How Can NEO Perform Like No Other Cryptocurrency?
All about the cryptocurrency NEO. How has it overcome tight competition. The difference between NEO and Onchain.
The Current Cryptocurrency Situation
With the potential to emerge as the cryptocurrency of choice, NEO comes in a heavily regulated nation and perhaps across the globe, given the recent bans imposed by China. Quite different from that of most cryptocurrencies, NEO’s Onchain technology is designed to be regulator friendly with a centralized approach since its inception.
What Is NEO?
As it was founded as AntShares, the founders were Da Hongfei and Erik Zhan in China, which was then rebranded NEO as a blockchain-based platform also supporting the cryptocurrency that enables the development of digital assets and smart contracts.
Aiming to automate the management of digital assets by the use of smart contracts, NEO has an eventual aim of building a distributed network-based smart economy system.
Digital Equivalents On The NEO Platform
Theoretically, NEO is describing its Smart Economy System as Digital Assets+ Digital Identity+ Smart Contract = Smart Economy.
With easy digitization, the NEO blockchain is often considered to be an open decentralized, also trustworthy, and traceable, with a transparent manner free of intermediaries as well as associated costs.
It is possible to record, buy, sell, exchange or circulate various kinds of assets for the user. Allowing the linking of a physical asset with equivalent and unique digital avatar, on the network, the NEO platform supports the protection of assets. By registering these assets on its platform they have a validated digital identity and are protected by law.
Enabling verifiable key information about participating individuals, organizations and other entities existing in the digital context, these are done by the digital identity.
Without governance by any legal system or central mechanism, smart contracts allow the execution of transactions and agreement among different parties. Based on the programming code of the network and the coding allowing traceability, transparency, and irreversibility of transactions is how the contracts are executed.
Supporting two crypto coins, NEO and GAS, the programming is supported in most of the languages that include C#, Java, Go, Python and Kotlin. This facilitates a large community of developers helping in contributing to the platform.
Focus On Regulatory Compliance
Having a clear distinction, from other blockchain platforms NEO is focused on being regulatory compliant. The third key feature called its digital identity separates NEO from the rest while digitized assets and smart contracts are popular on other blockchain platforms like Ethereum.
It is expected to have a unique identity that can be verified for every individual, business or any other entity operating on the NEO platform . with the option to transact among themselves, people, businesses and projects have the required identity-making NEO network regulatory compliant.
Before they can contribute to transaction verification and other activities like accounting and bookkeeping, the various nodes on the NEO network may need identification.
The founders of NEO won the interest of various enterprises looking for private blockchain solutions. This led to the emergence of Onchain, an independent technology company working with necessary financial and legal frameworks providing blockchain solutions to various enterprises.
Even though NEO works like Bitcoin and Ethereum, Onchain focuses on creating private and consortium blockchains to meet the specific needs of the industry.
Distributed Networks Architecture (DNA) one of Onchain’s major products, uses digital asset applications helping businesses create private and public blockchain. Believed to be the blockchain platform DNA is customized to address all sorts of different problems in the private and public sectors.
NEO And Onchain: How They Differ
As separate entities existing independently, neither owning the other, NEO and Onchain are different. As targeting the B2C segment comes NEO where the C can refer to customers or even community while Onchain focuses on B2B enterprise services.
As NEO is separately funded by a public community, on the other hand, Onchain is backed by China’s largest private conglomerate called Fosun.
Both are separately funded. While NEO is being funded by a public community, while Onchain comes backed by China’s largest private conglomerate, Fosun.
NEO And Onchain: Their Vision
With common founders for NEO and Onchain, the vision is that they can achieve the cross-chain interoperability in the future, which is a mechanism that comes developed to connect and share information while between various blockchain no matter whether they are public like NEO or private such as those operated by businesses.
Eventually, there will be a need to have interoperability among various blockchain as the number of blockchain-based systems continues to grow in public as well as private domains. Hoping to fill this gap the teams at NEO and Onchain have the ongoing network-driven to success.
Trust and identity become important to enable such interoperability. An integral part of the NEO blockchain platform, the gap will be filled by the intrinsic digital identity.
Driving a much needed middle path between completely decentralized unregulated and anonymous blockchain systems, like Bitcoin and the conventional KYC compliant economy which is the present-day system of bank accounts and credit cards, comes the NEO and Onchain.
The type of all-inclusive approach undertaken, helps the attempts involving and that which serve the needs of those parties that include users, as well as network contributors similar to miners, transacting participants, private businesses and even the regulators, giving NEO and Onchain as the best place providing a wholesome solution and all the while the ongoing rift is between closed economy regulators as well as open system cryptocurrency enthusiasts that still exists.
The Bottom Line
With a centralized approach that looks promising, the technical robustness of the NEO-Onchain concept makes it an attractive option for everyone including the Chinese authorities as well as the foreign government that is wary of the anonymous and decentralized virtual currency market.