Aeternity (AE) – Beginner’s Guide, Information & Review
What is Aeternity?
Aeternity is a public, open-source smart-contract platform for decentralized applications with a focus on scalability. In order to achieve this, smart contracts are executed off-chain in private state channels between the involved parties. The main chain is used to solve disputes that occur inside the state channels.
Additionally, a decentralized Oracle machine is included which brings data from the outside, that can be used to execute smart contracts, into the network. Consensus is reached through a hybrid system of PoW and PoS, where PoS is used for voting and governance, and PoW is used to validate and attach blocks.
The native token of the Aeternity blockchain is called AE and is used to pay for computation.
The project was founded by Yanislav Malahov, a fellow colleague of Vitalik Buterin. A token sale was held from 29. May to 19. June 2017 where the equivalent of 24,426,689 USD was collected.
Can Aeternity be mined?
Yes. Aeternity will be operating with both PoW and Pos. The PoW-algorithm is called Cuckoo Cycle, and Pos will be used to vote on forks. The Cuckoo Cycle algorithm incentives machines with dynamic RAM, which means you can mine AE with your smartphone.
What differs Aeternity from other Cryptocurrencies?
The approach to tackle scalability problems that Aeternity is following is moving smart contracts off-chain. This is something new and innovative. Aeternity also works a lot with state channels, which in my opinion will play a crucial role in blockchain functionality in the future.
Another unique feature from Aeternity is its fairly new PoW-algorithm which allows mining from mobile devices. The core code is written in the programming language Erlang which is specifically designed for distributed systems.
How much is Aeternity worth today?
What is the total and the circulating supply?
The total supply of AE is 273,685,830 AE and the circulating supply at the time of writing is 233,020,472 AE.
Where can you buy AE?
You can buy AE on several cryptocurrency exchanges, most notably Binance.
Can AE be sold for cash?
You can sell AE for cash on several cryptocurrency exchanges that have fiat-pairings, most notably Koinex.
The project is currently in the testnet phase, and the launch of the mainnet is scheduled for Q2 2018.
Verdict and Rating
6/10 An innovative project which tackles the scalability issues from another angle by moving smart contracts of the chain. Also, the implementation of state channels and the unique, ASIC-resistant mining algorithm make this project very interesting. One to watch.
DisclaimerThe writer’s views are expressed as a personal opinion and are for information purposes only. It is not intended to be investment advice. Seek a duly licensed professional for investment advice.
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