NEO: China’s Biggest
Cryptocurrency Defies Odds to Survive Crackdown
One of the fastest growing digital coins has been billed as
the world’s valuable and sought after cryptocurrency. NEO has defied all odds
and surpassed Bitcoin’s meteoric growth despite the Chinese crackdown on virtual
currencies. The NEO coin now ranks 12th in the word given the facts
that it originates from a country that is on the verge of issuing a ban on new
With a market value of over $12 billion, NEO is poised to
overcome the harsh Chinese crackdown on digital coin speculation. According to the
currency founder Da Hongfei, the focus now shifts to making the underlying technology
NEO, according to the founder was invented to give better
services compared to Ethereum. This is a
decentralized ledger where other companies and developers can issue coins and
innovatively build smart contract based Apps. At the moment, NEO is run by a small community of investors; they have the
power to decide who comes onboard.
According to Da, NEO is far away from the Bitcoin’s
libertarian ecosystem and yet to bring onboard thousands of miners; however,
plans are at an advanced stage to adopt a similar model in under one year or
so. Much of the network is controlled by the core team of co-founders and
“We are creating a platform where serious people can turn to
when they are focused and looking for serious transparent blockchain transactions”,
NEO came in to being in 2014 at a time when Bitcoin had not
captured the interest of many users. It is among the first coins to create hype
around cryptocurrency offerings. However, many coins have joined the digital
money market raising concerns on regulation. The coin started as Antshares but
later changes its brand name to NEO to avoid conflicts with Ant Financial owned
by Jack Ma.
Surprisingly, the NEO coin holder’s community makes decisions
of who to work with when it comes to mining. By December 2017, the platform had
a meager seven nodes running to verify all the network transactions as well as
adding more blocks to the entire system.
According to the managing director of the Shanghai based
Kapronasia Consultants, Zennon Kapron, smaller teams are the best since they
work in their best faith to make the network participants happy. However, he
adds that a controlled structure may not be sustainable in the crypto-sphere.
According to Da, NEOs adoption and growth is based on the
fact that it is easier to make decision to arrive at a consensus fast. This
ensures that there are no conflicts of interest that may lead to hard forks in
the future. Their ledger is able to
process over 1,000 transactions per day compared to Bitcoin’s 10 when there is
no congestion in their network.
With regulation, Da argues that it is already strict and he
does not see more restrictions coming in the near future. NEO is ready to adopt
stringent controls that will enhance efficiency. The plan is to turn it into a distributed
platform to grow their investor base.