In-Depth Look at the Chinese Answer to Ethereum
Formerly known as ‘Antshares’ Neo has a range of features that make it vastly superior to Ethereum.
Similar in some ways to the second-generation blockchain platform, NEO supports smart contracts which enable complex logic to be built into blockchain-based transactions. This means that tasks such as payments can be executed depending on pre-determined conditions and events being satisfied.
When the project first launched back in August 2016, its focus was mainly on digital assets, its marketing was lackluster, and its value languished for the best part of nine months. But then, something changed.
In the spring of 2017, things changed within the NEO project. An announcement was made regarding a major cooperation with the Chinese government and re branding of NEO. This led to a surge in value, as well as it was getting coverage in the English-speaking media.
From then on, it was dubbed as the “Chinese Ethereum” and the combination of that huge market, and an established name such as Ethereum catapulted its popularity to stratospheric new heights.
It also provides plug-ins and compilers for these languages which means that they can compile high-level languages into instruction sets that are supported by the NEO virtual machines. This means that the platform is much more accessible to many more developers because it means that they can use programming languages that they are already familiar with.
Blockchain platforms rely on consensus to ensure that all transactions are valid. Projects such as Bitcoin and Ethereum use what is known as a ‘Proof of Work” method which requires the use of a lot of computational power to solve complicated cryptographic problems.
Another popular method is the ‘Proof of Stake’ which uses blockchain nodes to stake or allocate funds in order to receive verification rewards. The benefit of PoS compared to PoW is that it uses significantly less energy and is more environmentally friendly.
NEO, however, uses a completely different consensus method called Delegated Byzantine Fault Tolerance (dBFT) which does not allow any splits or forks within the chain. This is a huge benefit as forks cause a lot of controversy within crypto communities and avoiding this drama means better stability for NEO platforms.
Ethereum and Bitcoin both suffer from costly and inefficient transaction times. Ethereum can handle around 15 transactions a second, but NEO can support 10,000. NEO is designed to handle mainstream apps such as Cryptokitties and it is also much better equipped to handle the future, as adoption increases.
Quantum Computer Proof
Each day we are getting closer to a time when quantum computers will be a thing. When they are, almost every cryptocurrency in the world will be vulnerable as these computers will have the ability to break them cryptographically. NEO is already immune to them as it uses quantum-resistant cryptography.
An NEO coin represents a stake of ownership of the NEO platform. With a total of 100 million NEO coins in existence, each one represents a share in its blockchain as well as voting rights for important decisions. As shareholders, they also get recurring dividends in GAS coins which are also used to pay for NEO transactions.