What is Avalanche (AVAX)? - Kakiforex.com - Financial Market Media No. 1 in the World What is Avalanche (AVAX)? What is Avalanche (AVAX)?

September 14, 2021

What is Avalanche (AVAX)?

 Avalanche does not reflect its meaning, “avalanche or landslide”.

As one of the crypto technologies, Avalanche can be categorized as having unique advances as well as recording a satisfactory AVAX price potential.

Avalanche Establishment Trivia (AVAX)

Launched in September 2020 by Ava Labs, USA

Successfully raised $ 6 million, followed by public and private token sales totaling $ 48,000,000.

3 main founders: Emin Gun Sirer, Kevin Sekniqi, and Maofan “Ted” Yin

What is Avalanche (AVAX)?

A network that overshadows all activities, including the launch of decentralized financial applications (DeFi), financial assets, commerce, and other services with smart contract support.

What differentiates Avalanche from its two leading networks: Bitcoin (BTC) and Ethereum (ETH) is that this ecosystem is capable of handling 4,500 transactions per second compared to 7 transactions for Bitcoin and 14 transactions for Ethereum.

Not only that, Avalanche is able to complete transactions in just 2-3 seconds compared to Bitcoin (around 60 minutes) and Ethereum (6 minutes).

Arguably in February 2021, Avalanche’s only closest competitor is Ethereum. Generally it should be known, Avalanche is like a mirror of Ethereum because developers can develop anything be it new tokens, non-fungible tokens (NFT), smart contracts, and DApps.

Avalanche also has an Avalanche Virtual Machine (AVM), which is compatible with Ethereum Virtual Machine (EVM).

Perhaps many don’t know that Avalanche was actually developed with three interoperable mainnets or blockchains:

The Exchange Chain (X-Chain)

Used profitably to create and exchange AVAX tokens and other digital assets

Transaction costs using AVAX

Using the Avalanche consensus protocol

The Contract Chain (C-Chain)

Space for developers to develop smart contracts for DApps.

Using the EVM example, allows the encoder to distribute EVM -compatible DApps.

Using the Avalanche consensus protocol, Snowman - useful for managing smart contracts, and creating blocks.

The Platform Chain (P-Chain)

Incorporates network validators, tracks active subnets, and allows subnets generation (Subnets are sets of validators that provide consensus for custom blockchains)

Using Snowman.

AVAX token

AVAX supply is limited to 720 million. Every cost paid on the network will be burned as a deflationary mechanism. It plays 3 roles:

Staking with an annual revenue percentage (APY) of 11%. Stakers need at least 2000 AVAX.

Improving interoperability.

Payment of transaction costs and subnet subscriptions.

Investors are attracted to Avalanche because of its compatibility with EVM, and having low transaction costs. However, the network faces stiff competition between Ethereum, Solana and Polygon.

If you are interested in getting AVAX, you can get it at Binance, Huobi, and KuCoin.