It’s tough to decide which cryptocurrencies to invest in. Over 9,000 cryptocurrencies are available on the market, more are released daily.
What’s more? Popular coins such as bitcoin have grabbed the world by storm thanks to their sky-high valuations. This article explores one of the most modern and distinctive cryptocurrencies available – Moonbeam.
What is Moonbeam?
Moonbeam is a cryptocurrency platform that makes relaunching simple. Staking, on-chain governance, and, of course, cross-chain interoperability are all elements that this platform adds to Ethereum’s capabilities.
Additionally, it’s known as GLMR, and it’s a Polkadot-based smart contract parachain that works with Ethereum. This GLMR improves the systems contract execution, as well as performing decentralized programs (DApps) and the system’s security.
It’s utilized to pay for network transaction costs and the persons in charge of the system’s nodes. Holders can vote on governance ideas for the network.
Above all, the Moonbeam program works as a bridge, allowing users to transact on Ether and Polkadot simultaneously. The idea is that as time goes on, more people use the services that different blockchains offer. Thereby, creating things on one hand and putting them to use on the other.
Founders of Moonbeam
Derek Yoo is the CEO of Moonbeam and PureStake. They built PureStake, the Moonbeam Network and it provides secured contemporary blockchain technology to blockchain app manufacturers, initiatives, and organizations.
Katie Butler and Nate Hamilton of PureStake lead the Moonbeam Network’s management and business teams. In addition, both Moonbeam and PureStake have Stefan Mehlhorn as their chief operations officer, who specializes in early stage business management and operations.
Stefan has worked with firms such as Samsung Pay, Candibell Inc., LoopPay, Permessa, and Thinking Phone Network, to name a few.
The Moonbeam Mechanism (GLMR)
Parachains are decentralized networks built on the Polkadot and Kusama cryptographic ledgers. Investors use Polkadot’s security and scalability in these networks.
They do, have their coins, governance systems, and other characteristics. You can describe Polkadot as a decentralized network highway. It enables the transfer of any type of data or asset between blockchains.
To achieve unequaled scalability, the blockchain has a shared design. Parachains, on the other hand, can transfer data directly. Users can customize values to meet any demand.
The Relay Chain connects all parachains. As a result of this technical base, developers can securely use the services and features of other networks.
Users can earn low-risk rewards by putting their GLMR to work. Moonbeam allows you to give your coins to collectors. Then they reward the contributions of these nodes to the platform’s security. They disperse the prizes among those executed based on their staked amount of participation.
Moonbeam has community governance measures to make sure that they develop the platform with the needs of its users in mind. The proportional electoral system allows users to stake their tokens. The more tokens people wager, the more power their votes will wield.
The community of a project is kept together using this form of community governance.
Polkadot’s consensus technique is used by Moonbeam. In addition, the company announced its very own mega DPoS (Delegated Proof-of-Stake) alternative for network smart contract deployments.
This approach enables vertical scaling and improves scalability. Thus according to business literature, Moonbeam can process over 10,000 operations per second (tps). On the other side, Ethereum only permits 15 tps.
The top tier of the Moonbeam consensus method is made up of parachain staking. This system is responsible for selecting Validators, also known as collators, at the parachain level.
The system uses staked-based ranking to accomplish this task. The methodology then guarantees that every verifier is compensated for executing their responsibilities correctly. After that, the second layer removes collators one by one until every slot has its subset.
Moonbeam purchasers must have GLMR to use the site’s features and capabilities. The main utility token in the ecosystem is GLMR. It’s utilized for gas fees while establishing smart contracts, making transactions, moving cash, and staking.
The Polkadot ecosystem’s additional services are compatible with GLMR. It also serves as the network’s primary governance token.
Moonriver is a test stream for Moonbeam developers who wish to get their projects off to a good start. Developers can use this network to test and evaluate their Dapps in real-world economic scenarios. Also, by guaranteeing that only market-ready links are delivered to Moonbeam on the Polkadot, this strategy improves security.
Moonbeam and Ethereum Compatibility
Moonbeam’s compatibility with Ethereum is unrivaled. They are as follows:
- There’s no need to update or modify existing solidity smart contracts.
- Using a broad selection of Web3 RPC APIs, connect popular web technologies such as MetaMask, Hardhat, Waffles, Remix, and Truffle.
- You can use your present Ethereum H160 account and ECDSA identities to communicate with Moonbeam.
- Finally, existing oracles, gateways, wallets, and other devices developed on Moonbeam can be used. This is to acquire accessibility to most Polkadot connections.
Moonbeam (GLMR) is currently traded on the following exchanges:
- For Canada, Australia, Singapore, the U.k., as well as the entire world, Binance is the greatest cryptocurrency exchange. In the United States, GLMR is not purchasable.
- Gate.io, which was established in 2013, is one of the most reliable placess to buy GLMR. Above all, it is the most advantageous alternative for Americans.
Is Moonbeam a good investment?
Moonbeam is a smart contract platform built on Polkadot. It’s the ecosystem’s major smart contract parachain in actuality. In December, last year, Moonbeam raised $950 million for a parachain spot on the Polkadot system.
Crowdfunding was used to raise the cash, suggesting that crypto traders have strong confidence in the project. Moonbeam is the greatest option if you’re looking for a long-term venture with strong fundamentals.
Moonbeam has arrived at the right time. There are currently more Ethereum developers than ever before.
These organizations are determined to figure out ways to get around the current gas taxes while increasing the user experience. Moonbeam addresses these concerns while also expanding the developer’s options.
As a result, it plays an important role in the Polkadot and Ethereum networks. You can expect more goodies from this project team as the protocol’s marketing strategy rises in the coming months.
Note: Cryptocurrency investment is risky, you can lose your investment.