With more than one million followers on their X account, an extensive ecosystem, and several blockchains that have been launched via their tech, we can only say that Avalanche is a true big player in crypto.
Avalanche (AVAX) is a fully open-source platform for launching decentralized (finance) applications. Enterprises can build their own customisable blockchain that fits their needs (private & public), in an interoperable and highly scalable ecosystem. Today we take a look at what Avalanche offers…
Avalanche – AVAX is one of the projects which we consider to be among the most promising blockchains around. ‘Competing’ directly with blockchains such as the Ethereum Network, Polkadot and Solana.
Avalanche (AVAX) is a decentralized, open-source Layer-1 blockchain platform launched in September 2020.
It aims to solve the blockchain trilemma of scalability, security, and decentralization while supporting fast, scalable, and secure decentralized applications (dApps) and smart contracts. It has become a household name for builders and developers that favor low fees and fast execution time.
The birth of Avalanche (AVAX) can be traced back to May 2018, when a pseudonymous group called “Team Rocket” published a foundational document introducing the Avalanche protocol. Behind the team were the following members;
Emin Gün Sirer, a computer science professor at Cornell University, along with his doctoral students Maofan “Ted” Yin and Kevin Sekniqi, founded Ava Labs in 2019 to develop the Avalanche blockchain. Ava Labs is a spin-off from Cornell University and leveraged the expertise of its founders to create a scalable and efficient blockchain platform.
John Wu, President at AVA labs: ‘’John Wu brings over 20 years of experience as a fintech executive – most recently as CEO of SharesPost Digital Assets Group – and technology investor at firms like Tiger Management, Kingdon Capital, and Sureview Capital (backed by Blackstone Group). John joined Avalanche as part of its acquisition of Investery, a SaaS platform he founded to facilitate investor discovery, management, and transacting of private market assets.’’
Their whole team can be found on their website, on this page, and has experience across various well-known companies:
Throughout its development, Avalanche underwent significant milestones. In May 2019, a private testnet was launched to evaluate the protocol’s functionality, followed by the public testnet in April 2020.
In July 2020, Ava Labs raised $42 million in an Initial Coin Offering (ICO), selling AVAX tokens to the public in less than 24 hours. The Avalanche mainnet officially launched in September 2020, marking the platform’s entry into the blockchain space.
This review of Avalanche (AVAX) was created for informational purposes. This article is not intended for promotion.
Avalanche uses a unique Proof-of-Stake (PoS) algorithm called the Snowman Consensus Protocol, enabling high transaction throughput and near-instant finality. The platform consists of three core blockchains: X-Chain for asset creation and peer-to-peer exchanges, C-Chain for Ethereum-compatible smart contracts and dApps, and P-Chain for coordinating validators and managing subnets. More on this below…
The system operates on its own blockchain but has the capability of aggregating other cryptocurrencies and blockchain protocols onto its network.
Transactional finality < 2 sec.
An Avalanche – AVAX crypto transaction should take less than 2 seconds to process and be considered permanent and irreversible whilst Ethereum – ETH takes about 6 minutes.
4,500 TPS – Transactions Per Second
The Avalanche – AVAX P-Chain has a roughly 4,500 tps. This means it can process roughly 4,500 number of transactions processed within one second. You can look at ‘tps’ as a rating for the performance of hardware and software, such as the MHz and GHz rating of the computer. Compared to other Blockchains is AVAX blazingly fast, as they advertise.
It’s ultimate goal is to deliver a highly scalable blockchain without having to sacrifice decentralization or security.
Validators that want to join the network specify the node’s ID, when they want to start & stop validating, how many AVAX is staked, the address to send rewards to & the delegation fee rate.
Those interested in staking their AVAX to an exiting node, can choose to do so to our partner’s node (Château Crypto), one of the nodes with the highest uptime available and lowest fee allowed by the network (2%): NodeID-LrSg1rvoyFVcwWRDo8cJsWpRswRjhY8a9.
