Referred to as the “platform of platforms,” Avalanche is a one-of-a-kind blockchain ecosystem. It aims to function as a safe, trustworthy, decentralized, globally distributed network. Through its easy operation and functionality, Avalanche seeks to resolve the issues faced by most blockchain ecosystems.
The most significant feature of Avalanche is that it uses three distinct blockchains to create an interoperable and reliable framework. Avalanche also has its cryptocurrency – AVAX – and users can make payments and investments with AVAX on the platform.
Making of Avalanche
The creators of Avalanche were involved in developing it for a long time before its eventual release in September 2020. Avalanche was headed by Ava Labs, led by Emin Gun Sirer, a researcher at Cornell University.
Upon its release, Avalanche hit the ground running. In a matter of 4.5 hours, the public token sale accumulated $42 million. Some important names in the industry had taken part in the platform’s initial coin offering – Andreessen Horowitz and members of Ethereum being some of the noteworthy ones.
Buying Avalanche (AVAX)
Many top exchanges offer the sale of AVAX. The best feature of AVAX is its ease of purchase; you can directly buy or sell coins with a debit or credit card. But before that, you will need to fund your account.
Once your account has some money in it, convert this into ETH, Bitcoin, or other currencies that have a functional and recognized fiat pairing. Here are some of the most popular platforms where you can buy and sell AVAX:
- BitPanda: If you are a European user, BitPanda is the ideal platform for the transactions of AVAX. The platform does not allow consumers outside of Europe to use their services.
- Binance: Most of the world can access Binance, notably in Australia, Singapore, UK, and Canada. With the right discount code, you can also get a 10% cashback from all trading fees.
- Gate.io: This platform functions under the radar and is the best option for USA residents.
Benefits of Avalanche
Individual and corporate users can make use of a range of benefits offered by Avalanche. The platform is easy to use and navigate, and it is also highly programmable and adaptable to individual needs.
Building New Blockchains
The network enables businesses to create new blockchains through a hassle-free process. Developers can work together to build a curated and niche selection of tokens, coins, and blockchain services best suited to their business needs.
The tokens created are not mere tokens; they also represent other financial tools and instruments such as debt, bonds, fractionalized real estate, equities. Developers can also code them as NFTs (non-fungible tokens).
The central philosophy behind the creation of Avalanche was to ensure businesses could easily create application-specific blockchains. It was built to ensure that the system could execute several virtual customized machines. That is in addition to the already existing Avalanche Virtual Machine (AVM).
Moreover, AVAX, the Avalanche currency, is very flexible and easily programmable in multiple languages, such as WASM and EVM. Go language is the foundation of Avalanche’s coding and enables the network to work well with multiple languages.
Participants can take part in the network’s facilities and trade and create their very own digital assets. Users can customize these tokens to suit every developer’s regulatory and technical requirements.
A hardware wallet is perhaps the best storage option for Avalanche, especially if you want to make a big investment in AVAX. Using a hardware wallet ensures that your crypto is stored in cold storage.
Once your crypto resources are in cold storage, you will not have to worry about the potential of online threats accessing your holdings. The Ledger Nano X and the slightly less advanced Ledger Nano S support AVAX and are good options to save your holdings.
How Does AVAX Work
Avalanche simplifies development processes and conversions with the help of a triple-blockchain strategy. Many features of Avalanche are similar to earlier blockchains such as Bitcoin, which makes it reliable and trustworthy.
Avalanche’s strength and ability to construct blockchains is its most significant and admirable feature. The newly constructed blockchains are called Subnets, and the creators and developers have full access to the programming of these specifically curated blockchains.
The entire network can be set up by the developers – tokens, fee structures, and rules. Moreover, anyone can make their subnet on Avalanche after paying a subscription fee. But this fee can be paid only in AVAX currency.
X-Chain, C-Chain, and P-Chain
As mentioned earlier, Avalanche uses three blockchains to its advantage – X-Chain, C-Chain, and P-Chain.
X-Chain is the first blockchain and is one of the easiest programmable blockchains – it is decentralized and allows all users to create smart digital assets and mint the same. The newly created assets can be in the form of NFTs, stablecoins, equity, etc.
C-Chain is the second blockchain and helps to simplify conversion for Ethereum Dapp developers. It is compatible with different types of Ethereum tools and is highly flexible as a conversion chain. Most popular Ethereum features, including Remix, Truffle Suite, and MetaMask, are supported by the C-Chain.
The last blockchain is the P-Chain, and it helps keep up the network utilities. It coordinates all activities to ensure the smooth functioning of the Avalanche ecosystem. It also helps in the creation and monitoring of subnets. Users can also stake tokens on Avalanche using the P-Chain.
Avalanche’s unique setup and flexibility makes it ideal for blockchain creation at the enterprise and business level. It is highly inclusive and does not compromise the quality of any of the technical features. This makes it stand out in the crypto world as a reliable ecosystem.The platform has shown a lot of promise ever since its release in September 2020. That has resulted in Ethereum developers seeking out more similar cost-effective and easy-to-use alternatives, just like Avalanche.