With legacy blockchain protocols such as Bitcoin still struggling to alleviate its flaws surrounding speed, scalability, and energy-efficient transaction validation – a gap in the market potentially exists. Estonia-based start-up QAN claims to have solved the aforementioned issues via its QANplatform framework.
In a nutshell, its innovative Proof of Randomness (PoR) consensus mechanism is able to achieve high transaction throughputs in an energy-efficient manner, while at the same time supporting multiple developer languages. Moreover, the QANplatform has been built to counter the threats of advanced computing capacities of the future – notably Quantum computing attacks.
If you’re interested to find out more about QAN and how the platform aims to differentiate itself from existing blockchain protocols, be sure to read our comprehensive review.
What is QAN?
Launched in 2018 and backed by the Centrum Circle Group, QAN is a blockchain framework that aims to solve the ever-present issues found within existing projects such as Bitcoin, Ethereum, and Litecoin. This centers on issues concerning slow transactions, super low scalability capacities, a strong reliance on high energy usage to confirm transactions, and no safeguards in place to counter the potential threats of Quantum computing.
With that being said, the team behind the QANplatform has built a revolutionary consensus mechanism to take blockchain technology to the very next level. Known as Proof of Randomness (PoR) – the mechanism improves on the capabilities of legacy blockchain systems and thus, solves a lot of the problems mentioned above.
Without getting too technical, the PoR mechanism bases its principles on Algorand’s Algorithm, albeit, with the capacity to take scalability to the next level. As the mechanism does not rely on stakeholders needing to have synchronized clocks, the protocol is able to operate in an energy-efficient manner, without compromising on speed or security. In order to remain efficient at all times, QAN is able to facilitate the process of voting and block propagation concurrently.
We’ve broken the benefits that this yields in more detail below.
It is no secret that Bitcoin is still being held back by its ability to handle large transaction volumes. In fact, the system still averages just 7 transactions per second (T/ps). On the contrary, the QANplatform has thus far achieved a throughput of 1,600 signed T/ps. Although these figures are primarily based on in-house testing, this at the very least presents promising results.
As we noted earlier, legacy blockchains such as Bitcoin are required to consume significant amounts of energy to keep the underlying eco-system safe and secure. This is effectively driven by the competitive nature of the Proof of Work block reward system that Bitcoin utilizes.
This is in stark contrast to the permissioned ledger system that the QANplatform is based on, not least because it has a strong commitment to fairer wealth distribution. This is further amplified by the PoR consensus mechanism, as the validation process ensures randomness beyond doubt.
One of the biggest pain-points for seasoned developers is that they are often required to learn new programming languages to engage with the blockchain protocol. This is especially true with Ethereum, insofar that it requires developers to learn its native Solidity language in order to create smart contracts.
With that being said, the team at QAN are committed to making their blockchain platform more inclusive, by allowing developers to engage with the protocol via widely used languages that they already know and understand.
Fixed Transaction Fees
Whether it’s regarding a conventional token transfer or a smart contract deployment – transaction fees on the QANplatform are fixed. This ensures that QAN stakeholders, whom are mainly enterprises, are accustomed to a reliable and consistent pricing model.
On the contrary, existing blockchain infrastructures often utilize a variable transaction fee model, insofar that the underlying costs increase as the network experiences higher demand.
One of the most promising features of the QANplatform is that it has been built from the group-up, subsequently allowing the network to counter the threats of Quantum attacks.
For those unaware, various commentators within the blockchain industry argue that once the capabilities of Quantum Computing are realized, they could have the potential to override consensus mechanisms such as Proof of Work. However, by ensuring that the network is Quantum Resistant, the team at QAN has built a blockchain system for the future.
QAN does so by utilizing Lattice-based cryptography. Briefly, it is resilient to quantum attacks thanks to how the digital signatures are built. Lattice cryptography has been widely recognized and is based on the work of 13 mathematicians across the recent 20 years.
Keeping the QANPlatform Secure
In terms of keeping the QAN ecosystem safe and secure, the decentralized platform utilizes two key stakeholders. Notably, this includes the node operators themselves, as well as randomly selected block validators. As both stakeholders are financially motivated, they are therefore motivated to keep the network free from the threats of malpractice.
Moreover, each and every stakeholder that wishes to participate as a block validator must pay a license fee. All license fees are then transferred to a decentralized deposit pool that has been installed to eliminate the threats of fraud. As such, there would be no motivation for block validators to engage in malpractice, not least because they would lose their license fee.
When it comes to revenue generation, the QANplatform achieves this from three key avenues. This includes the transaction fees paid by those using a smart contract; the code development costs paid by specific smart contract developers; and development costs paid by generic smart contract developers.
These fees then contribute to the stakeholders that are tasked with keeping the blockchain secure, subsequently allowing the QANplatform to operate in a self-sufficient manner.
The QANplatform has also created its own native cryptocurrency. Known as the QARK Token, the token will initially be launched as an ERC-20 token for the purpose of its fundraising campaign. This will be facilitated as an Initial Exchange Offering via the BitBay Exchange in Q4 2019.
In total, there will be 333,333,000 QARK Tokens in circulation, with two-thirds of this amount for sale on BitBay – across both a public and private sale.
Once the QARK Token makes the transition from an ERC-20 token over to that of a proprietary QANplatform token, it will be used to fuel the entire QAN ecosystem. This includes the block validation reward system, whereby stakeholders will be paid in QARK Tokens. Moreover, the QARK Token is also the currency of choice when it comes to paying license fees, which is a requirement to become a block validator.
Timeline Moving Foward?
The QAN project is still in its infancy, meaning that it still has a long way to go in achieving its long-term objectives. Nevertheless, the team will be engaging in their BitBay IEO soon, and the QANplatform’s initial demo launch is imminent.
In terms of the fully-fledged MainNet launch, this has been planned for Q2 2020. During the same quarter, the team at QAN is also planning to reach its target of netting 97,000 T/ps via its private chain.
Theoretically, at its currently QAN chain lab testing results of 1,600 T/ps, this carries the long-term target of achieving just over 155,000 T/ps. If this target can be realized, then this would be sufficient to facilitate the needs of virtually any industry sector. However, this is yet to be seen.
In summary, although the QANplatform is still in its very early days, there is much to like about the team’s ambitions. If the platform is able to realize its target of facilitating extreme scalability demands in an energy-efficient and secure manner, the project is likely to do very well.
Moreover, through its Proof of Randomness consensus mechanism, stakeholders are financially incentivized to keep the blockchain infrastructure free from the threats of malpractice. When you factor in the platform’s ability to counter the future abilities of Quantum Computing, QAN ensures that the underlying ecosystem is fully protected both in the short and long terms.
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