A few weeks ago, I finished an article on the NEAR protocol, which is a new blockchain. That is not an Ethereum copycat, like many other blockchains out there. Since then, I’ve learned that NEAR has a few more tricks up its sleeve, including a side chain that features full EVM compatibility and an almost a billion-dollar incentive program.
In this article, we are going to explain what the Aurora blockchain is, how it ties into the NEAR protocol and why you should care about it if you want to make money.
1. NEAR Protocol
First of all, let’s go over a quick overview of what the NEAR protocol is now NEAR is a network. That’s been in the works for a few years. First, you can watch our entire article on it, but, as a recap, NEAR uses a delegated proof of stake mechanism to verify new transactions.
2. Fast Confirmation
Along with this method, the developers termed it a new idea. They call doom slug as a fast way to confirm these transactions with super quick finality and also a sharking mechanism that can process up to one hundred per second. One of my favorite things about the NEAR protocol is their dao likes setup where they have guilds or groups of people who work on specific aspects of the NEAR protocol, meaning that the community can easily contribute if they want to.
3. Incentive Program
Also recently, NEAR announced an 800-million-dollar incentive program for users, which is going to be huge news whenever it launches and more defy applications start to move over since NEAR is built from the ground. Up developers have to start all over when designing applications, although they have a solution for this. The solution is pretty simple and it’s to create a subnet that can run Ethereum applications on something called an EVM.
They call this subnetwork Aurora so now that we have that out of the way, let’s get into what an EVM is. This is important because it is essentially what Aurora is. EVM stands for Ethereum virtual machine and, to put it simply, it’s the same code that runs Ethereum and its smart contracts.
Many other projects out there have copied this code changed it a bit and then call it their blockchain, for example. This is exactly what the Binance smart chain, xdi, and polygon network have done. Aurora is doing something similar as well, and you may be wondering why the big reason is that developers don’t want to create projects for up-and-coming blockchains.
5. Aurora uses Ethereum
They want to develop something for a big, well-known blockchain. The trick is that whenever you create a decentralized application for any EVM blockchain, you can easily move your code over to another network. To give you an example of this, ave is a decentralized application on Ethereum, while geist is almost the same dapp on the phantom network. The compound is another dapp on Ethereum and cream is pretty much the same dap on the binance smart chain. So, the first way that Aurora is different is that it chooses to use Ethereum as its native coin, the polygon network uses Matic, the binance smart chain uses BnB, and the phantom network uses FTM. This way they have their coin with different token optics to support their network.
6. Fast Transaction
Aurora knows that they do not need a coin and even chose not to use the NEAR coin, which was a big move. Moving on, let’s get into the specific numbers of the Aurora, the average block time is around 1.03 seconds and the finality is two seconds which is very fast.
7. Low Transaction Cost
The typical transaction cost is a penny or less and using the NEAR-consensus mechanism, they can process hundreds of transactions per second very easily. Oh, by the way, the Aurora is not its blockchain. It is just a smart contract on the NEAR protocol. This means it inherits its block time and consensus mechanism from the NEAR network, which is amazing, and I’ve never seen any other network attempt to achieve something like this. To put it simply, the layer, 2 scaling solution is just a smart contract on the main chain. Along with this, in contrast to many other side chains, Aurora does not validate blocks off-chain.
8. Aurora Validation
All the validation happens on the actual Ethereum and the NEAR blockchains for security. This means that all the users need to trust is Ethereum and NEAR the blockchain’s consensus mechanism, which makes Aurora and its bridge fully Trustless and decentralized Aurora work on top of the NEAR protocol, but it provides a familiar experience of Ethereum for the developers.
Developers can take the solidity contracts that they wrote for Ethereum, deploy them on Aurora, and then enjoy the low cost and fast confirmation times of NEAR. The fact that an Aurora is a smart contract is a huge plus for the team that develops Aurora. They don’t need to take care of consensus or validators or storage or keep track of a network. It means that they can iterate quickly and deploy new features insanely fast. Moving on. Let’s talk about the Aurora DAO.
9. Aurora DAO
Now, if you don’t know what a dao is or a decentralized autonomous organization, you should go check out our article on it, because we know you’ll understand this next part much better. Essentially, a dao is an organization where the decisions are made up by token holders and not elected CEOs or family members who are grandfathered into a corporate position. Token holders can propose and vote on new ideas or changes, and that’s the main way that Aurora will grow and improve. If you own or hold the Aurora token, you’ll be able to participate in this decentralized governing process. The best benefit of a dao is that the surrounding community and actual investors are who get to decide on the big changes, so you know that they will have pure intentions of making the network the best it can be in a long term. Time frame.
10. Rainbow Bridge
Another thing I want to talk about is the rainbow bridge. Now we all know that one of the largest problems in cryptocurrency is interoperability or the ability to connect a bunch of blockchains Aurora has its rainbow bridge, which is what they’re calling the tool that you can use. Transfer your tokens to and from the Aurora and NEAR networks.
This means you can easily move your funds from the Ethereum blockchain to the NEAR blockchain or Aurora. Whenever you want without trusting a third party, because the transfer is all done with code to add my thoughts, I’ve personally used the NEAR network and interacted with a few financial applications, and I have to say they have a lot of good things going for them. Instead of metamask Nearly technically using your entire browser as a wallet you don’t have to download anything.
Thank you so much for reading. We hope that you enjoyed this article.