What is Internet Computer (ICP)

Internet Computer, a new cryptocurrency that debuted just recently, has swiftly risen to become one of the most valuable digital currencies, climbing into the top ten behind well-known names like Bitcoin, Ethereum, and Dogecoin. However, the recent introduction of digital currency seemed to be in vain, especially in a world with thousands of cryptocurrencies currently in circulation.

Nonetheless, the market immediately embraced Internet Computer and has remained interested in digital currency, in part because it pursues a different aim than many other cryptocurrencies. This is an in-depth review of how the Internet Computer works and why it’s different from the rest of the cryptocurrencies.

What is Internet Computer

Internet Computer (ICP) is a digital token or cryptocurrency that lets users construct apps, websites, and other web-based services. The Dfinity Foundation established the cryptocurrency, which is supported by Andreesen Horowitz and Polychain Capital, two well-known venture capital companies.

The cryptocurrency’s idea is that it may be used to re-create the internet but in a more decentralized form. Consider it a decentralized computer network capable of running fresh or different versions of web applications. As a result, the project’s founder claims it has the potential to compete with internet behemoths like Google, Apple, Twitter, and Amazon Web Services.

Key Features

The platform features a pre-set promotional base, where some market analysts have even set price objectives for the new cryptocurrency, predicting massive price hikes in the next years. That, understandably, has not slowed investor excitement in the least. Another great feature that comes with is virtual location.

It is not cloud-based but rather functions on a decentralized network. According to Dominic Williams, founder of Dfinity, Internet Computer works on dedicated hardware set up by independent parties, unlike many other blockchains that function on the cloud. Its financial features also make it a kind of hub for investors.

Andreesen Horowitz is a well-known venture capital company, while another important investor, known as Polychain Capital, specialized in cryptocurrency venture capital. Others join the party thanks to the support of well-known investors.

How does it work?

Because the Internet Computer is made up of a network of nodes distributed around the globe, all subnets must process the same messages in the same sequence in order to attain the same state. Internet Computer uses a new consensus technique, as detailed in this presentation, to ensure that the nodes powering the subnets can agree on the order in which messages should be processed.

Another one of the essential advances that enabled the Internet Computer to grow to millions of nodes is Chain Key Technology. The most remarkable feature of Chain Key Technology is that the Internet Computer one public key, allowing any device, including smartwatches and mobile phones, to authenticate the validity of artifacts created by the Internet Computer network.

History

Dominic Williams established DFINITY in 2016. He gave himself a goal in the creation of Internet Computer, which will reimagine the Internet as a supercomputer that hosts safe software. Today, the Internet Computer is a revolutionary technological platform that is tamper-proof, quick, scalable to millions of users worldwide, and enables a new type of unsupervised software that has the potential to undo Big Tech’s internet dominance.

The network employs some 203 active developmental panel members, spread out over 3 independent research centers. Its latest software release goes by the name Mercury.

Technology

Usernames and passwords are the most used methods of digital footprint and identification today. The consensus device has been superseded by Internet Computer, which uses a more modern and secure technique of cryptographic authentication that prevents service providers from stealing your data or tracking your travels.

NNS is another technological panel on which it operates. The Network Nervous Framework (NNS) is an open algorithmic governance system that regulates the Internet computer network. Its capability to update the architecture and code used by node computers, integrate new node controllers and devices into the system, and construct additional datastores, like mini blockchains, to improve network capacity are just some of its major breakthroughs.

Most notably, the NNS operates by receiving ideas and choosing whether or not to adopt or reject them depending on the lobbying behavior of dozens of “neuron” holders. NIDKG is another key part of the network’s operation, where it employs sophisticated cryptography, the likes of forwarding privacy encoding, and unoptimized zero-knowledge proofs.

ICP Token

Apps for decentralized finance, often known as DeFi in the industry, are another option. Cryptocurrency might be used in such DeFi apps to imitate, or replace traditional financial operations, particularly the Internet Computer cryptocurrency.

According to Dfinity, because of its highly decentralized network, the Internet Computer can grow its capacity to meet increased demand. As a result, it could be more beneficial to think about the Internet Computer as a network that employs blockchain technology to power apps rather than cryptocurrencies, in the traditional sense. Its lower market value makes it more reachable to more users across the entire industry at large. The current token supply is set at 400 million.

What is the Internet Computer Token used for?

Users of ICP tokens have administration privileges, letting them decide on network suggestions and changes through the Network Nervous System (NNS). Users may also receive ICP tokens by participating in the NNS administration elections. Long story short, the token can be utilized as an incentive for individuals who contribute significantly to the improvement of computing resources

How to store ICP?

Alas, ICP crypto is not supported by as many storage service providers as others like DOGE or BTC. Still, the Binance or Coinbase Web apps can be a good start, even if the storage of crypto in exchange wallets is not ideal. A couple of other specialized wallets can also be used, the likes of BitGo, Exodus, and Ledger, among others.

Pros

  • Ease of use
  • Understandable platform
  • Tradability with other tokens
  • Reliable operator and support panel
  • Allows multiple investment initiatives

Cons

  • The token is prone to duplication
  • Can be used by black market investors and traders
  • Uncertain network future
  • Indifference from most other Altcoins and BTC derivatives

Conclusion

Regardless of its reputation, Internet Computer crypto may not be available for trading at every broker or exchange. However, it is available on at least two of the main exchanges. Binance, which just completed its IPO, lets customers purchase, sell, trade, transmit, and keep the cryptocurrency, while Coinbase also enables users to trade it. You can also make use of the services provided by Gate.io, even though it is a relatively smaller and less known platform.

The Internet Computer network offers a slew of advantages, but users should also be aware of what they’re getting. When dealing with cryptocurrencies, which have dramatic price fluctuations and can quickly shake off inexperienced traders, this all comes as part of the risk that traders should be in expectance of.

As a result, it is very likely for people to get caught up in the moment and make emotional decisions without considering their goals over time.




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