Avalanche is a general purpose blockchain platform founded by Cornell University professor, Emin Gün Sirer. Developers can deploy decentralized applications such as decentralized finance, gaming, and NFTs via smart contracts. Validators secure the network through a proof-of-stake consensus protocol which allows for fast and low-cost transaction processing. Developers and users of the network uses the native currency (AVAX) to pay for transactions.
How does Avalanche work?
Avalanche sees the piecemeal nature of the crypto market across the world as a big hurdle. Currently, different countries work on different financial systems and regulations. Smooth trading of digital assets can be problematic.
Avalanche aims to solve this. It’s aiming to create a unified global financial market, where users of the platform will be able to trade digital currency in a frictionless way.
The project uses the proof-of-stake consensus algorithm. This not only makes it fast, but also consumes less energy than some other exchanges available. Avalanche’s own consensus network, AVA, enables this while also allowing the development of Dapps by users to enhance the platform further. AVA also allows users to launch their own, admittedly smaller, networks with the right infrastructure.
The Avalanche network plays host to Ethereum, bitcoin, and other cryptocurrencies, as well as collectibles. It also enables P2P lending on its platform, something which has only recently come to the crypto space.
Avalanche: Defining Web3
In this official Avalanche video, John Nahas (VP of Business Development at Ava Labs) presents an overview of how Avalanche defines Web3, and the steps the team and the community are taking to bring adoption of Web3 through Avalanche.