What Is Koinos?

Source: koinos.io

Koinos is a blockchain solution that seeks to solve the problems associated with using public blockchains for decentralized applications (Dapps). It is an upgradable public blockchain that values accessibility and maximizes decentralization. The Koinos project assists Dapps on three fronts: modular upgradeability, decentralization, and accessibility.

In addition to these, Koinos is also quite accessible. It reduces the barrier to entering the Web3 world. Koinos is a fee-less blockchain that boasts easy entry, free transactions, smart contract implementation, account creation, and more.

History of Koinos

The history of Koinos starts with Steem, a social blockchain that appeared in 2016. Steem was all about building a better blockchain, and its former developers still held these ideas. So, they created a company called Koinos Group that was geared toward the same general goal.

The group had five main staff members, led by Steve Gerbino as the CEO, and with half a million US dollars in funding, the team got to work on creating their flagship product, Koinos.

Koinos was announced in 2020, and a month after the project was launched on Ethereum, tokens were distributed. A year later, Koinos deployed the testnet, command-line interface, and the proof-of-burn mechanism. In 2022, Koinos had fully developed their decentralized government system, premiered their innovative mana system, and their mainnet went live. The next year, Koinos had its first in-band upgrade to protect it from bugs. They also improved the microservices for its mainnet.

How Does Koinos Work?

The services Koinos provides are supported by the ideals set at the project’s inception. For example, Koinos is interested in innovation; we can see this in its quest for modular upgradeability. Koinos handles core blockchain functions via smart contracts; this way, new features can be spread as quickly as Dapps.

Modular upgradeability in Koinos means it gives Dapps the power to easily change their programming without needing a blockchain hard fork. This makes upgrading a Dapp easier and more efficient. A hard fork would mean that a different version of the project would exist, and this can be inconvenient.

Projects on Koinos can also publish upgrades to the network individually, but there would be an on-chain record of all updates. Once the patches are set, the developers can add them to the network. Because of this, Koinos can provide a great testnet and mainnet that is similar to Ethereum’s, but even better.

Koinos is big on accessibility, and in pursuit of this, Koinos users do not have to spend anything to join the crypto game. Koinos can make this happen thanks to its mana mechanism and proof-of-burn system.

The mana mechanism is novel; it gamifies the crypto experience while reducing the barrier for entry, making Koinos very accessible. Think of mana as the mana you would see in a role-player game (RPG) game. Every KOIN comes bundled with mana, which is used to pay transaction fees. This way, users do not need to lose KOIN when they transact. New users do not need to buy KOIN to join the crypto world; KOIN holders can delegate mana to people who want to join. This is what makes Koinos a fee-less blockchain.

The mana never dries up; it replenishes with time, just like in an RPG, and it regenerates at a pace of 20% (relative to how much KOIN you have) per day. If a user’s mana finishes and they cannot wait for it to replenish, they could get more KOIN; everyone purchased will come with its mana attached.

In line with its goal of accessibility, Koinos operates a proof-of-burn system, which ensures that there is a lower barrier for miners to enter. This, in turn, will allow for better decentralization. The proof-of-burn system copies the economics of the proof-of-work system and the efficiency of the proof-of-stake system. With this system, anyone who wants to become a miner would need to have KOIN and then burn it in exchange for a virtual hash power (VHP.) The more KOIN miners burn, the higher their chances of producing a block.

Main Features of Koinos

With a project that is not typical, like Koinos, there would be many cool features. Here are some of the features that Koinos provides:

Seamless Upgrades

Hard forks used to be an unavoidable implication of tweaking a blockchain’s programming, but now, Koinos gives projects the ability to tweak and keep their blockchain how it is. When a hard fork happens, the project would typically split in two, one half being the old programming and the other half being the new one. This could have adverse effects on the project if not handled right. But with Koinos, this is a non-issue. Koinos has major parts of its blockchain handled by smart contracts; this is what allows Koinos to offer seamless upgrades.

Accessibility

The Koinos framework was made with accessibility in mind. The project reduces the barrier for new people to enter the Web3 world. Koinos creators say that the Web3 world felt like a “pay to play” system where you had to buy tokens to even get started. But with Koinos, people can join the fun for free, and they would pay with “mana.” The mana can be shared with people outside Koinos so they can come into the Web3 world.

