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About Wrapped EGLD
What Is MultiversX (EGLD)?
- MultiversX is a blockchain protocol that uses sharding for fast transaction speeds.
- It has a smart contracts execution platform capable of 15,000 transactions per second, 6-second latency, and $0.001 transaction cost.
- EGLD is the native token, used as a store of value currency to pay for network usage.
Who Are the Founders of MultiversX?
- MultiversX was co-founded by brothers Beniamin and Lucian Mincu, and Lucian Todea in 2017.
About Wrapped EGLD (wEGLD): A Tokenized Bridge to Elrond’s Ecosystem
Introducing MultiversX (EGLD): A Revolutionary Blockchain Ecosystem
MultiversX is a pioneering blockchain protocol that leverages sharding to achieve exceptionally rapid transaction speeds. The project envisions itself as a comprehensive technology ecosystem for the new internet, encompassing fintech, decentralized finance, and the Internet of Things. Notably, its smart contracts execution platform boasts an impressive capacity of 15,000 transactions per second, accompanied by a mere six-second latency and a nominal transaction cost of $0.001.
MultiversX incentivizes its community and active participants with EGLD tokens, fostering a thriving ecosystem. EGLD, also known as Electronic Gold, is the native token of MultiversX, serving as a store of value currency to facilitate network transactions. Additionally, it functions as a medium of exchange, enabling seamless interactions between platform users and validators, with users paying transaction fees in EGLD and validators providing their services in return.
EGLD enables developers to seamlessly deploy smart contracts, protocols, and decentralized applications (dApps) on the platform, granting them the autonomy to execute any network action. By leveraging staking and validation rewards, as well as transaction fees, EGLD effectively governs the MultiversX network. Furthermore, as a governance token, EGLD empowers its holders to exercise their voting rights, influencing key network decisions.
MultiversX was initially unveiled in August 2019, with its mainnet officially launching in July 2020.
The Visionary Founders Behind MultiversX
In late 2017, MultiversX was co-founded by brothers Beniamin and Lucian Mincu, alongside Lucian Todea, with the primary objective of addressing the pressing issue of blockchain scalability, which they deemed the most critical challenge confronting the industry at the time.
Prior to MultiversX, Beniamin and Lucian Mincu co-founded MetaChain Capital, a pioneering digital asset investment fund, where Beniamin Mincu assumed the role of CEO and Lucian Mincu served as chief technology officer. The duo also founded ICO Market Data, a comprehensive aggregator of information pertaining to initial coin offerings.
Beniamin Mincu was also instrumental in spearheading product, marketing, and community development for the blockchain platform NEM from 2014 to 2015, alongside being an early advocate and investor in pioneering projects such as Zilliqa (ZIL), Tezos (XTZ), Brave, and Binance. Meanwhile, Lucian Mincu brings a wealth of experience as an information technology engineer and security specialist, having collaborated with esteemed organizations like Uhrenwerk 24, Cetto, and Liebl Systems.
Lucian Todea is a visionary tech entrepreneur with a proven track record of success, having founded and led Soft32, a prominent software review and download platform, and partnered with mobilPay, a pioneering mobile payments application. Additionally, he has made strategic investments as an angel investor, backing innovative ventures such as TypingDNA, a cutting-edge biometrics technology company, and SmartBill, a forward-thinking accounting platform.
Unveiling the Unparalleled Essence of MultiversX
MultiversX bills itself as a pioneering blockchain platform, tailor-made for the burgeoning new internet economy, decentralized applications, and enterprise use cases. Its unique value proposition lies in its exceptional scalability, boasting the distinction of being the first blockchain network to successfully implement state, network, and transaction sharding. As outlined in its economics paper, the platform aims to cultivate a thriving ecosystem, with EGLD poised to emerge as a coveted store-of-value asset.
To attain this objective, the network operates on 3,200 validator nodes, strategically divided into four shards: three high-performance execution shards, each capable of processing 5,400 transactions per second, and one coordination shard, dubbed the “Metachain.” MultiversX’s innovative adaptive state sharding architecture ensures comprehensive sharding of state, transactions, and network. This design enables seamless scalability, allowing the network to effortlessly add new shards as throughput demands increase. In a public environment, the network has been successfully tested to handle an impressive 263,000 transactions per second with 1,500 nodes from 29 countries, grouped into 50 shards.
To foster widespread adoption, the project extends its support to developers building on the platform, enabling them to reap 30% of the smart contract fees in the form of royalties.
The company holds a reserve of EGLD tokens, which are utilized for staking on the network during its inaugural year, with validator nodes earning a substantial 36% annual percentage rate.
Unlocking the Power of MultiversX: A Technical Overview
According to the MultiversX crypto team, the project incorporates a trifecta of segmentation – state, transactions, and network – leveraging parallel processing to significantly accelerate processing times and substantially boost transaction volumes.
