What is Neo? First Blockchain Platform with Dual-Token Model

In a world that continues to develop rapidly, blockchain technology and crypto assets have become hot topics. One crypto project that is attracting attention is NEO. Yes, NEO is not just a token, it is the foundation for the blockchain revolution by providing a platform for smart contracts and decentralized applications. When this article was written, NEO was ranked 66th with a market capitalization of 843 million US dollars, citing the Coinmarketcap page .

Let's explore together what NEO is, how it works and its ecosystem, who created it, and the tokenomics and uses of the NEO token in the following review. 

What is Neo

Neo is a blockchain platform for building decentralized applications ( dApp). With Neo, developers can digitize and automate asset management through smart contracts. To achieve this, Neo developed NeoContract, a smart contract framework that works with NeoID, Neo Virtual Machine (NeoVM), and other ecosystem components. 

All of these components are needed to facilitate a variety of enterprise blockchain use cases, such as decentralized finance (DeFi) applications, data exchange markets, simplified investment management tools, and new processes for creating and interacting with decentralized exchanges (DEX) and liquidity provider (LP) tokens . 

Neo is not only a secure communications protocol, but also a system for issuing and managing digital assets such as stablecoins, security tokens, non-fungible tokens (NFTs), and synthetic assets. All of this is designed to be verifiable via the NeoID framework.

The Neo project is often referred to as “China's Ethereum” because the two networks have many similarities. Includes capacity and tools to create decentralized applications for a variety of purposes including decentralized exchanges and price markets.

source: neo.org

How Neo Works

To maintain blockchain security and keep its distributed network of computers in harmony, Neo uses a consensus mechanism method called Delegated Byzantine Fault Tolerant (dBFT). The dBFT protocol enables processing of larger numbers of transactions – up to 10,000 transactions per second – while operating between centrally agreed nodes.

The way dBFT works is similar to Delegated Proof of Stake (DPoS) and uses a real-time voting system to determine which computer can create the next block on the Neo blockchain. This means anyone who owns NEO can help operate the network. Each NEO token (sometimes referred to as a Neo coin) can be locked or “staked” to represent a vote (the more NEO staked , the greater the power of the vote). 

Thanks to the combination of the PoS protocol and the dBFT consensus mechanism, Neo ensures network scaling, faster transactions, and smooth operations with smart contracts and Dapp creation.

The Neo platform makes it easy for developers to run smart contracts (known as NeoContracts) and design new programs (dapps) that aim to replicate real-world products and services.

source: neo.org

The uniqueness of NeoContracts lies in the ability of developers to build applications using a variety of existing popular programming languages ​​(such as C#, Python, Go, TypeScript, and Java), without the need to learn new languages ​​as with other smart contract protocols . 

Therefore, NeoContract's ability to work using a variety of programming languages ​​could be attractive to a large number of developers looking to create dapps or support existing ones.

Who are the Developers Behind Neo's Success

Neo's creators are Da Hongfei and Erik Zhang. In 2014, the two founded Antshares, the foundation of what became known as NEO. Their vision is to create a more advanced blockchain platform with a focus on smart contracts and decentralized applications. This first step marks the beginning of an incredible journey in bringing innovation to the world of crypto. 

In 2016, Antshares officially changed its name to NEO. This change reflects the project's transformation stage from a national level to a global blockchain platform that has a vision of integration between the real world and the digital world. Da Hongfei and his team are committed to creating an ecosystem that supports the Smart Economy concept. 

What are the Uses of NEO Tokens

source: neo.org

NEO is a governance token, which can also function as an asset or “stake” in the NEO ecosystem. Holders of these tokens can participate in Neo network management, including voting for node consensus, adjusting consensus strategies, adjusting pricing models, modifying network parameters, and more. 

NEO can also be exchanged for GAS, which is a native token that functions as a utility token on the Neo network. The smallest unit of NEO is 1. This means that the value of this token cannot be divided further, so if you want to withdraw funds from the exchange to your wallet, you have to withdraw it in whole amounts. With this mechanism, NEO becomes one of the rarest public blockchain tokens because it cannot be broken down into smaller pieces.

These tokens are registered on the Genesis block and stored in the standby validator's multi-signature address. 

Tokenomics

NEO tokenomics covers the economic and distribution aspects of tokens in its ecosystem. Here are some key points regarding NEO tokenomics:

Two native tokens, NEO and GAS

• NEO (formerly ANS): functions as a governance token. NEO holders have the right to participate in long-term decision making regarding the development of the NEO blockchain.
• GAS: acts as a utility token used to pay for transactions and smart contracts on the network. NEO holders automatically earn GAS over time, creating an incentive for holders to hold NEO for longer periods.

dBFT Consensus Process

• NEO uses a Delegated Byzantine Fault Tolerance (dBFT) consensus model that provides a balance between decentralization and transaction speed. NEO holders have the right to elect node holders who will contribute to consensus, generate new blocks, and validate transactions.

NEO Supply Distribution

• NEO has a fixed supply of 100 million. Half of the total supply of NEO was released to token sale participants, providing an opportunity for the community to get involved from the start. To date, there are more than 70 percent of NEO in circulation with an estimated market capitalization of 2 billion US dollars. 
• The remaining half is kept for NEO developers, community funds, and investments in other projects. This helps support long-term development and the broader crypto ecosystem.

Tokenomics as an Incentive

• The GAS mechanism and supply distribution incentivize NEO holders to not only hold tokens, but also to participate in the development and maintenance of the network.

Community Resources and Support

• NEO provides substantial resources and support to its developers and community through the allocation of community funds. It aims to encourage innovation and ecosystem growth.

Periodic Development and Updates

• The NEO team regularly makes updates and developments to maintain network relevance and security. Major decisions regarding network development usually involve the participation of NEO holders.

With the combination of these elements, NEO tokenomics aims to create an ecosystem that is sustainable, fair and empowering for its community and developers.

Conclusion

NEO is a crypto project that wants to revolutionize the blockchain world with a focus on smart contracts and decentralized applications. As a platform, NEO enables the building of various applications, such as DeFi and investment management. With the dBFT consensus mechanism, NEO can process transactions quickly. With an innovative consensus model and strong support for the community and developers, NEO strives to create a sustainable and fair blockchain ecosystem.

The NEO token plays a governance role, giving holders the right to participate in network management. Additionally, NEO holders can earn GAS as a utility token. 

How to Buy NEO Tokens on Bittime

After reading a complete review of what Neo is, are you interested in buying and investing in this crypto project? You can buy NEO tokens on the best crypto exchange platforms in Indonesia, one of which is Bittime. NEO is available on Bittime in the NEO IDR pairing . 

To be able to buy NEO tokens on Bittime, make sure you have registered and completed identity verification. Apart from that, also make sure that you have sufficient balance to buy NEO tokens. For your information, the minimum purchase of assets on Bittime is IDR 10,000. After that, you can make NEO purchases in the application. 

Monitor today's price chart movements for Neo, Bitcoin, Ethereum, Solana and other cryptos to find out today's crypto market trends in real-time on Bittime.

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DISCLAIMER: This article is informational in nature and is not an offer or invitation to sell or buy any crypto assets. Trading crypto assets is a high-risk activity. Crypto asset prices are volatile, where prices can change significantly from time to time and Bittime is not responsible for changes in fluctuations in crypto asset exchange rates.