Overview of NEO
Since the advent of Bitcoin, we’ve seen other projects enter the market; each wanting to improve on what is on ground. First, it was Ethereum which offered faster transaction times and cheaper costs in comparison to Bitcoin. Now, there are thousands of projects in the crypto space (some with overlapping functions), each struggling for attention.
NEO has been dubbed the “Ethereum killer”, along with other projects like EOS and Cardano. On a personal level, I have no preference for any project as an investor. What matters to me is the problem they are trying to solve, the team behind a project, the future value of a project, and how they are able to pull it off. So, let’s have a quick look at what this potential Ethereum killer is all about.
What is NEO?
NEO is a blockchain-based platform that integrates digital assets, digital identity, and smart contracts. Formerly known as Antshares, upon rebranding, the project introduced new features such as quantum-resistant cryptography, cross-chain protocol, a distributed storage protocol, an open API, and a secured communication protocol.
According to the team:
“We hope the platform can be used for different front-end scenarios, such as the Digital asset wallet, Forum, Voting, Profile management and Mobile applications.”
Components of NEO Blockchain
Digital Assets: These are programmable assets in the form of electronic data. The NEO platform supports both global and contract assets. Users can create profiles, trade, and manage the afore mentioned digital assets.
Digital Identity: I am certain you have an account on any of the social platforms. Digital identity has become a must on several business-related transactions. For example, I won a competition some years back and my sponsors had to look through my social media profiles before booking a flight for me.
The sad truth is that current infrastructures for managing user identity are quite inefficient, prone to error, expensive, insecure, and generally obsolete. NEO is solving this problem by offering a mechanism to store and authenticate digital identity for individuals and organizations in electronic form.
Using a Public Key Infrastructure (PKI)X.509, the entire process becomes quicker and more efficient. Verification of identity on the network may employ fingerprint, facial features, SMS, voice, as well as other multi-factor options.
Smart Contract: A smart contract is an agreement between two parties void of a third party or middleman. It is a piece of software with its own protocol for negotiating, verifying, and executing the terms of a contract.
NEO has a smart contract system called NEO Contract. The NEO contract boasts of high performance, certainty, and expandability.
Bonus Tip: One of the distinguishing features between Ethereum and NEO smart contracts is that while Ethereum has its own proprietary language called Solidity, NEO supports several code bases like C#, Java, VB.Net, and F#.
NEO has been praised and called the Chinese Ethereum. The project has potentials and its DApps feature has possible use cases in the data exchange market, advertising market, social networking, smart fund, and decentralized exchanges, amongst others.
Whether NEO finally annihilates Ethereum will depend on how quick they are able to come up with novel solutions, and how the market responds to it.