MultiversX is a comprehensive software solution that leverages Adaptive State Sharding to achieve scalability, while sharing infrastructure to accommodate a burgeoning number of applications and transactions on the ledger. A modified version of the traditional Proof of Stake (PoS) operational protocol ensures seamless connectivity across all segments of the network, even when sharded. Consequently, the integrated environment facilitates the development of decentralized applications (dApps), which replicate real-world products and services.
The innovative developers at MultiversX have successfully merged three sharding methods to craft a distinctive adaptive approach. By segregating the network into four shards, they have created a robust infrastructure: three execution shards that process transactions at an impressive rate of 5400 per second, and Metachain, the fourth shard, which orchestrates and finalizes transactions with precision.
Sharding types encompass: State sharding, where the network’s historical data, or state, is distributed across disparate sections of the network, or shards, with each segment maintaining its own ledger and nodes storing the state of each respective segment; Transaction sharding, where transactions are mapped to specific segments and processed in parallel, with nodes capturing the state of the entire network; and Network sharding, where nodes are grouped into segments and subsequently processed, with network slicing contributing to optimized communication.
What Is the Circulating Supply of MultiversX (EGLD) Coins?
The MultiversX economic model is underpinned by a limited supply of 20,000,000 EGLD, which is incrementally augmented by newly minted tokens that serve as rewards for network validators. Notably, the maximum supply is capped at 31,415,926 EGLD, although this figure will gradually diminish as the network processes an increasing volume of transactions.
MultiversX’s native token was initially offered for purchase through a private sale, wherein 19% of its initial supply was allocated, with 7.5% being immediately unlocked upon token generation, and an additional 15.41% being released in tranches every three months. Furthermore, MultiversX conducted an initial exchange offering on Binance, in which 25% of the token supply was sold and made available for immediate access.
Of the remaining 56%, a 7% allocation was designated for ecosystem rewards, with 50% released immediately and the remaining 50% distributed six months later. An 8.5% allocation was earmarked for marketing, grants, and an accelerator pool for DApp developers, with 81.17% released upfront and 9.41% distributed every six months. A 2% allocation was set aside for a community fund, with 33.3% released immediately, 33.3% after six months, and 33.3% after 12 months. A 2.5% allocation was reserved for advisors, with the entirety released after one year. The founders and core team members of MultiversX received a 19% allocation, with 10% released after six months, 10% after 12 months, 15% released in installments every six months thereafter, and 20% released after 42 months. Lastly, a 17% allocation was designated for the company to support ecosystem development, with 33.3% of these funds, restricted to staking purposes during the first year, released immediately, and the remaining 66.6% distributed in three equal installments over three years, commencing after one year.
MultiversX’s inaugural token issuance took place on Binance Chain, denominated as ERD, with a total supply of 20 billion. In November 2019, 500 million tokens were burned, and subsequently minted on the Ethereum blockchain as ERC-20 tokens. The company then launched a token swap event in September 2020, allowing token holders to exchange their ERC-20 and BEP-2 tokens for mainnet EGLD tokens. Notably, the total token supply was significantly reduced from 20 billion to 20 million, achieved by setting the swap ratio at 1,000 ERD for 1 EGLD.
Ensuring the Integrity of MultiversX: A Robust Security Framework
MultiversX employs a secure proof-of-stake consensus algorithm, wherein nodes must stake their EGLD tokens to participate in the validation process. Each validator is assigned a rating score based on their past activity, which, in turn, influences their selection. Should a validator’s rating fall below a certain threshold, they will not be selected and will be subject to fines. Furthermore, validators who consistently engage in behavior detrimental to the network’s integrity risk removal from the network and having their stakes slashed.
Validators are randomly selected in a manner that is both unpredictable and immutable, with each selection uninfluenced by the preceding round of validations. Furthermore, validators are periodically rearranged across shards to thwart potential collusion. Meanwhile, nodes engage in secure communication with one another, leveraging modified Boneh-Lynn-Shacham (BLS) multi-signatures to ensure robust cryptographic protection.
Where to Acquire MultiversX (EGLD): A Comprehensive Guide
EGLD is available for purchase on prominent cryptocurrency exchanges, including Binance, OKEx, Bitfinex, and BitMax. It can be traded against a diverse range of assets, comprising fiat currencies such as the U.S. dollar and Indonesian rupiah, cryptocurrencies like Bitcoin (BTC) and Binance Coin (BNB), as well as stablecoins like Tether (USDT) and Binance USD (BUSD). Furthermore, EGLD can be bought and sold on both spot and derivatives markets, offering investors a flexible range of trading options.
Are you intrigued by the prospect of acquiring EGLD or other prominent cryptocurrencies like Bitcoin? CoinMarketCap offers a straightforward, step-by-step guide, expertly designed to educate you on the intricacies of cryptocurrency and facilitate your inaugural coin purchase.