Cryptocurrencies and the blockchain technology are becoming mainstream day after day. This is because more projects are striving to incorporate this technology in to their industries and companies across the world. In the near future, the popularity of blockchains among financial institutions and national governments will spearhead the growth of Cryptos to another level.
In our case, ICON is a blockchain platform which is designed to create a link between several blockchains through smart contracts. Besides that, it aims at making sure that each blockchain still maintains its unique individual properties which include the consensus mechanisms. The main purpose of ICON crypto is to create a big decentralized network across the globe owing to its slogan “hyper connect”
With that brief introduction about the ICON cryptocurrency, we can now venture in to its history, founders, how it works, its token system and wallets. All this is at your best interest if your main aim is to have an in-depth understanding of ICON coin.
History of ICON Cryptocurrency
Since the introduction of ICON, many organizations have been involved with this Crypto. Some of the organizations included the ICON Foundation which is a non-profit organization from Switzerland. Besides leading the token sale of ICON, this foundation supports the community of this crypto in more than one ways.
There is also the Theloop company from Korea that is responsible for coming up with blockchain engines. In fact, it spearheads the development of smart contracts and the Nexus ICON of this blockchain. We also have the DAYLI which provides ICON with DAVinCI. This is a solution to artificial intelligence that selectively optimizes network as well as distribution.
The agile team that runs ICON includes 6 members of the council of foundation, 8 advisers, 13 of them in the blockchain department, 5 in artificial intelligence and 5 more in the marketing, security and designs department.
Understanding ICON Cryptocurrency
ICON comes with a loop chain that connects all the ecosystems in a blockchain through what they call the ICON republic. This is the governing head of federations which are independent bodies in the blockchain technology, being at the center of interconnected blockchain system which provides both private and public communication among the parties involved.
Most sensitive enthusiasts of the crypto market may be angered by the word central in the ICON cryptocurrency but this crypto remains aware of this matter. Actually, all the blockchains which are linked to the ICON Network have the freedom of operating independently on their own governance and incentive system. In addition to that, there are no barriers set when entering this Network. Anyone can always create a new blockchain then join the network freely.
As well, the new blockchains can connect with the already existing ones to form multiverse blockchain system.
The fact that ICON is run under DApps or decentralized apps it can provide ultimate security and identification to all its member’s. In that case, the members who are in the financial security community can always use it to make verification of IDs on another community. The purpose of the blockchain Ids, which operate via the smart contracts, is to help save on time while verifying the identity of a person in opening bank accounts among other activities.
On the other hand, we have payment and exchange which is designed to work between certain communities. Here a company in a different industry can send money to a particular business which is in a different community. By the help of the decentralized exchange system, the icon wallet is able to exchange, settle as well as transfer certain currencies in real time.
The basic structure of the ICON is based on the loop chain technology. This loop chain is a certain high performance customizable enterprise blockchain which has all the smart contract features. This was introduced by Theloop with customization features that can accommodate the needs of the different industries. By incorporating The Loop fault Tolerance in it systems, the network can support even the quick fork-less consensus.
The Loop Fault Tolerance
The Practical Byzantine Fault Tolerance (PBFT) has been modified to the Loop Fault Tolerance (LFT) version or still more like the Tendermint. The LFT is basically a consensus algorithm aiming at combining PBFT and the Delegated Proof of Stake (DPOS). The basic structure however still remains the same where the leader nodes are the ones who take turns in proposing the transactions in the blockchain while still voting on the validity of each transaction.
Unlike other networks, the Loop Fault Tolerance of the ICON works towards making the voting process efficient by trying to reduce amount of steps which are involved in this consensus process. The LFT instead uses the spinning technique which simplifies the whole algorithm used to select the primary nodes who are the leaders responsible for validatingthe broadcasting blocks to the appropriate validation nodes.
The ICON network uses the decentralized exchange to take care of the transactions done between two diverse currencies. In this case, there is a decentralized exchange which executes the trading system between the sellers and buyers on that blockchain. In the case where two blockchains are involved in transaction initiated by the B1 with the B2, this is what is bound to happen.
- The tokens of the B1 are processed by the C-Rep which then collaborates with the Nexus Loop chain to transfer the assets to the other blockchain.
- Nexus in turn uses the artificial intelligence model to determine value of the token from B1 using a certain algorithm. The value is compared to the prevailing values of the ICX Token.
- The Decentralized exchange will then automatically convert the amount of the ICX token to the B2 token value
- The B2 C-Rep will receive the B1 asset when converted in to their own token value.
From the above illustration, you can see that the ICX is the means used to transfer values of one token to the other. This is the cross-chain system which executes the exchange between B1 and B2 token through the decentralized exchange.
I hope that you now understand how the ICON crypto works. This being an ambitious project, it aims at creating a link between the blockchains in the growing crypto world. The interconnection between the blockchains despite their independent stand presents an exciting future for the blockchains world.We can only hope that ICON will be the platform that will achieve goal.