There’s various reasons why developers decide to build on Avalanche. It’s easily possible to launch Ethereum DApps as the network is Solidity-compatible, there’s fast transactions, it’s highly scalable, powered by thousands of nodes, allows for the creation of custom public & private blockchains and enables developers to deploy any virtual machine (VM) on Avalanche.
Avalanche features 3 built-in blockchains: Platform Chain (P-Chain), Exchange Chain (X-Chain) and the Contract Chain (C-Chain).
The P-Chain is the metadata blockchain on Avalanche, which keeps track of active subnets & enables developers to create new subnets, as well as the P-Chain coordinates the validators. Both the P-Chain and C-Chain use the snowman consensus protocol, about which you can learn more here.
The X-Chain enables the creation and trading of digital smart assets, these assets can be stablecoins, utility tokens, NFTs, but also mimicked real-life assets (synthetic assets).
The C-Chain was created to simplify the life of Ethereum DApp developers. The conversion chain is compatible with Ethereum tooling, allowing for both the creation and migration of DApps.
To further accelerate growth of the network, Avalanche introduced their Avalanche-X Accelerator program, in which developers and companies can apply for a grant to fund their development. Developers can also access all sorts of resources and content.
Rather than focussing on a fixed roadmap, Avalanche is powered by their core team and through community development, which have completed over 5,500 different tasks already.
Avalanche boasts key advantages such as speed, finalizing transactions in less than one second, EVM compatibility with support for Ethereum tools, and a thriving ecosystem hosting over 200 projects.
Avalanche L1s are custom blockchains that give builders control and scalability within the Avalanche Network. With Avalanche L1 design, enterprises can control all platform layers, including custom virtual machines, gas tokens, compliance requirements, data privacy, and more.
Customization features that Avalanche Evergreen L1s offers;
Avalanche L1s have their own state and execution thread, so they do not share processing, TPS, or networking with the Primary Network. This enables lower latency, higher TPS, and lower costs for L1 activity. L1 validators also validate the Primary Network.
Onyx by J.P Morgan and Apollo Global delivered a proof-of-concept on an Avalanche Evergreen L1 that demonstrated the possibility of including tokenized alternative investments alongside liquid assets in discretionary client portfolios. Also Beam was an L1 launched on Avalanche.
Avalanche’s near-instant finality makes it one of the most powerful platforms for creating next-gen Web3 games. Avalanche’s growing ecosystem of developer tools and cross-chain interoperability allow games to easily connect with other games, platforms, and apps, creating a broader, interconnected universe for players.
From indie developers to industry leaders, Avalanche is helping push the boundaries of innovation, player ownership, and community engagement in gaming.
Visit the Avalanche Gaming Experience to discover more about Web3 gaming on Avalanche.
Off The Grid, the first battle royale game to bring blockchain mechanics to consoles, is making waves by leveraging Avalanche’s technology to power its in-game economy. Built on the GUNZ blockchain with the $GUN token, Off The Grid seamlessly integrates blockchain into its gameplay loop.
The $GUN token is the backbone of Off The Grid’s player-driven economy. Players earn $GUN through in-game actions like securing kills, placing high in matches, and completing challenges. Learn more about it in our extensive coinreport on GUN.
In other news, the world’s most iconic sports organization, FIFA, is also launching its own blockchain powered by Avalanche. A step in FIFA’s evolving Web3 strategy. The FIFA Blockchain is a custom L1 network designed to deliver digital collectibles and fan engagement at a global scale.
Balcony, a blockchain-based real estate platform, has partnered with Bergen County and several other municipalities in New Jersey to digitize property records using Avalanche. An initiative to be reported as the largest of its kind in U.S. history where Balcony is tokenizing over 370,000 properties in Bergen County alone, representing a staggering $240 billion in real estate value.
Avalanche’s robust and scalable blockchain infrastructure, accessed through AvaCloud, ensures that the digitized property records are tamper-proof, easily searchable, and highly resistant to fraud. Talk about bridging real world assets to blockchain.
Retro9000, an up to $40 million retroactive grant program, was announced today as part of Avalanche9000, the largest upgrade to the Avalanche ecosystem. Funded by The Avalanche Foundation, Retro9000 aims to reward developers for testing and launching foundational ecosystem building blocks on Avalanche.
