Avalanche (AVAX) is a blockchain project that provides infrastructure for decentralized finance (DeFi) applications, digital assets, trading platforms and similar services. It allows anyone who wants to produce their own blockchain, digital asset or crypto asset on a decentralized platform without the need to develop a new blockchain.
Considering Avalanche to be the first smart contracts network to offer sub-second transaction settlement as standard, Av Labs developers Avalanche launched its mainnet in September 2020. The native token of the platform, AVAX, performs various tasks within Avalanche and also functions as a reward and payment system for users.
Developed by Ava Labs under the leadership of Emin Gün Sirer, Avalanche became one of the most sought-after projects with an increase of 30.8% in CoinGecko data in the last 24 hours. Trading at $64.47, Avalanche has a market cap of $14,108,424,868 and a circulating supply of 220,286,577.
AVAX has also set a new ATH, reaching $64.51.
Avalanche enables permissioned (private) or permissionless (public) blockchains to run on a single network. In Avalanche, the solutions needed can be developed in subnets according to preferences. Unlike a traditional blockchain solution, Avalanche does not progress in blocks on a single chain. All elements are designed as a subnet.
The consensus structure of Avalanche consists of four separate phases: Slash-Snowflake-Snowball-Avalanche. Decisions are made in rounds until consensus is formed, and it is often stated by the development teams that this structure protects Avalanche against 51% attacks.
As a Governance token, AVAX is the value staked by nodes who want to take part in the approval mechanism in the operation of the system. Rewarding and payment mechanisms in Avalanche networks operate through AVAX.
What Separates Avalanche from Others?
Avalanche provides decentralized asset trading that anyone can initiate and use, and it does so with a unique network in the digital realm to provide sub-second transaction confirmations. The developers aim to allow unhindered access by bringing together the huge, fragmented and often incomprehensible world of asset trading under one roof.
Developers can create and release any asset, from Blockchain to digital representations of any asset, allowing them to trade according to any given parameter. These include, for example, imitating compliance regulations in various jurisdictions. The AVAX token constitutes the in-house payment method for Avalanche and is used for incentives and related purposes as well as fee collection during transactions. Users can also earn passive income by staking their coins on the network.
Risk Disclosure: The articles and articles on Arover.net do not constitute investment advice. Bitcoin and cryptocurrencies are high-risk assets, and you should do your due diligence and do your own research before investing in these currencies.