Most altcoins are nothing more than forks of other blockchains. They address perceived needs but are not designed to handle what happens when the demand and volume stress the system. Even Bitcoin, the $40 plus billion cryptocurrency, has become a coin where transactions can take several minutes to be completed due to a poor design. But where others fall short, this coin succeeds. And it succeeds in beautifully and stunningly efficient manner.
New Economic Movement
If you did not know, NEM stands for New Economic Movement. It is the idea in which the coin and its blockchain were created. The goal of the NEM Foundation is pretty simple, “a new economy based on financial freedom, decentralisation, equality and solidarity” as stated on its website. It is a response to Bitcoin’s perceived expected regulations thanks to government agencies vocal interest. The coin can do that thanks to its currency NEM coin (XEM).
The coin does not function in a standard blockchain, like Bitcoin of most altcoins. NEM developers thought about the importance of volume and trade by creating the brilliant concept of NEM’s Proof-of-Importance (POI). Moreover, the coin cannot be mined. All the coins that will ever exist are already available for trading.
Proof is in the volume
Makoto is a developer who works for NEM and explained to Motherboard how Proof-of-Income works. “With Proof-of-Importance, we hope to rectify [hoarding] by rewarding those who support the NEM economy by transacting with others.” The way they do this is by collecting information to determine how many user transactions are made and by which users to determine the value to the overall economy. This means that those who help the economy, and by extension NEM, are the ones being rewarded.
So if you want to “mine” the coin, you do so by involved in the currency. It is a brilliant way to avoid hoarders, which is something that Bitcoin suffers. Most of the early adopters, including Nakamoto, are still holding the majority of all BTC mined. Meanwhile, the NEM blockchain is always making sure all coins are circulating as much as possible at all times.
The sleeping giant is waking up
NEM market cap is close to surpassing $2.1 billion. That is a testament of how much the idea has caught on with people as time passes. Additionally, Muhammad Yafi, coordinator for the NEM Foundation in Malaysia, explains that NEM is not only fairer but also ten times faster than Bitcoin and Ethereum. In a blog post on NEM’s website, Yafi explains how the POI is causing full nodes to be rewarded, something that no other blockchain network has been able to do. Moreover, NEM 2.0 will be the first independent blockchain completely scam proof and used by several big corporations.
NEM volume seems to agree with the idea that people are increasing to see NEM as a viable option. The currency’s daily volume fluctuates between $5.5 million and $6 million. NEM is the cryptocurrency you know, but you are not looking. It is the sleeping dragon nesting in its cave. And the NEM dragon is waking up.