Avalanche is a blockchain platform for running decentralized applications, financial assets, trading, and other tasks.
Avalanche opened on September 21, 2020, embodying the vision for a scalable and productive smart contract platform outlined by the developers in 2018. Nevertheless, this is where the growth of the “Internet of finance” in the Avalanche ecosystem is simply beginning. The project has ambitious plans to simplify access to financial markets for a wide range of users and to integrate various blockchains into a single connected ecosystem. The avax to eth is one of the most popular crypo pairs.
Key benefits of Avalanche
Avalanche belongs to the category of smart contract platforms, otherwise called “Ethereum killers”. This is because they all operate purposes related to Ethereum, namely, they let you to launch active contracts while taking advantage in times of scalability and performance.
Avalanche has the following performance and throughput advantages:
– The throughput is above 4,500 transactions per second (14 for Ethereum);
– Completion of transactions is achieved in less than 3 seconds (6 minutes for Ethereum);
– As a platform for self-launching blockchains, Avalanche has a modular and customizable structure that ensures the security, scalability, and high performance of individual chains.
Modular structure. Anyone can use the components of the Avalanche platform to create a standardized blockchain that can be private or public and tailored for specific applications. Such blockchains are compatible with each other and function in a single ecosystem.
Customization. In Avalanche, developers have total power over the management of smart arrangements. They can set who is allowed to view or interact with their decentralized applications, who can control them, and which virtual machines or programming languages will be used.
Scalability and security. With its cooperation, tens of thousands of validators can join an exchange on the exact version of the purchase history in the blockchain, ensuring the safety and security of the whole operation.
AVAX is the proprietary token of the Avalanche blockchain platform. It is the main unit of account of the Avalanche network, used for security, launching new subnets, paying transaction processing fees, creating and exchanging new assets, managing the protocol, and incentivizing validators.
AVAX was launched with an emission cap of 720 million tokens, of which 360 million were issued with a zero block. The rest is released gradually along with new blocks. During the first year, the AVAX emission level is 7-12%. The maximum number of tokens is limited at the protocol level, however, validators can vote to change the rate of their release by the current economic realities.
In the Avalanche network, any validator node can assign unique tokens by staking enduring ones and actively engaging in agreement structure. The share of tokens issued by each validator depends on its share in the total amount of assets in staking, the duration of staking (values from 2 weeks to a year are taken into account), the duration of the node’s presence in the network, and delays in processing requests. Read more on https://letsexchange.io/exchange-rates
The Snow family of protocols uses the BFT consensus, which eliminates the need for staking pools, and all validators can participate in staking on their own and receive payments in proportion to their share. Another consequence of this approach is the minimal effect of luck on the number of collected rewards over time. User-paid transaction processing fees are burned, making AVAX a deflationary currency. Over time, Avalanche users are expected to carry out a large number of transactions, ensuring the economic sustainability of the network.