Cosmos (ATOM) cryptocurrency: overview, technical features, forecast
Modern cryptocurrency platforms are often economic systems (ecosystems) designed to develop various applications that operate on the basis of blockchain technology. One of these platforms is Cosmos with the ATOM token.
Cosmos cryptocurrency exchange rate chart for all time (price in dollars):
A brief overview of the Cosmos ecosystem
The Cosmos ecosystem as a platform for supporting decentralized applications is constantly expanding. Now it has more than a hundred projects that can interact with each other, as well as with networks that are not part of the system. For example, you can exchange cryptocurrencies without a centralized exchange. The exchange mechanism is similar to the operation of smart contracts in the Ethereum network, but operates between different blockchains.
The Cosmos cryptocurrency token, called ATOM, was launched in 2017 as a result of the ICO. The amount of funds collected during the ICO exceeded $ 17 million. The initial value of the coin was only 10 cents. In the fall of 2021, the coin costs almost $ 40.
Technical features of Cosmos
The main technical problem of bitcoin and Ethereum is the low speed of operations (scalability problem). In the bitcoin network, ~ 7 transactions per second can be performed, in the Ethereum network – ~ 27 transactions per second. For comparison, the Visa network has an average value of 1700.
The low scalability of the two most popular cryptocurrencies is associated with the features of the PoW (Proof of Work) algorithm used. The Cosmos platform uses a different algorithm – PoS (Proof of State). Its application provides such advantages of the platform as high scalability and compatibility with other platforms.
ATOM tokens: the principle of operation, where to buy
ATOM is the main token of the Cosmos platform. This is a share token that can participate in voting for blocks and validating new blocks. They can be frozen, receiving passive income for storage in certain nodes (nodes). This earning mechanism is called stacking.
In addition to the Atom, there is another token in the Cosmos system – the Photon, which is called the commission token. In the future, the developers plan to create tokens to pay the commission in each hub of the platform.
In addition to stacking, an Atom can be obtained by buying a token on cryptocurrency exchanges, for example, Binance.
How is Cosmos different from other projects
The Cosmos platform consists of many independent blockchains. The main advantage of the platform is the implementation, i.e. the ability for users to create their own blockchains and combine them with other blockchains.
Cosmos cryptocurrency: prospects and price forecast
Due to the strong volatility of the cryptocurrency market as a whole, it is impossible to give an accurate forecast of the price change of an individual coin. In 2021, the cost of an Atom was growing, but it is difficult to predict whether this trend will be sustainable. Analysts predict a possible price change as an increase to the value of ~ $ 41 per coin, and a drop to ~ $ 17.
Published: 27 September, 2021
