Deciphering the working of Bitshares.
Bitshares is the living examples of an amazing collaboration between the traditional trading platform and the Blockchain Technology. It is nothing but a trading platform used, just like any other traditional platform but incorporates the amazing capabilities, like decentralization and security through Consensus mechanism of the Blockchain Technology. Hence, users can stick on with their traditional trading paradigms along with the advantages of the Blockchain Technology too.
- Developed by the visionary and an amazing computer scientist, Dan Larimer who is also the creator of EOS along with STEEM, the Blockchain seems to have a lot of potential in the real world.
- The cryptocurrencies aim to solve the key problems of the current financial systems such as speed, privacy, cost, etc but Bitshares is an initiative whose goal is to solve all the problems by integrating the best technologies. A venture which touches many fields of problems is undoubtedly to be very complex but if one needs to explain it at a very basic level then Bitshares is nothing but a collection of tokens which represent various financial assets and the exchange on which those tokens can be used to trade upon.
- Its lightning-fast capabilities have made it one the most popular mechanisms the cryptocurrency field has ever come across. According to some theoretical reports the network is capable of handling 100,000 transactions per second which are higher than the amount of volume that can be handled by Visa and MasterCard networks put together. In this particular mechanism, a block is created every 3 seconds which is the faster than Ethereum’s 15 seconds, Litecoin’s 2.5 minutes, and ultimately Bitcoin’s 10 minutes.
- Bitshares is nothing but a smart contract network where tokens may be exchanged for BTS which can intern be exchanged for bitAssets, smart coin related to real-world assets like gold, silver, shares, etc.
- The Blockchain network follows a Delegated Proof Of Stake consensus mechanism. In simple words, a total of 101 computers all around the world, control the whole network. As new users are added on to the network they can vote for a reliable and preferred node to run the network.
- The Bitshares exchange doesn’t have a single point of failure as the network is completely decentralized and yet is honored to provide transactional capabilities comparable to NASDAQ.
- The most important attribute, which seems to be lacking in the cryptocurrency domain, but is available here, is that all the assets or tokens on the exchange are backed up by twice the amount of asset. Hence there is absolutely no need to worry about the security of our funds. Literally, any financial commodity can be traded on the exchange from Fiat currency is gold silver commercial oils along shares of the companies.
- It is worth noting down that Graphene is the basis for all the mechanism in the network. It is basically nothing but a C++ code used to implement the Consensus mechanism of the Blockchain which is also most popularly used by some of the popular companies like steemit.com and PeerPlays.com.
- It provides for an optimized crypto trading along with providing stability to the cryptocurrency market also by effectively removing all the third parties. It’s stabilized smart coin is the key for all the effects in the system.
- The Bitshares coin can be purchased from various sources, but Coinbase is the most preferred option. One can deposit their Fiat currencies into the Coinbase account. Later on, these funds can be used to buy Bitcoin or Ethereum, which can intern be traded for the Bitshares coin respectively.
Bitshares is an amazing platform to invest all the real world assets, but with investment comes risk. Prior to making any kind of investments, an investor must approach a reliable professional in the field in order to calculate the amount of risk and the consequences which the investor is OK to bear with. If the user is very new to the cryptocurrency or trading domain, then it is advised to do an extensive homework and then come forward to invest in them as the markets are highly volatile.