A quick Pre-amble:
The advent of blockchain technology has birthed many decentralized applications that have enabled trust and smart enterprise engagements to happen at seamless execution. Decentralized applications gave rise to digital currencies whose dichotomy sold on the premise that their tokens cannot be controlled by any sole entity like a central bank is to fiat currency. Decentralized applications like digital (crypto)currency blockchains are based on (DLT) which stands for distributed ledger technology. Distributed Ledger Technology is the base paradigm for decentralized applications like bitcoin and other crypto-currencies. Distributed Ledger Technology incorporates a peer-to-peer administrative privilege as regards information storing and transaction validation on each computer hosted in a network, this is in contrast to traditional network architectures which require computers within the network to request files and privileges from a central computer that serves as the host of the network.
In the wake of DLTs, decentralized applications, blockchains and cryptocurrency emerge the NEAR protocol. An open-source blockchain platform that allows developers to integrate Dapps(decentralized applications) within its ecosystem. The NEAR protocol is gaining traction and popularity majorly due to its eco-friendly technology whence it is being tagged a “green chain”. The NEAR protocol gets this tag because of the technology it employs in running its blockchain platform compared to other mainstream cryptocurrencies. Instead of working on a Proof-of-work basis like others, the NEAR protocol works on a Proof-of-stake basis.
NEAR’s platform provides decentralized storage and compute that is secure enough to manage high value assets like money or identity and performant enough to make them useful for everyday people, putting the power of the Open Web in their hands.
Technically speaking, NEAR Protocol is a brand new public, proof-of-stake blockchain which is built using a novel consensus mechanism called Nightshade. NEAR Protocol uses a technique called “sharding” that splits the network into multiple pieces so that the computation is done in parallel. Parallelism radically increases throughput and allows the network to scale up as the number of nodes on it increases. With NEAR, there isn’t a theoretical limit on the network’s capacity.
The NEAR’s token economy is built around the NEAR token, a unit of value on the platform that enables token holders to use applications on NEAR, participate in network governance, and earn token rewards by staking to the network.
NEAR is an innovative crypto network that allows app developers to build amazing applications in an eco-friendly manner. The goal of NEAR is to accelerate the world's transition to open technologies where users have control over their money, data and power of governance.
Older generations of blockchain technologies like Bitcoin use Proof of Work (PoW) that incentivized usage of high energy consumption computing farms.
In February 2021, NEAR Protocol engaged South Pole, a leading project developer and global climate solutions provider headquartered in Zurich, Switzerland, to assess NEAR’s carbon footprint, reduce it where possible, and fully compensate the remaining exhaust by investing in projects that offset the emissions. The results of the assessment show that the NEAR Protocol currently generates a carbon footprint of 174 tons of CO2 per year. Therefore, NEAR Protocol is more than 200,000 times more carbon efficient than Bitcoin, mainly by applying PoS instead of PoW.
Another advantage of PoS is that the carbon footprint of NEAR will only marginally grow as the number of users increase. Compensating that footprint with reforestation projects makes the NEAR Blockchain carbon neutral. NEAR plants trees in Colombia, Zimbabwe, and the United States via these carbon offsetting projects.
The NEAR protocol is projected to soon rival ethereum due to its open-source, climate-friendly, and NFT involvement attributes. It’s a fast-rising blockchain platform as this is evident in the continued expansion and adoption of its native cryptocurrency tokens (NEAR) on several digital currency marketplaces like Binance, Gate.io, Liquality, etc.