Mana is used to pay transaction fees on Koinos; this makes Koinos a fee-less blockchain. Mana does not run out. It gets replenished over time, and it grows by 20% every day. Mana is pegged on a 1:1 basis with KOIN, and the percentage correlates to how many KOIN you have. For example, if you have 100 KOIN, that means you have 100 mana, and if your mana reduces, it will be replenished at 20 mana per day, which is 20% per day.

Eco Friendly

Koinos uses the proof-of-burn system, and this has a positive impact on the environment. For proof-of-work, there needs to be a network of devices to solve cryptographic codes that would then make a block to be added to the blockchain. The problem is that running all these computers is not good for the planet. The cryotherapy is difficult, and the device would need more energy. However, with the proof-of-burn system, miners use virtual machines and do not pollute the earth. There might be more work done using the proof-of-burn system, but miners do not use as much electricity as proof-of-work.

Decentralization

Decentralization is a pillar of Koinos’ creation, and in line with that, the project does not have an initial coin offering (ICO); instead, they employ fair launches that ensure a fair and egalitarian distribution of tokens.

Koinos also made governance very interactive. Holders of KOIN can bring up suggestions and proposals, which are deliberated on and then voted on. To reduce spam, every proposal comes with a burn fee that is calculated as the current total supply divided by 1,000,000 and also a “resource credit limit” of one-tenth of the burn fee. This is because every transaction fee is paid with Mana.

Koinos Ecosystem

Koinos leverages its blockchain to build an ecosystem of projects that make it easier for users to harness the power of Web3. In the Koinos ecosystem, there is a decentralized exchange, a couple of wallets, a launchpad, and so much more.

Koindx

Koinos group has a decentralized exchange that users can tap into. The exchange, Koindx, is another in a line of projects in the Koinos ecosystem. Koindx leverages the features of the Koinos blockchain to provide a great user experience. It has an automated market marker, impressive tokenomics, swaps, and a bunch of other features.

What is $KOIN?

Mana is used for transaction fees on Koinos, and this leaves room for innovation when it comes to its native token. KOIN is Koinos’ native token, and it is used to regulate the mana users get. Mana is tied to KOIN on a 1:1 basis; however, users could be delegated mana even when they have no KOIN. KOIN also assists with governance; only holders of KOIN can submit proposals or vote.

KOIN also helps with the proof-of-burn system. To become a miner, KOIN holders must burn their KOIN to get VHS in return, which is then used to mine and validate transactions. Holders would also have to burn to submit proposals. KOIN is also used to facilitate the creation of Dapps in the Koinos testnet and mainnet.

KOIN Tokenomics

Source: koinos.io

KOIN was first created through proof of work on the Ethereum network. This was a one-year contract; you can now find KOIN on the Koinos mainnet. The token was fairly launched with no initial coin offering or token distribution. It now has a total supply of 83.26 million KOIN, a circulating supply of 83.26 million KOIN, and a market cap of $20.90 million.

News on Koinos

In September, Koinos announced a new project called @koindx/koindx-token-announcement-26aa75d7dd6c">KoinDX. It is a decentralized exchange that promises to bring innovation to the forefront and reshape the DEX experience. The token also had an @koindx/koindx-airdrop-your-guide-to-participation-3b12bdeffb73">airdrop in September and already has a trading value of over four million dollars.

Is KOIN a Good Investment?

KOIN is quite an innovative project. It is a feeless project that tackles the issue of hard forks and provides a solution. However, we encourage interested parties to do their research and determine if they have the appetite for this investment.

Conclusion

Koinos is a feeless project that tackles the issue of hard forks and provides a solution. It is a blockchain that gives extra support to Dapps with its modular operability and accessibility. This is because it uses smart contracts for blockchain functions.

All of this, and Koinos’ innovative features like mana, its ecosystem, and have more people talking about the project.

Take Action on KOIN

You can take action on KOIN through a centralized exchange like Gate.io. You can click here to see what the market is like and then buy $KOIN.