaction is valid or not. Snowman consensus protocol performs the same task but makes blocks work linearly.
All these Blockchains collectively make transactions safer and faster solving the scalability issues.
Concluding notes:
This is all about the Avalanche network, which aims at improving Blockchain technology. This solves the top issues in the scalability of Blockchain technology. Issues like transaction fees, transaction speed, and security are addressed by this network.
