What is ICON Network?
ICON was founded in September 2017 by DAYLI Financial Group Inc. (DFG) of Korea. Smart contracts allow blockchain communities from fields such as healthcare, finance, and security to come together on the network, and citizen nodes provide a meeting place for various blockchains.
Known as the “ICON Republic,” the network addresses a pressing issue in the rapidly-evolving blockchain technology landscape – namely, how current blockchains use their own networks to prevent widespread adoption.
Data can be securely stored and transferred using the digital content distribution platform. ICON Network uses DID technology to implement a form of exclusive blockchain license. Decentralized financial systems (DeFi) that store users’ information on digital devices, such as smartphones, depend on this feature.
What is ICX Token?
ICX functions like Ethereum’s Ether, which is the official token or currency of ICON. The ICX token must be used for all transactions on ICON Network.
The ICX token supply was sold off for half its market cap in September 2017 during an initial coin offering (ICO) of approximately $43 million. Participants received their ICX tokens by mid-2018 after the ICON blockchain was launched in early 2018. Tokenized assets can be created with the ICON Network’s software using a standard token called IRC-16 in 2019.
How ICON Works?
The ICON project describes itself as a network that “allows interoperable economic actors to develop their distinctive forms of value as they choose.” Unlike centralized blockchains, where users must conform to predefined rules, each community node is allowed to grasp control of its own “corner” of the ecosystem.
ICON Network operates using a unique consensus mechanism known as delegated proof of contribution (DPoC), which runs on a loop chain algorithm known as loop fault tolerance (LFT). The protocol allows algorithmically selected users to vote for or against new block production.
Validator nodes then confirm the validity of proposed blocks and generate new ones following the validation process. By using “spinning,” the loop chain reduces the number of steps involved in generating and validating new blocks, and increases transaction speeds within the network.
What Makes ICX Unique?
- Community Representatives (C-Reps)
Users in the ICON Republic are elected by voting to represent their respective communities. They are usually paid in ICX.
- Citizen Nodes
They include active participants in the ICON blockchain. The nodes in this group are not able to vote. They can, however, perform transactions freely within the larger ICON Republic and individual communities.
- Community Node (C-Node)
Each community’s blockchain is maintained by this organized structure.
- DApp Creation
ICON also has a blockchain feature that allows users to build decentralized applications (DApps).
- ICON Community
The nodes are governed by a single governance system that determines their characteristics, node numbers, decision-making process, and government structure.
- ICON Republic
The C-Reps elect the principal governance structure of the ICON platform. ICX oversees the minting of new ICX coins, but they do not control the communities.
Nexus, the ICON Republic blockchain, is an algorithmically operated looped chain.
- Real-Life Application
Using ICON’s decentralized economic model, it is possible to store medical records and other high-profile personal data in many real-life scenarios. The network is also capable of processing transactions quickly.
- Aids Independence
Each community within the ICON Network is allowed to design its own system of operations and policies, which fosters independence while promoting interaction between the communities. Every economic player is able to register and operate according to their own terms, without being concerned about third parties interfering.
- Improved Security
Hacking, system failures, and cyber bugs are not easily facilitated by the protocol used on the ICON network. In this way, transactions are secure, and user information is protected. The network also runs a decentralized system to prevent the running of it from falling into the hands of a select few.
- Lowered Transaction Fees
Compared to competitors like Ethereum, ICON’s transaction fees are significantly lower. Different blockchains are present on the network, which permits interconnection and facilitates the transfer of funds, cryptocurrencies, and data, therefore lowering transaction fees.
- Fierce Competition
The ICON Network is a relatively new project, and investors may be skeptical, opting to use established centralized blockchain platforms instead.
- Scalability Issues
Considering that nodes must confirm every transaction carried out on the network, the ICON Network could run into scalability issues in the future.
Due to the existence of multiple blockchains operating simultaneously on the ICON platform, it may be difficult or tedious to manage each community and monitor its operations while maintaining the functioning of the larger ICON Republic.
Does ICX Make a Good Investment?
Since its inception, ICON Network has attracted several high-profile investors, and its value will likely continue to increase. Users will be attracted to the blockchain’s unique features, such as its blockchain mechanism and interoperability.
ICON will surely become viral if it can achieve the goals, objectives, and features it has laid out. It is likely that ICON’s focus on solving real-life problems in everyday economic systems (e.g., educational, commercial, and healthcare) will generate enough revenue to raise ICX’s value.
How to buy ICX?
ICX is currently worth around $0.358 USDT, users can buy it on BYDFi’s spot market.
While the ICON network has experienced high levels of volatility and uncertainty since its launch in 2017, it has nonetheless managed to stay afloat and maintain a competitive position in the crypto industry.
Decentralized ecosystem of ICON includes segments like the balanced network (an interaction between four representatives of the public) and the open money market (an interaction between three representatives of the public that allows the public to borrow assets and earn interest). As a result of these interactions, economic activity will increase across the network, bridging the gap between blockchains.
Investors will recognize the value of ICON Network as its utility grows. As a whole, we look forward to seeing how ICON performs in the future, because we believe it has great potential.