Avalanche Academy is an extensive gateway to mastering the Avalanche ecosystem. With a wide range of courses designed for both beginners and advanced developers, you’ll gain the knowledge and skills needed to build, customize, and innovate on the Avalanche platform.
Visit Avalanche Academy today to learn about the possibilities in the Avalanche ecosystem.
Avalanche – AVAX has partnered up with Chainlink, Cartesi, Reef and others.
In terms to Play 2 Earn (P2E) gaming, AVAX added Polyient Games to their portfolio. Polyient Games invests in early-stage companies making decentralized gaming better and faster. Polyient Games is in it’s way partnered with Gala Games, well known for publishing games like Townstar and The Walking Dead Empires.
To read the whitepaper, make sure to visit avalabs.org/whitepapers
The native token, AVAX, powers transactions, staking, governance, and fee payments within the Avalanche ecosystem.
AVAX is indeed a hard-capped asset, similar to Bitcoin. This means there is a finite limit to the total number of AVAX that will ever exist, specifically capped at 720 million tokens.
The tokenomics involve minting and burning mechanisms. Validators earn newly minted AVAX for securing the network, with minting rates decreasing as the supply approaches the cap.
All transaction fees across the Avalanche ecosystem are permanently burned, reducing the circulating supply. The balance between minting and burning helps control inflation, with long-term scarcity increasing as burning outpaces new issuance during high-activity periods.
The initial supply of AVAX was allocated as follows:
AVAX has different unlock schedules that have been strategically designed to ensure the long-term stability and development of the Avalanche network. These include:
For more information, make sure to read stake-avax.com/how-to-stake-avax-on-avalanche.
DeFi is rapidly growing beyond the limits of one chain. Avalanche is fully compatible with Ethereum assets, apps, and tooling with faster speeds, higher throughput, and lower fees.
AVAX let’s you mint your own digital products in seconds for fees less than a cent with fully proven digital ownership such as art, collectibles, in-game items, music and more.
More info about AVAX NFT’s can be found at avaxnfts.com
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Avalanche (AVAX) is one of the projects we consider to be one of the most promising blockchains. It “competes” with blockchains such as the Ethereum Network, Polkadot and Solana.
Since it can process the most transactions per second with a transaction finality -less than 2 seconds- we think it could remain one of the better blockchains. Especially for DeFi and to build Play 2 Earn (P2E) games, combined with fast and cheap transactions to buy in-game add-on content.
We’ve tested this ourselves as well and haven’t had a single transaction fail when swapping our assets. In fact, we’re currently seeing more projects initially launch on Avalanche rather than the Ethereum Network for these reasons.
Avalanche presents a good opportunity of being the next builder ecosystem that has gone its own way after leveraging Ethereum technology, with many L1’s that launched on it and are on their own way of becoming successful.
The numbers are looking good, with the general Avalanche ecosystem expanding, with stablecoin supply surging 70% YoY to $2.5B, signaling increased liquidity. However, much of this remains inactive, limiting direct AVAX demand.
Over 10 million gamers have been onboarded to crypto wallets within the past year on Avalanche. With some of the biggest studios in the world bringing their player base on-chain, gaming adoption on Avalanche is inevitable.
More than $100 million worth of real-world assets are tokenized on the Avalanche blockchain. Trillion-dollar asset managers are experimenting with Avalanche L1 technology, making institutional adoption close to inevitable.
The bull case for Avalanche revolves around its scalability leadership, with its subnet architecture enabling enterprise-grade scalability and new sovereign blockchain variants and customizable L1’s.
Avalanche stands tall as a platform that enables developers and businesses to create without limits. With its technology, thriving ecosystem, and commitment to innovation, Avalanche is well-positioned to drive the future of decentralized applications.
As more enterprises, gamers, and institutions discover the power of Avalanche, the platform’s potential for growth and adoption is truly exciting. So, whether you’re a builder, a gamer, or an investor, keep your eyes on Avalanche.
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