Is the Neo Cryptocurrency The Ethereum of China?
Neo, formerly known as the Antshares is China’s first public Blockchain. It also claims to be the ‘Ethereum of China’ due to its iteration on Ethereum’s smart contracts. However, its unique features have managed to close certain loopholes in the Ethereum smart contracts. At the time of writing, it is among the top 10 cryptocurrencies in terms of market cap at over $1bn. Even in terms of value, it’s been facing a huge surge.
Neo & Ethereum Similarity
Neo has adopted a very similar operation strategy to Ethereum’s, but with clear differences that have proved advantageous. To start with, it is compatible with multiple languages like Microsoft.Net, Java, Kotlin, Go & Python. Whereas Ethereum’s support is limited to Solidity, a proprietary language developed by its own developers.
This way, Neo attracts a lot more developers. Because greater inclusiveness of programming languages reduces the barriers to entry for developers since they aren’t required to learn a new language to write smart contracts or work with Neo. Another key difference is that unlike Ethereum, Neo does not use ‘Miners’. They use ‘Bookkeeping nodes’ that will be incentivised to run the Neo network.
This way it becomes more resistant to forking, unlike Bitcoin and others. However, Neo is in a spot similar to Ethereum in its pre – existing stage in terms of value. Because just as it has been growing rapidly, so was Ethereum at that stage of $1bn or over market cap.
Trends in Neo Market
Since the beginning of August, it has gained much more than 300%. A rampant growth is seen in terms of both value and market cap. Bearing in mind that, for months its price had been hovering between $6 to $8, but now we see is its to be around $45 to $50. A somewhat similar trend was faced by Ethereum too at its early stage.
Together with Bitcoin (BTC), Litecoin (LTC), Ripple (XRP) and others, it is among the top 10 highest volume cryptocurrencies for this month.
Smart contracts are the most primary feature of Blockchain technology. They help you in exchanging the products or services and transferring money in the most transparent, secure, and conflict free way without the need of a middleman.
In the near future, Neo aims to create a whole different ecosystem for the smart contract. So for this, it will be tokenising assets, creating smart contracts and building digital identities that can be used for real world applications. It calls its smart contracts as – ‘smart contract 2.0’
The execution of smart contracts requires a virtual machine (VM). Neo aims to have a Virtual machine that combines all the other currencies’ advantages. While comparing to the Virtual machines of Bitcoin, Ethereum and Fabric, the VM has a faster execution speed, better performance, more complete logic control and supports to advanced languages. Plus developers can write a smart contract in several advanced languages without having to learn a new language.
Reach in the Market
Neo has been making several serious efforts at introducing itself to a wider audience. This is evident from its latest meet ups in Tokyo, the capital of Japan. The focus at Tokyo can be considered smart, as it has one of highest crypto volumes in Asia after China. Also, Neo supports several popular languages; it’s easier for developers to write contracts. This can be a competitive advantage.
As far as China is concerned, that country is known to prioritise its own products rather than the ones from the west. So it’s definite that Neo is here to stay in the Chinese market. People who have bought it are clearly on the winning side. Considering the fact that a few months ago it was only $2 and now it around $50.