This is the part 2 summary notes of some blockchain protocols – based on the top protocols ranked in CoinMarketCap.com. It is a systematic walkthrough of the popular protocols. The ranking and capital data is on 04/21/2022.
Polygon (MATIC) has a market cap of $11.16B, ranked 17th.
Polygon (previously Matic Network) is the first well-structured, easy-to-use platform for Ethereum scaling and infrastructure development. Its core component is Polygon SDK, a modular, flexible framework that supports building multiple types of applications. Using Polygon, one can create optimistic rollup chains, ZK rollup chains, stand alone chains or any other kind of infra required by the developer. Polygon effectively transforms Ethereum into a full-fledged multi-chain system (aka Internet of Blockchains). This multi-chain system is akin to other ones such as Polkadot, Cosmos, Avalanche etc. with the advantages of Ethereum’s security, vibrant ecosystem and openness. Polygon (formerly Matic Network) is a Layer 2 scaling solution backed by Binance and Coinbase.
Polygon combines the Plasma Framework and the proof-of-stake blockchain architecture. Polygon boasts of up to 65,000 transactions per second on a single side chain, along with a respectable block confirmation time of less than two seconds.
2 NEAR Protocol
NEAR Protocol (NEAR) has a market cap of $11.15B, ranked 18th.
NEAR, launched on 04/22/2022,is a blockchain that is secure and performant (up to 100,000 TPS). It uses human-readable account names. NEAR also introduces unique solutions to scaling problems and has its own consensus mechanism called “Doomslug.”
The preferred programming language for writing smart contracts on NEAR is Rust.
Cronos (CRO) has a market cap of $10.58B, ranked 19th.
CRO is the native cryptocurrency token of Cronos Chain — a decentralized, open-source blockchain developed by the Crypto.com payment, trading and financial services company.
Cronos (CRO) has a market cap of $7.30B, ranked 22nd.
TRON is an advanced blockchain platform that is built to decentralize and democratize the content distribution industry through an arsenal of permissionless tools, platforms and protocols. TRON is built to power a decentralized internet, where individuals can access content without geographical restrictions, censorship or limitations. It includes a number of features that help achieve this goal, including:
- On-Chain Governance
- Token support
- Hig Scalability of 2,000 TPS
- Tron Virtual machine is compatible with EVM
Cosmos (ATOM) has a market cap of $6.94B, ranked 23rd.
Cosmos bills itself as a project that solves some of the “hardest problems” facing the blockchain industry. It aims to offer an antidote to “slow, expensive, unscalable and environmentally harmful” proof-of-work protocols, like those used by Bitcoin, by offering an ecosystem of connected blockchains. The Cosmos software development kit focuses on modularity. This allows a network to be easily built using chunks of code that already exist. Long-term, it’s hoped that complex applications will be straightforward to construct as a result.
Cosmos uses a proof-of-stake consensus algorithm. Validator nodes that stake a higher quantity of ATOM tokens are more likely to be chosen to verify transactions and earn rewards. Nodes that are found to be acting dishonestly are penalized — and they can end up losing the tokens that they had at stake.
Chainlink (LINK) has a market cap of $6.54B, ranked 24th.
Chainlink is a decentralized oracle network that allows blockchains to securely interact with external data feeds, events and payment methods, providing the critical off-chain information needed by complex smart contracts to become the dominant form of digital agreement.
Chainlink is one of the first networks to allow the integration of off-chain data into smart contracts. With many trusted partners, Chainlink is one of the major players in the data processing field. Due to the integration of off-chain data, Chainlink has attracted the attention of numerous trusted data providers, including Brave New Coin, Alpha Vantage and Huobi. Data providers can sell access to data directly to Chainlink, thus monetizing the information they have.
As a decentralized network, Chainlink allows users to become node operators and earn revenue by running critical data infrastructure required for blockchains’ success.
Uniswap (UNI) has a market cap of $6.46B, ranked 25th.
Uniswap is a decentralized trading protocol. It provides AMMs on Ethereum. Uniswap exists to create liquidity — and therefore trading and the value that trading provides — for the DeFi sphere. By automating the process of market making, the protocol inceventizes activity by limiting risk and reducing costs for all parties. The mechanism also removes identity requirements for users, and technically anyone can create a liquidity pool for any pair of tokens. According to Uniswap, their governance token (UNI) was created in order to “officially enshrin[e] Uniswap as publicly-owned and self-sustainable infrastructure while continuing to carefully protect its indestructible and autonomous qualities.”
Any UNI holders can submit a proposal, however it must garner up to 25,000 yes-votes before it can be eligible for further deliberation. The next phase is the consensus check, where the proposer has to highlight the core changes and garner at least 50,000 yes-votes. Finally, the governance phase has to attract 40M yes-votes for the proposal to be adopted. Uniswap was the most dominant DEX in 2021 in terms of trading volume, and the top ranked DAO in terms of the amount held in the treasury.