The most far-sighted developers, even before the dramatic growth of capitalization in 2017-2018, saw a prospect in cryptocurrencies. At the time, two ideas were the most popular: payment systems and decentralized app platforms. Emerging new startups were improved versions of existing VTCs and ETNs, which to some extent eliminated the bugs inherent in older systems. The developers of Lisk cryptocurrency went even further – they created a kind of hybrid of bitcoin and ether based on a brand new consensus algorithm. Read about what is Lisk, what are its advantages and differences from ether, and what are the prospects of quotations in this review.
The cryptocurrency Lisk (lisk.io) is an open-source platform for creating decentralized applications with signs of a payment system. Applications of this platform are financially oriented, that’s why Lisk is called a network, which provides payments of different types. The idea of the project appeared after the vulnerability of the PoW consensus algorithm led to the hacking of the ETN-based DAO. Part of the Ethereum team, led by Steven Nerayef, who disagreed with the network fork, left the platform and began work on a new project that would address the security of the blockchain. The founders of the project are Max Kordek and Oliver Beddoes.
The platform was first presented to the cryptocurrency community in February 2016, but it did not start functioning until 3 months later. During the ICO process, the developers managed to raise about $6 million. U.S. DOLLARS. According to this indicator, the coin was second only to ETN, which at the time of the ICO was able to raise about $18 million. U.S. DOLLARS. The fact that the platform appeared in part due to the natives of ETN, allowed it to quickly gain strength and enter the top 30 in terms of capitalization, where the coin is to this day. Compared to other “copies” of ether, Lisk turned out to be the most successful version thanks to the successful implementation of the model.
Technical features of Lisk:
- The consensus algorithm is DPoS. The developers chose to move away from the problematic PoW algorithm, taking the delegated share proof as the basis. This algorithm differs from PoS in that the decision in the blockchain is not made by the majority of miners, but by the 101 delegates with the highest number of votes. A 51% attack and a Sibylline attack are excluded. You have to own more than 50% of the coins to gain control of the network, which is financially unsustainable.
- There is no Lisk mining as such. Ordinary users vote for delegates, who release the coins gradually into circulation. The initial distribution of tokens was as follows: 85% was distributed among investors, 8% was left for the platform team, 4% went to the administrative costs and advertising, 2% was sent to the project consultants and 1% was charity.
Lisk does not use a virtual machine, which is the basis of Ethereum.
Where to buy Lisk cryptocurrency
The Lisk coin is popular: it has been added to the listings of more than 20 exchanges from different regions of the world. But the largest turnover accounts for the popular in the CIS relatively small exchange Yobit (yobit.net) – about 30-33%, which amounts to about $2.5 million. U.S. dollars every day. The share of Lisk in the turnover of the exchange itself – about 10%, by this index the coin yields only to BTC, ETH, ZEC and DASH. Bit-Z (bit-z.com) is in second place in terms of trading turnover – 13-15%, in third place – Binance (binance.com/ru) with 9-10%.
Accounts of cryptocurrency exchanges can hardly be called reliable, given the increasing incidence of hacking. I would recommend to download Lisk cryptocurrency wallet from the official website of the platform, registering there in advance. Buying a coin on the exchange, you save it in a wallet on your computer, thereby eliminating the possibility of interference from third parties. You can also use Lisk cryptocurrency cranes, but it is rather a waste of time. Despite the fact that there is no initial investment in the cranes, earnings here are small and there is a risk of non-payment of money by the cranes.
Prospects for Lisk cryptocurrency
The outlook for cryptocurrency Lisk is rather optimistic. Despite the fact that news about the startup appear relatively rarely, there is information that Microsoft Corporation is interested in cooperation with the platform, which implies the use of Lisk in the development of the Microsoft Azure cloud network of calculations. In addition to financial applications, the social network for artists and designers Discovr, a sales platform (analog of online stores) MarketPlace and other startups are developed on the basis of Lisk.
Compared to most other Ethereum analogs, Lisk looks very attractive, though it’s too early to talk about serious success. Lisk cryptocurrency exchange rate for the most part has the same chart as the overall market capitalization picture. While the platform is still in the development stage, it does not have any cardinal advantages that would push the price of Lisk cryptocurrency against the general trend. Therefore, we can say that the most influential factors on the rate will be:
- General market behavior and investor confidence in cryptocurrencies;
- further development of the platform in accordance with the roadmap;
- The accession of new participants to the network and the policy of regulators.
The Lisk platform was created as the main competitor to Ethereum in order to eliminate its main shortcomings. Partially, the developers succeeded, but they did not manage to overtake ethereum in terms of capitalization yet. In addition, the platform has other strong competitors – EOS and NEO, which are ranked in the top 15. Lisk has potential, but based on moderate volatility, it is better to use it as a reserve to diversify risks in a long-term strategy. However if you have another opinion, I suggest to discuss it in comments.